WorksheetsAccounting Basics Quiz
Total questions: 10
Worksheet time: 5mins
What are the three main types of accounts in accounting?
revenue
expenses
income
assets, liabilities, equity
In which type of account do you record assets?
Balance sheet account
Cash flow account
Expense account
Income statement account
What is the rule of debit and credit for assets?
Credit the increase in assets, debit the decrease in assets.
Credit the increase in assets, credit the decrease in assets.
Debit the increase in assets, credit the decrease in assets.
Debit the increase in assets, debit the decrease in assets.
Explain the rule of debit and credit for expenses.
Credit all expenses and debit all income.
Debit all expenses and credit all assets.
Debit all expenses and credit all income.
Credit all expenses and debit all liabilities.
How is a T-account structured?
The left side of a T-account is for debits, and the right side is for credits.
A T-account has only one side for recording transactions.
A T-account is structured with debits on both sides.
The left side of a T-account is for credits, and the right side is for debits.
What is recorded on the left side of a T-account?
Credits
Debits
Liabilities
Assets
How do you balance a T-account?
Ensure total debits equal total credits by adding up each side and making adjustments if necessary.
Ignore debits and focus on credits
Subtract debits from credits
Multiply debits by credits
When do you use a credit entry in a T-account?
When there is an increase in liabilities, equity, or revenue, or a decrease in assets or expenses.
When there is a change in the weather forecast.
When there is no change in the financial position.
When there is a decrease in liabilities, equity, or revenue, or an increase in assets or expenses.
What is the purpose of balancing T-accounts?
To confuse accountants
To waste time
To increase errors
To ensure accuracy in financial records.
Give an example of a transaction and show how it would be recorded in a T-account.
Debit Office Supplies $500, Credit Cash $500
Debit Equipment $300, Credit Accounts Payable $300
Debit Rent Expense $1000, Credit Accounts Receivable $1000
Debit Utilities Expense $200, Credit Prepaid Expenses $200
