WorksheetsBUSINESS FINANCE REVIEW (MIDTERM EXAM)
Total questions: 26
Worksheet time: 40mins
Tells us the financial progress made by the business. It highlights the financial strengths and surface the financial weakness
Financial Plan
Financial Statement
Business Plan
Business Inventory
The following are the users of financial statement EXCEPT one:
investors
employees
government agencies
none of the choices
Refers to a series of sequential steps/procedures to accomplish the accounting process
Accounting steps
Accounting sales and goods
Accounting cycle
Trial balance
In an accounting cycle, the first 3 steps is accomplished during ________.
during the period
end of the period
beginning of the next period
beginning of the period
In an accounting cycle, the 4th to 9th steps is accomplished during ________.
during the period
end of the period
beginning of the next period
beginning of the period
In an accounting cycle, the last steps is accomplished during ________.
during the period
end of the period
beginning of the next period
beginning of the period
Which of the following is an example of Source Documents?
Inventory
Journal
Completion Reports
Contract
In journalizing, give the five standard contents of the General Journal.
(a)
“Reference book” of the accounting system and is used to summarize transactions, and to prepare data for basic financial statements
Journal
Statement of Account
General Ledger
Official Receipts
Step in accounting cycle wherein it was prepared to verify the equality of debits and credits in the ledger at the end of each accounting period or at any time the postings are updated.
Identification of events to be recorded
Transactions are recorded in the journal
Posting of journal entries to the ledger
Preparation of trial balance
Process of achieving your life goals by using different investment options with your current resources through proper and disciplined money management.
Family planning
Financial planning
Insurance
Emergency funds
Components of financial planning:
(a) + Investment Options = Financial Goals
TRUE/FALSE:
Comparing financial ratios of the company with the industry averages can provide information about about the standing of the company in the industry.
True
False
TRUE/FALSE:
Vertical analysis involves measuring changes occurring from one period to another.
True
False
TRUE/FALSE:
Horizontal analysis is a technique to compare a company's financial conditions over a period of time.
True
False
The following are the duties of a financial planner, EXCEPT one.
Recommends the right plan with proper asset allocation.
Analyses your current financial situation.
Rebalances your portfolio from time to time based on your changing lifestyle and investment opportunities.
None of the choices.
Choose the first picture if it is an objective for financial planning and the second picture if it doesn't describe the objective of financial planning.
Financial plan should assure the availability of sufficient funds in order to achieve the goals of the enterprise.
The financial plan should be complicated and have different branches so that the owner have different choices and lot of options.
Financial plan should be flexible so that the financial structure may be adjusted as per the changing condition.
The goals which you want to achieve within 1 year.
Short-term goals
Medium-term goals
Long-term goals
None of the choices.
It will give you the exact picture of your expenses and spending habits and help you plan your expenses and spending habits more efficiently.
Cash inflow
Net worth
Budgeting
Financial goal
Distributing your investment in different asset classes like equity, gold, debt, and cash.
Asset allocation
Investing
Insurance
Cash inflow
Mindanao Transit has a P25,000 accounts receivable from Davao Metro Enterprises. On March 20, Davao Metro Enterprises makes a partial payment of P15,000 to Mindanao Transit. The journal entry made on March 20 by Mindanao Transit to record this transaction includes:
a debit to cash account of P10,000
a debit to accounts receivable of P10,000
a credit to accounts receivable of P15,000
a credit to accounts payable of P15,000
A transaction caused a P500,000 decrease in both total assets and total liabilities. This transaction could have been:
Purchase of delivery truck for P500,000 cash
An asset with a cost of P500,000 was destroyed by fire.
Repayment of P500,000 bank loan
Collection with a P500,000 accounts receivable
When an owner makes cash withdrawal from his business, it requires?
debit to cash
debit to capital account
debit to drawing account
credit to capital account
Why is rebalancing important to your asset allocation?
