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WorksheetsAccounting-Module 1
Total questions: 10
Worksheet time: 5mins
Which concept/convention requires the company's financial statements to have footnotes containing information that is important to users of the financial statements?
Cost Concept
Business Entity Concept
Accounting Period Concept
Disclosure Convention
Which concept states that a business's records should never be mixed with an owner's personal records and reports?
Cost Concept
Separate Entity Concept
Accrual Concept
Materiality Convention
Making the provision for doubtful debts and discount on debtors and valuation of the stock at cost price or market price which ever is less follows the convention of
Full disclosure
Materiality
Consistency
Conservatism
........... Discount is not recorded in the books of accounts.
Trade Discount
Cash Discount
GST
VAT
The usual sequence of steps in the transaction recording process is:
ledger - journal - analyze.
journal -ledger -analyze.
analyze- journal - ledger.
journal - analyze - ledger.
Total assets in a business are Rs 8,00,000 and total liabilties are Rs 5,00,000. The difference is called:
Goodwill
Capital
Expenses
Income
Goods sold on credit should be debited to..........
Cash A/c
Sales A/c
Customer A/c
Purchase A/c
Every journal entry requires a posting to at least two accounts.
True
False
The final step in the recording process is to
analyze each transaction.
enter the transaction in a journal.
prepare a trial balance
transfer journal information to ledger accounts
when the owner takes money out of the business's account it is called _________?
credit
drawings
debt
borrowing
