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Year 9 Business (Budgeting Exam Revision)

Total questions: 27

Worksheet time: 13mins

Name
Class
Date
1.

A plan for future spending and saving, weighing estimated income against estimated Expenses.

a)

Gross Income

b)

Debt

c)

Expense

d)

Budget

2.

The amount an employee earns once taxes and other items are deducted from their gross pay.

a)

Budget

b)

Debt

c)

Gross Income

d)

Net Income

3.

The state of owing money to another individual or business, or the amount of money borrowed.

a)

Gross Income

b)

Net Income

c)

Debt

d)

Budget

4.

The money an individual spends regularly for items or services.

a)

Budget

b)

Expense

c)

Checking Account

d)

Financial Plan

5.

An income statement highlights:

a)

Assets

b)

Profits and Losses

c)

Sales

d)

Wages

6.

Businesses produce income statement to:

a)

Calculate total costs of expenses

b)

Calculate costs of sales

c)

Legal reasons

d)

Calculate profit/loss for the year

7.

Sales revenue is also known as...

a)

Expense

b)

Income

c)

Equity

d)

Non-current asset

8.

The money that you keep after all costs and expenses are paid is called ...

a)

balance

b)

profit

c)

financial institution

9.

Amount of money spent on items needed is called an ...

a)

expense

b)

variable expense

c)

profit

10.

Financial gain between the amount earned and the amount spent.

a)

Costs

b)

Revenue

c)

Profit

11.

Money generated from selling goods or services.

a)

Costs

b)

Revenue

c)

Profit

12.

The two financial statements most used by businesses are:

a)

owner's equity and capital assets records

b)

tax and personnel records

c)

income statement and balance sheet

d)

accounts receivable and accounts payable records

13.

What is the purpose of preparing the Income Statement?

a)

inform stakeholders the profitability of business

b)

inform stakeholders the income and expenses of business

c)

inform stakeholders the nature of business

d)

inform stakeholders the size of business

14.

The two financial statements most used by businesses are:

a)

owner's equity and capital assets records

b)

tax and personnel records

c)

income statement and balance sheet

d)

accounts receivable and accounts payable records

15.
Which of the following is the best definition of financial risk?
a)
Risk is the possibility that an investment will lose money.
b)
Risk is the possibility that an investment will earn a negative return.
c)
Risk is the possibility that an investment's actual return will be less than its expected return.
d)
Risk is the uncertainty regarding the gain or loss from an investment.
16.

What is the formula for Profit?

a)

Revenue - Sales

b)

Revenue - Expenses

c)

Revenue - Fixed Expenses

d)

Revenue - Gross Profit

17.

Income is money that a business receives. Select all the types of income below.

a)

Proceeds from service provided

b)

Royalties

c)

Product sales

d)

Return of items to suppliers

e)

Utilities

18.

Expenses include...

a)

Wages

b)

Fuel

c)

Rent

d)

Owner contributed funds

19.

What are the dates of the Australian financial year?

4 lines
20.

Revenues minus (a)   equals the net income.

21.

The following are expenses:

a)

Insurance

b)

Sales

c)

Stationary supplies

d)

Salaries

e)

Fees received

22.

The income statement shows the financial performance of the business

a)

on a GIVEN DATE

b)

for a PERIOD of time

23.

Which of the following are types of revenue (there are 3)

a)

Commission

b)

Rates

c)

Service fees

d)

Sales

24.

The heading for the Income Statement goes as follows:

a)

K Schuler, Income Statement, as at 28 Feb 2020

b)

K Schuler, Income Statement, for period ending 28 Feb 2020

c)

Income Statement, K Schuler, for period ending 28 Feb 2020

d)

For period ending 28 Feb 2020, Income Statement, K Schuler

25.

Which is the correct order of set out for an Income Statement?

a)

Heading, Income, Expenses, Net Income

b)

Heading, Expenses, Less Revenue, Net

26.

Your Revenue totals $5000.00 and your Expenses total $2500.00 your business will have a....

a)

Net Loss for the period

b)

Net Profit for the period

27.

Your Revenue totals $1000.00 and your Expenses total $1200.00 your business will have a....

a)

Net Loss of $200

b)

Net Profit of $200