WorksheetsW5 Quiz - Chap 1 to 6 Review (Quiz 1)
Total questions: 20
Worksheet time: 12mins
Which is the accounting equation ?
A = L - E
A = L + E
Accounting is the process of ...
Identification, Recording, and Communication
Identification, Recording, and Analyzing
Which are financial statements ?
Income Statement
Balance Sheet
Which have debit normal balance ?
Equipment
Share Capital
Expense
A business transaction must affect at least ... accounts of the balance sheet
1
2
3
Which business structure separates owner personal asset from business debts and legal lawsuits ?
Franchise
Partnership
Limited Liability Company
This business structure distributes % of its gain to shareholders in the form of dividend
Public Limited Company
Franchise
Private Limited Company
Which business structure has owner taxed as individual tax payer and its profit treated as income of the owner ?
Partnership
Sole Trader
Limited Liability Company
The accounting equation should remain in balance after each transaction
True
False
Purchasing a box of stationary on account will increase which accounts ?
Office Equipment
Office Supplies
Account Payable
If a business has assets of $5,000 and equity of $3,000 then what is their equity ?
$8,000
$2,000
$1,000
Will land be depreciated ?
Yes
No
Earnings that have a cumulative amount and are not paid to the shareholders as a dividend is known as ...
Common Earnings
Retained Earnings
Preferred Earnings
Which are the content of Income Statement ?
Revenue
Cost of Goods
Owner's Equity
Expenses
When revenue - cost of sales we will get ...
Gross Profit
Gross Margin
Net Profit
If sales is $5,000 and cost of goods is $3,000 the gross profit is ...
$8,000
$5,000
$2,000
If gross profit is $2,000 and expenses $1,000 then net profit is ...
$1,000
$3,000
$2,0000
If net profit is $1,000 and government tax is $500 and dividends paid is $200 then retained earning is ...
$1,000
$300
$1,700
The report that shows the movement in the capital account of the owner is called ...
Statement of Cash Flow
Statement of Comprehensive Income
Statement of Changes in Equity
When expenses in a given period is larger than total income it results in ...
Net Profit
Break Even
Net Loss
