WorksheetsTopic 1 Basic Accounting Concepts
Total questions: 10
Worksheet time: 5mins
Which of the following is not the objective of accounting?
to know how wealthy the business is
to know how much the business owing
to know how much the owner's personal drawings
to track the owner personal saving account
Define bookkeeping.
the process of recording data
the process of recording data relating to accounting transactions
the process of recording data relating to accounting transactions in the accounting books
the process of recording data relating to accounting transactions in the cash books
ABC Enterprise bought an office for RM300,000 last year. As at today, the market value of office is RM400,000. In the balance sheet, ABC Enterprise should record the office value as ....
RM300,000 based on the historical cost concept
RM300,000 based on the money measurement concept
RM400,000 based on the market value concept
RM400,000 based on the money measurement concept
Which of the following is not classified as current assets?
Cash at bank
Inventory
Account receivables
Furnitures
Which of the following is not classified as non - current assets?
Cash in hand
Land
Motor vehicles
Machinery
What one of the following is the accounting equation?
Assets = Liabilities - Capital
Capital = Assets + Liabilities
Capital = Assets - Liabilities
Liabilities = Assets + Capital
Which of the following is classified as current liabilities?
Account receivables
Account payables
Mortgage loan
Loan to Diana
Which of the following is classified as non - current liabilities?
Bank loan
Loan from Linda (repayment in the next 6 months)
Overdraft
Account payables
In the money measurement concept, businesses should record ......
Qualitative information
Quantitative
information
Both qualitative and quantitative information
Product and service durability
John, the owner of Veggies Supplies, bought a lorry for RM15,000. Payment made by bank transfer. What is the effect of accounting equation?
Asset (Van) INCREASE RM15,000;
Asset (bank) DECREASE RM15,000
Asset (Van) INCREASE RM15,000;
Asset (cash) DECREASE RM15,000
Asset (Van) INCREASE RM15,000;
Liabilities (bank) DECREASE RM15,000
Asset (Van) INCREASE RM15,000;
Capital (bank) INCREASE RM15,000
