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Accounting and Finance Quiz

Total questions: 53

Worksheet time: 13hrs 15mins

Name
Class
Date
1.

The order of the Equity account in a Balance sheet is defined by ________ .

a)

custom and tradition

b)

a fancy way of saying pay

c)

the order of their liquidity

d)

All ways

2.

A company has $3,000,000 in Owners' Equity and $275,000 in liabilities. What are the assets of the company?

a)

$3,275,000

b)

$2,025,000

c)

$250,000

d)

$1,250,000

3.

Liabilities that are expected to be paid sometime after the next year are _________

a)

Current liabilities

b)

Current assets

c)

Non-current assets

d)

Non-current liabilities

4.

___________ is to show the inflows and outflows, the changes in the balance of cash and cash equivalents during a certain accounting period arising from the operating, investing, and financing activities of an enterprise.

a)

The Statement of Cash Flow

b)

The Income Statement

c)

The Statement of Retained Earnings

d)

The Balance Sheet

5.

Which is the closest meaning to the phrase: ' late, not returned as expected?

a)

overdue

b)

knack

c)

buck

d)

pay off

6.

Which of the following items is not the main section in a Balance Sheet?

a)

Assets

b)

Liabilities

c)

Equity

d)

Unearned revenues

7.

Which is the most common form of Rent expenses account in the Income statement?

a)

Rent expenses

b)

Rent

c)

Rent liability

d)

liabilities

8.

_______ is the process of making transactions and turning them into a journal entry.

a)

Journalizing

b)

Bookkeeping

c)

Accounting

d)

writing

9.

If the statement is for the quarter ended December 31, 2002, how can we state the period of time?

a)

For the Quarterly Ended December 31, 2002

b)

For the Three Months Ended December 31, 2002

c)

For the Six Months Ended December 31, 2002

d)

For 5 months

10.

Items owned by a business that have monetary value are known as ____________.

a)

Assets

b)

Liabilities

c)

Owner's equity

d)

equities

11.

Which profession is widely considered a 'language of business'?

a)

Teaching

b)

Short-handing and typing

c)

Accounting

d)

Bookkeeping

12.

What does CPA stand for?

a)

It stands for Certified Public Accountant.

b)

It stands for Certified Public Accountants.

c)

It stands for Certified Publicy Accountant.

d)

It stands for Certify Public Accountant.

13.

What does the word 'quarter' most closely mean?

a)

a year

b)

six months

c)

a month

d)

three months

14.

_________ is a financial statement that reflects the revenues and expenses of an enterprise during a period.

a)

The statement of cash flow

b)

The statement of retained earnings

c)

The income statement

d)

The balance sheet

15.

Which is the closest meaning to the phrase 'a financial plan of expenses and income'?

a)

buck

b)

budget

c)

Financial account

d)

expenses and income

16.

What do we call a process by which financial information about a business is recorded, classified, summarized, interpreted, and communicated?

a)

Cost accounting

b)

Managerial accounting

c)

Budget accounting

d)

Financial accounting

17.

Which of the following items is not a liability?

a)

Wage payable

b)

Accounts payable

c)

Taxes payable

d)

Pre-paid expenses

18.

_________ is an accounting statement that reflects assets, liabilities and owner's equity of an enterprise at a specific date.

a)

The Income Statement

b)

The Balance Sheet

c)

The Statement of Retained Earnings

d)

The Statement of Cash Flow

19.

_________consists (largely) of auditing and tax services.

a)

Financial Accounting

b)

Public Accounting

c)

Private Accounting

d)

Managerial Accounting

20.

What date would be for Balance sheet if the Income Statement is for the period ending December 31st 2006?

a)

December 30th 2007

b)

December 31st 2007

c)

December 31st 2006

d)

December 30th 2006

21.

Which system involves making at least two entries for every transaction?

a)

single_entry system

b)

double_entry system

c)

bookkeeping

d)

Neither single_entry nor double entry system

22.

Which title refers to the job of an accountant?

a)

ACCD

b)

CPA

c)

CAA

d)

CAP

23.

Which of the following items is not included in the Expenses Account?

a)

Interest expense

b)

Pre-paid expense

c)

Payroll expense

d)

Rent

24.

Which of the following items is an accounting equation?

a)

Common stock = Liabilities + Assets + Retained earnings

b)

Liabilities = Assets + Common stock + Beginning retained earnings + Net income - Dividends

c)

Assets = Liabilities + Common stock + Beginning retained Earnings + Revenues - Expenses - Dividends

d)

Common stock = Beginning Retained Earnings + Revenues

25.

Which of the following items is not an owners equity?

a)

Common stocks

b)

Preferred stocks

c)

Inventory

d)

Capital surplus

26.

Money owed to an outsider is a(n) _________________.

a)

Assets

b)

Liabilities

c)

Owner's equity

d)

A, B, and C are correct

27.

Which is the closest meaning to the phrase 'strapped for cash'?

a)

have no money unavailable

b)

have much money available

c)

have no money available

d)

have much money unavailable

28.

What is a double-entry bookkeeping system?

a)

It involves making at least two entries for every transaction: a debit in one account.

b)

It involves making at least one entry for every transaction: a credit in one account.

c)

It involves making at least two entries for every transaction: a debit in one account and a corresponding credit in another account.

d)

It involves making only two entries for every transaction: a debit in one account and a corresponding credit in another account.

29.

What is Accounting?

a)

It is helpful for managers, investors, tax authorities, and other decision-makers to make resource allocation decisions.

b)

It is calculated

c)

It is the measurement, disclosure, or provision of assurance about financial information.

d)

They are the numbers

30.

Which of the following items is equal to 'Net income'

a)

Revenues - Expenses

b)

Expenses - Revenues

c)

Unearned Revenues

d)

Unearned revenue and revenues

31.
  1. We…………this product for years and it is still very successful.

a)

A. offer

b)

B. offered

c)

C. have offered

d)

D. was offering

32.

Loans are paid back in installments which can be arranged with the bank, …………. on the terms of the loans.

a)

depend

b)

 depended

c)

depending

d)

to

33.

Thank you for your order. Your goods ………………, and the sum of $17.50 …………from your account within the next five days.

a)

have dispatched/will be deducted

b)

have been dispatched/will be deducted

c)

will be dispatched/will be deducted

d)

have been dispatched/have been deducted

34.

The company owes the bank almost $2 million,……….it is currently unable to pay back.

a)

that

b)

which

c)

so

d)

because

35.

People stop ………..money when they lose confidence in banks.

a)

to spend

b)

spend

c)

spending

d)

spended

36.

He doesn’t want to buy expensive shares and sell them for …………

a)

less

b)

fewer

c)

cheap

d)

more

37.

Assets minus liabilities …………….the equity of the company.

a)

is represented

b)

represent

c)

represents

d)

represented

38.

Supply and demand ……….the basis of the economy.

a)

are

b)

is

c)

was

d)

has been

39.

……………British don’t generally use pre-paid credit cards.

a)

Some

b)

Few

c)

The

d)

(some)

40.

The advisor helped them…………their debts.

a)

manage

b)

to manage

c)

managing

d)

A and B are correct.

41.

The price of some agricultural products depends on the seasonal _____ of the goods.

a)

change

b)

variation

c)

 exchange

d)

replacement

42.

 If consumers cannot find exactly the product they want, they might choose a _______.

a)

 thing

b)

method

c)

substitute

d)

circle

43.

The price of precious metals such as gold may be stable for a long period of time and then there may be sudden _____.

a)

fail

b)

drop

c)

upward

d)

downward

44.

 Bad weather can affect the ________ of goods to local food markets

a)

 productivity

b)

number

c)

figures

d)

produce

45.

 A decrease in the price of goodwill often results in an _______ demand for that good.

a)

movement

b)

fluctuation

c)

change

d)

exchange

46.

 Employers expect a good level of ________ from the employees for quite a low wage.

a)

salary

b)

fluctuation

c)

change

d)

movement

47.

If a company increases _____ , there is not an automatic increase in demand.

a)

capital

b)

supply

c)

advertising

d)

investing

48.

 A decrease in demand is called a _______ in demand.

a)

upward

b)

reduce

c)

downward

d)

fallen

49.

An upward curve in the oil price may lead to an ______ in the economy as production costs increase.

a)

expansion

b)

increasing

c)

exchange

d)

expectation

50.

A related product such as software for a computer is known in _______ as a complementary

a)

economy

b)

economics

c)

business

d)

advertisement

51.

A company may ______ some of its activities to an overseas location

a)

compound

b)

combine

c)

coordinate

d)

export

52.

 When the price of a good or service decreases this is usually called an ______ in demand, not an expansion of demand.

a)

extension

b)

decrease

c)

upward

d)

downward

53.

 Producers sometimes underestimated demand for a good and do not manufacture a sufficient _____.

a)

quality

b)

quantity

c)

efficient

d)

subtleness