WorksheetsAGR323 - CHAPTER 2
Total questions: 10
Worksheet time: 5mins
An accounting system is a system of _________ financial and accounting data that are used by decision makers
collecting, storing and processing
collecting, storing and distributing
collecting, checking and processing
allocating, storing and processing
An accounting system allows a business to keep track of all types of financial transactions, including purchases, sales and liabilities. Example of liabilities (2 answers)
prepaid expense
account payable
funding
account receivable
How to decide whether a company should use calendar year or fiscal year accounting period?
Based on other company
Based on decision of management
Based on the economy situation
Based on production cycle
Calendar year accounting period start on
(a)
Below are disadvantages of double entry system EXCEPT (2 answers)
Missing some transaction record
Complicated to understand
Costly
Easier to commit theft
Choose ALL advantages of accrual accounting
Easy to implement
Reduce income instability
Reduce tax due to delay on growing inventory
Give more precise profit
April 2021: Purchased and charged to account, seed for RM2,000
June 2021: Paid seed for RM2,000
Under (a) accounting, the transaction is recorded on June 2021.
Large firm normally opt to use......
Accrual, cash and basic system
Double entry, cash and accrual accounting
Complete, single entry and accrual accounting
Basic, double entry and cash accounting
On 15th October, you paid bill for crops invoiced last month, RM1,000. Choose the correct entry under double entry system.
Acc payable: Credit
Cash: Debit
Acc receivable: Credit
Cash: Debit
Acc payable: Debit
Cash: Credit
Acc receivable: Debit
Cash: Credit
Which of the following will NOT be found under cash accounting?
Sale
Inventory
Fertilizer
Fuel
