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Intro to Accounting Quiz

Total questions: 10

Worksheet time: 7mins

Name
Class
Date
1.

Which of the following versions of the accounting equations is correct?

a)

A + OE = L

b)

A + L = OE

c)

A = L + OE

d)

A = L - OE

2.

Which of the following is not an example of an expense?

a)

Electricity

b)

Wages

c)

Loan from ABC Bank

d)

Salaries

3.

Which of the following is an example of an asset?

a)

Fees earned

b)

Inventories

c)

Motor vehicle maintenance

d)

Capital

4.

The nature of GST Paid is?

(a)  

5.

Which is the wrong account involved in the following transaction?

Bought stationary from T Villani for $100 cash.

a)

Cash at Bank

b)

GST Collected

c)

Stationary

6.

When an owner withdraws money from a business the account involved is?

(a)  

7.

Liabilities (295,000)

Assets (455,000)

Owner's Equity?

(a)  

8.

Owner's Equity (275,500)

Assets (450,000)

Liabilities?

(a)  

9.

Which of the following is NOT an objective of accounting?

a)

To ensure accountability

b)

To provide information to interested parties for decision-making

c)

To aid in financial statements

d)

To evaluate the performance of the business

10.

Revenues e.g. sales, have a credit nature as they increase the value of owner's equity, and Expenses e.g. electricity, have a debit nature as they decrease the owner's equity value.

a)

False

b)

True