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FUNDAMENTALS OF ACCOUNTING

Total questions: 15

Worksheet time: 10mins

Name
Class
Date
1.

Who is known as the Father of Accounting?

a)

Adam Smith

b)

Luca Pacioli

c)

Benjamin Franklin

d)

Amartya Sen

2.

In double-entry accounting, each transaction will have how many effects?

a)

ONE

b)

TWO

c)

THREE

d)

FOUR

3.

Accounting means…

a)

Preparing annual reports only

b)

Recording personal transactions

c)

The process of writing, analysing, and reporting financial information

d)

Paying tax

4.

Who is officially eligible to conduct audit in India?

a)

Company Secretary

b)

Cost Accountant

c)

Chartered Accountant

d)

Financial Analyst

5.

IFRS stands for…

a)

International Financial Reporting Standards

b)

International Finance Regulation System

c)

Internal Financial Reporting System

d)

International Fund Reporting Standards

6.

Which of the following is not an objective of accounting?

a)

Recording business transactions

b)

Determining profit or loss

c)

Determining Marketing policy

d)

Communicating financial information

7.

Which of the following is an importance of accounting?

a)

Helps in decision-making

b)

Increases inflation

c)

Creates monopoly

d)

Reduces competition

8.

Which of the following is an internal user of financial statements?

a)

INVESTORS

b)

COMPETITORS

c)

MANAGEMENT

d)

GOVERNMENT

9.

Among the following, identify one external user of financial information:

a)

MANAGERS

b)

EMPLOYEES

c)

SUPERVISORS

d)

GOVERNMENT

10.

What is profit in terms of accounting?

a)

Total revenue minus total liabilities

b)

Surplus of revenue over expenses

c)

Total assets minus total liabilities

d)

Total sales minus purchases

11.

Assets can be categorized into how many types?

a)

ONE

b)

TWO

c)

FOUR

d)

FIVE

12.

CSR STANDS FOR

a)

Corporate Social Responsibility

b)

Corporate Social Responsibility

c)

Corporate Social Responsibility

d)

Corporate Social Responsibility

13.

Which area of accounting deals with financial fraud detection?

a)

Cost Accounting

b)

Forensic Accounting

c)

Financial Management

d)

Management Accounting

14.

The area of accounting dealing with cost of capital, cost budgeting, and cost control is known as…

a)

Management Accounting

b)

Financial Accounting

c)

Cost Accounting

d)

Corporate Accounting

15.

Which of the following is a limitation of accounting?

a)

Assists in decision-making

b)

Records only monetary transactions

c)

Window dressing

d)

Improves transparency