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Chapter 3 - Accounting the language of business

Total questions: 10

Worksheet time: 11mins

Name
Class
Date
1.
Accounting is referred to as the "language of ___________________."
a)
profit
b)
life
c)
accounting
d)
business
2.

Why is Accounting considered the language of business?

4 lines
3.

a business is assumed to continue to operate for an indefinite period of time.

a)

Continuity Assumption

b)

Going concern Assumption

c)

Time Period Assumption

d)

Periodicity Assumption

4.

This accounting period will begin on the first day of any month of the year except January and will end on the last day of the twelfth month completing the one-year period.

a)

Calendar Year

b)

Fiscal Year

c)

Natural Business Year

d)

Happy New Year

5.

WHICH OF THESE ARE THE QUALITIES THAT FINANCIAL STATEMENTS SHOULD POSSESS

a)

Understandability

b)

Reliability

c)

Reasonableness

d)

Consistency

e)

Effectivity

6.

is primarily concern with the designs, installation improvements of accounting system intended specifically to help management in running the business

a)

Financial Accounting

b)

Auditing

c)

Management Accounting

d)

Tax Accounting

7.

this is a new type of accounting information wherein primary concern is to set-up financial planning objectives-including the sources application of its resources beneficial to the economic entity.

a)

Financial Accounting

b)

Auditing

c)

Management Accounting

d)

Tax Accounting

e)

Financial Management

8.
a)

Internal user

b)

External user

9.

Types of business activities are...

a)

Services and merchandising

b)

Services and manufacturing

c)

Services, manufacturing and merchandising

10.

What are the 4 Forms of Business Organization?

4 lines