wayground logo

Free Printable Worksheets

NEW

Font size

S
M
L
XL
Worksheets

Accounting Review. Warmup 2

Total questions: 10

Worksheet time: 10mins

Name
Class
Date
1.

Which one is right?

a)

Asset = Owner's equity + Liability

b)

Asset = Owner's equity - Liability

c)

Asset + Owner's equity = Liability

d)

Asset + Owner's equity = expense

2.

Mr.W has current assets of $500 and total assets of $1500. ABC has current liabilities of $300 and total liabilities of $800. What is the amount of ABC's owner's equity

a)

200

b)

700

c)

900

d)

800

3.

What is the purpose of an income statement?

a)

calculate the bank balance

b)

calculate net assets

c)

calculate sales

d)

calculate net profit

4.

Which of the following means money spent?

a)

income

b)

expense

c)

net income

d)

gross income

5.

When expenses are greater than income?

a)

expense

b)

net loss

c)

net income

d)

net gain

6.

Income = 1000

Cost of Goods Sold = 200

Expenses = 300

Gross Profit = ?

a)

800

b)

500

c)

700

d)

300

7.
How could a business improve net profit?
a)
reduce expenses
b)
increase COGS
c)
reduce sales
d)
increase expenses
8.
Resources owned by a company (such as cash, accounts receivable, vehicles) are reported on the balance sheet and are referred to as __________.
a)
Assets
b)
Liabilities
c)
Owner Equity
d)
Equity
9.
The financial statement that reports the revenues and expenses for a period of time such as a year or a month is the:
a)
Balance Sheet
b)
Income Statement
c)
Statement of Cash Flows
d)
None of These
10.

The accounting equation must always be

a)

balanced

b)

uneven

c)

zero

d)

equal to the square root of 5