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ACCOUNTING 101

Total questions: 16

Worksheet time: 10mins

Name
Class
Date
1.

It is a system that identifies, records, and communicates relevant economic events to interested users.

a)

Communication

b)

Recording

c)

Information

d)

Accounting

2.

Who is considered the father of modern accounting?

a)

Aristotle

b)

Luca Pacioli

c)

Augustus

d)

Suetonius

3.

Which nature of accounting best emphasizes that accounting is not the objective?

a)

Accounting is an art

b)

Accounting is a means and not an end

c)

Accounting is a process

d)

Accounting deals with financial information and transactions

4.

Which of the following does NOT show one of the main functions of accounting?

a)

Preparation of a report to be submitted to the taxing authorities.

b)

Recording the purchase of an equipment in the accounting books immediately

c)

Preparation of financial reports monthly for the company's stakeholders

d)

Canvassing the price of a sewing machine to be used in the company's operations

5.

Who is the person responsible for the process of identifying, recording, and communicating the economic events of an organization?

a)

Manager

b)

Accountant

c)

Bookkeeper

d)

Treasurer

6.

Who is the person responsible for the process of identifying, recording, and communicating the economic events of an organization?

a)

Manager

b)

Accountant

c)

Bookkeeper

d)

Treasurer

7.

The chief accountant is preparing for a meeting with the top management. This meeting is done monthly to evaluate the performance of the company.

Which step of the accounting process is most likely being done?

a)

Recording

b)

Identification

c)

Communication

d)

Classification

8.

Tell whether the economic event below is RELEVANT or NOT RELEVANT in the accounting process.

A meeting of the top management was held in the discussion room last month.

a)

Relevant

b)

Not Relevant

9.

Tell whether the economic event below is RELEVANT or NOT RELEVANT in the accounting process.

The company received advance payments from its customers.

a)

Relevant

b)

Not Relevant

10.

Tell whether the economic event below is RELEVANT or NOT RELEVANT in the accounting process.

Meralco announced that it will increase energy prices by the end of the month.

a)

Relevant

b)

Not Relevant

11.

Tell whether the economic event below is RELEVANT or NOT RELEVANT in the accounting process.

Hiring of new employee

a)

Relevant

b)

Not Relevant

12.

Tell whether the economic event below is RELEVANT or NOT RELEVANT in the accounting process.

Laborers working in a factory

a)

Relevant

b)

Not Relevant

13.

Tell whether the economic event below is RELEVANT or NOT RELEVANT in the accounting process.

Purchase of materials

a)

Relevant

b)

Not Relevant

14.

Tell whether the economic event below is RELEVANT or NOT RELEVANT in the accounting process.

Purchase of materials

a)

Relevant

b)

Not Relevant

15.

Which of the following is NOT a nature of accounting?

a)

Accounting is a process

b)

Accounting is an art

c)

Accounting uses qualitative information

d)

Accounting deals with financial information

16.

This is where accountants summarize all the recorded economic events into accounting reports.

a)

Recording

b)

Identifying

c)

Communication