wayground logo

Free Printable Worksheets

NEW

Font size

S
M
L
XL
Worksheets

Accounting concepts

Total questions: 30

Worksheet time: 16mins

Name
Class
Date
1.

What do we call the cash contribution an entrepreneur gives to a business?

a)

Capital

b)

Current income

c)

Cash

d)

Fixed deposit

2.

Capital can not be one of the following listed items.

a)

Money

b)

Vehicle

c)

Land and buildings

d)

Insurance

3.

Assets are

a)

Items that a business owns and can sell for cash

b)

It's the general expenses of a business

c)

It is a loan to the owner of a business

d)

It is a loan to a bank

4.

Which item is not an asset?

a)

Land and buildings

b)

Vehicles

c)

Bank account

d)

Stationery

5.

Which item from the list is a Liability?

a)

Loan

b)

Bank account

c)

Vehicles

d)

Current income

6.

What is the main disadvantage of a loan?

a)

Interest needs to be paid

b)

The business can close when they have a loan

c)

The business can earn interest on the loan

7.

Selling products to consumers can be seen as

a)

An income

b)

An expense

c)

An asset

d)

A liability

8.

Providing a service to clients and receiving money

a)

Is an income

b)

Is an expense

c)

Is an asset

d)

Is a liability

9.

Incomes from providing a service is seen as

a)

Sales

b)

Rent income

c)

Current income

d)

Interest income

10.

Which item is not an expense?

a)

Material used in the business to render a service

b)

Wages

c)

Salaries

d)

Stationery

e)

Equipment

11.

Expenses are ________ running the business.

a)

capital

b)

costs

c)

stuff

d)

incomes

12.

What is the main aim for an entrepreneur to start a business.

a)

To make a product

b)

To make profit

c)

To make the world a great place

d)

To give people what they want

13.

The opposite of making a profit is making a loss?

a)

True

b)

False

14.

What source document will be received from the bank to show all the transactions that took place between the bank and the business.

a)

Cheque account

b)

Bank Statement

c)

Statement of receipts and payments

d)

Current account

15.

A budget is a plan of how much incomes you expect to receive and how many payments you are going to make.

a)

True

b)

False

16.

Who needs to be able to see the financial records of a business?

a)

Owners

b)

No one

c)

Employees

d)

Customers

17.

Which item is an asset?

a)

Bank

b)

Stationery

c)

Packing material

d)

Material costs

18.

Select the expense.

a)

Wages

b)

Furniture

c)

Vehicles

d)

Trading stock

19.

Accounting is a process where information is compressed to make sense of the financial records of a business.

a)

True

b)

False

20.

True or false?

Capital refers only to money contributed by the owner to the business.

a)

True

b)

False

21.

The system/process that provides information about what a business has done with the money it has earned.

a)

budgeting

b)

accounting

c)

bookkeeping

22.

The accounting term used for the possessions of the business.

a)

capital

b)

liabilities

c)

assets

23.

The debts of the business.

a)

Liabilities

b)

Assets

c)

Expenses

24.

The costs of running the business

a)

liabilities

b)

expenses

c)

debts

25.

The unspent part of income

a)

profit

b)

loss

c)

liabilities

d)

savings

26.

A ____ is the accounting term for a business deal.

a)

sale

b)

purchase

c)

payment

d)

transaction

27.

Which one is NOT a source of income for the business?

a)

owner wins R1 million on the lottery

b)

income from selling goods

c)

interest income

d)

rent income

28.

Information provided by a business:

Expenses: R150 000

Current income: R140 000

a)

Profit = R10 000

b)

Loss = R10 000

c)

Liabilities = R150 000

d)

Assets = R140 000

29.

True or false:

When you borrow money from a bank, you earn interest.

a)

True

b)

False

30.

Details of a transaction are recorded on a

a)

piece of paper

b)

source document

c)

financial statement

d)

spreadsheet