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Accounting Concepts

Total questions: 9

Worksheet time: 5mins

Name
Class
Date
1.

Transactions are recorded in the period in which they occur.

a)

Business Entity Concept

b)

Going Concern Assumption

c)

Accrual Basis

d)

Periodicity

2.

The enterprise will continue to operate in the foreseeable future.

a)

Business Entity Concept

b)

Going Concern Assumption

c)

Accrual Basis

d)

Periodicity

3.

The properties of the owner should be separated from the properties of the business.

a)

Business Entity Concept

b)

Going Concern Assumption

c)

Accrual Basis

d)

Periodicity

4.

The life of the business can be divided into artificial time period.

a)

Business Entity Concept

b)

Going Concern Assumption

c)

Accrual Basis

d)

Periodicity

5.

Which of the following is a current asset?

a)

Land

b)

Building

c)

Cash

d)

Machinery

6.

These are assets purchased for long term use and are not likely to be converted quickly into cash.

a)

Current Assets

b)

Non-Current Liability

c)

Fixed Assets

d)

Curren Liability

7.

These are long-term liability.

a)

Current Assets

b)

Non-Current Liability

c)

Fixed Assets

d)

Curren Liability

8.

Which of the following is not a current liability?

a)

Interest Payable

b)

Salaries Payable

c)

Loan Payable

d)

None of the above

9.

Which of the following is the correct accounting equation?

a)

Capital = Assets + Liabilities

b)

Capital = Liabilities - Assets

c)

Assets - Liabilities = Capital

d)

Assets + Capital = Liabilities