WorksheetsAccounting Basics
Total questions: 12
Worksheet time: 6mins
Who is the father of accounting
John dewey
Wordsworth
Luca pacioli
Blooms
What is the primary purpose of accounting?
To track expenses
To prepare tax returns
To provide financial information
To manage payroll
Which of the following is considered a fundamental accounting principle?
Revenue Recognition
Market Value
Supply and Demand
Cost-Benefit Analysis
What does GAAP stand for in accounting?
Generally Accepted Accounting Principles
General Accounting and Auditing Procedures
Global Association of Accountants and Professionals
Government Accounting and Auditing Practices
What is the accounting equation?
Assets = Liabilities + Equity
Revenue = Expenses + Profit
Assets + Liabilities = Equity
Equity = Assets - Liabilities
Which financial statement shows a company's revenues and expenses over a specific period?
Balance Sheet
Income Statement
Cash Flow Statement
Statement of Changes in Equity
What is the purpose of an audit in accounting?
To prepare financial statements
To verify the accuracy of financial records
To manage company finances
To calculate taxes owed
What is the primary role of a financial statement?
To summarize a company's financial position
To calculate employee salaries
To track inventory levels
To manage cash flow
Which accounting method recognizes revenue when it is earned?
Cash Basis Accounting
Accrual Basis Accounting
Tax Basis Accounting
Modified Cash Basis Accounting
What is the purpose of a balance sheet?
To show the company's profitability
To provide a snapshot of assets, liabilities, and equity
To detail cash inflows and outflows
To summarize tax obligations
What is the primary difference between financial accounting and managerial accounting?
Financial accounting focuses on external reporting
Managerial accounting is only for tax purposes
Financial accounting is less regulated
Managerial accounting does not use budgets
Which of the following is a key component of the cash flow statement?
Operating Activities
Equity Financing
Market Analysis
Revenue Growth
