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WorksheetsREVIEW QUIZ FABM2
Total questions: 20
Worksheet time: 11mins
All are current assets except
Prepaid Rent
Office Equipment
Cash in Bank
Accounts Receivable
A company’s income and expenses are presented in
SFP
SOCE
CASH FLOW
SCI
Information on utilisation and sources of cash is provided by SCI.
TRUE
FALSE
Two former classmates decided to make a business. What is the most appropriate form of business organisation should they create?
Sole proprietorship
Corporation
Partnership
Cooperative
The categories of expenses under function of expense method include Cost of Sales, Distribution Costs, and Administrative Expenses only.
TRUE
FALSE
Financial position refers to the condition of an entity’s asset, liabilities, and equity.
TRUE
FALSE
If the total assets is 800,000 and the total equity id 200,000, what is the total liability?
1,000,000
900,000
0
600,000
What is the formula of current ratio?
CA-CL
Total Assets minus Total Liability
CA/CL
Gross profit / Net sales
What is CA-CL?
Working Capital
Current Ratio
Acid test ratio
Return on Equity
Partners A, B, and C agreed to share their capital investment with 3:1:6 ratio, and profit and loss shared equally. If their business earned a profit of 330,000, how much is B’s share in profit?
0
110,000
33,000
198,000
This account refers to when the customer gives back the product bought due to defects or change in preferences.
Purchase return
Purchase discount
Sales return
Sales discount
This account is credited when you pay early to reduce the amount you need to pay.
Purchase return
Purchase discount
Sales return
Sales discount
What is the formula for net sales?
Purchases less return and discounts
Sales less returns and discounts
Inventory beginning add net purchase add freight in
COGAS LESS INVENTORY END
What is the formula for COGS?
Purchases less return and discounts
Sales less returns and discounts
Inventory beginning add net purchase add freight in
COGAS LESS INVENTORY END
Cash payment for equipment is classified as
Operating activities
Investing activities
Financing activities
None of these
Sales on credit is classified as
Operating activities
Investing activities
Financing activities
None of these
What is the formula for net purchase ?
Purchases less return and discounts
Sales less returns and discounts
Inventory beginning add net purchase add freight in
COGAS LESS INVENTORY END
If the problem is silent as to the profit and loss sharing of partners , it is best to assume
Equal sharing
Allocate according to capital investment
No sharing
All of the abovr
Which of the following assets does not depreciate?
Building
Computer equipment
Vehicle
Land
Building is a current asset.
TRUE
FALSE
