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WorksheetsAccounting Chapter 1
Total questions: 32
Worksheet time: 16mins
Name
Class
Date
1.
The use of ethics in making business decisions
a)
business ethics
b)
sale on account
c)
accounting records
d)
accounting systems
2.
Planning, recording, analyzing, and interpreting financial information
a)
accounting
b)
financial statements
c)
sale on account
d)
transaction
3.
A business activity that changes assets, liabilities, or owner's equity
a)
accounting equation
b)
transaction
c)
equities
d)
asset
4.
An equation that shows the relationship among assets, liabilities, and owner's equity.
a)
Accounting equation
b)
account balance
c)
accounting system
d)
account records
5.
A planned process for providing financial information that will be useful to management
a)
accounting system
b)
accounting record
c)
financial statements
d)
sale on account
6.
The amount in an account
a)
account balance
b)
withdrawals
c)
transaction
d)
expense
7.
The account used to summarize the owner's equity in the business.
a)
capital
b)
revenue
c)
sale on account
d)
asset
8.
The amount remaining after the value of all liabilities is subtracted from the value of all assets.
a)
owner's equity
b)
liability
c)
account balance
d)
expense
9.
A record summarizing all the information pertaining to a single item in the accounting equation.
a)
account
b)
asset
c)
capital
d)
transaction
10.
A business owned by one person
a)
proprietorship
b)
corporation
c)
partnership
d)
s-corporation
11.
Organized summaries of a business's financial activities
a)
accounting records
b)
financial statements
c)
sale on account
d)
account balance
12.
Anything of value that is OWNED
a)
asset
b)
liability
c)
revenue
d)
equities
13.
A sale for which cash will be received at a later date
a)
sale on account
b)
accounts payable
c)
liability
d)
withdrawals
14.
Assets taken out of a business for the owner's personal use
a)
withdrawals
b)
revenue
c)
expenses
d)
assets
15.
An increase in owner's equity resulting from the operation of a business
a)
revenue
b)
expenses
c)
withdrawals
d)
accounting system
16.
Financial rights to the assets of a business
a)
equities
b)
ethics
c)
expenses
d)
liability
17.
A business that performs an activity for a fee
a)
service business
b)
manufacturing business
c)
goods producing industry
d)
farming
18.
The principles of right & wrong that guide an individual in making decisions
a)
ethics
b)
liability
c)
society
d)
equities
19.
Financial reports that summarize the financial conditions and operations of a business
a)
financial statements
b)
accounting records
c)
accounting system
d)
sale on account
20.
An amount OWED by a business
a)
liability
b)
asset
c)
owner's equity
d)
capital
21.
The name given to an account
a)
account title
b)
account record
c)
accounting system
d)
accounting equation
22.
a decrease in owner's equity resulting from the operation of a business
a)
expense
b)
asset
c)
revenue
d)
withdrawal
23.
The accounting equation is most often stated as: Assets + Liabilities = Owner's Equity
a)
True
b)
False
24.
After each transaction, the accounting equation must remain in balance.
a)
True
b)
False
25.
When 2 asset accounts are changed in a transaction, there must be an increase and a decrease.
a)
True
b)
False
26.
When items are bought and paid for at a future date, another way to state this is to say these items are bought on account.
a)
True
b)
False
27.
A transaction for the sale of goods or services results in a decrease in owner's equity.
a)
True
b)
False
28.
An expense is a decrease in owner's equity resulting from the operation of a business.
a)
True
b)
False
29.
Payments for advertising, equipment repairs, utilities and rent are expense transactions.
a)
True
b)
False
30.
A formal report that shows what an individual owns,what an individual owes, and the difference between the two.
a)
owner's equity
b)
personal net worth
c)
net worth statement
d)
financial statements
31.
The standards and rules that accountants follow while recording and reporting financial activities.
a)
GASP
b)
GAAP
c)
GAPA
d)
GAGA
32.
The difference between personal assets and personal liabilities.
a)
Personal property
b)
Personal Assets
c)
Personal Net Worth
d)
Personal Department
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