Test your basic knowledge |

CLEP Financial Accounting Vocab

Subjects : clep, business-skills
Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Money is 'expensed' if it is gone forever - if there remains no useful assert as a result of the spending. THe opposite of capitalized. `






2. A financial statement analysis technique in which one number is assigned 100% and all other numbers are expressed as a percentage of the first number. In balance sheets. the key number is total assets. In income statements - the key # is sales.






3. Usual method - starts with NI and uses the changes in the A&L accounts to adjust NI into cash flow from operations






4. Economic resources that the business plans to use in the future to make money






5. The amount borrowed plus the interest up to a maturity date






6. The cost of business airplane fairs - trains and long-distance buses






7. The financial report that shows the result of biz operations over a period of time






8. Non-operating exp or revenues come from transactions that are not part of normal biz operations






9. Where cash came from and where it went - Cash flow from operations - cash flow from investing activities - cash flow from financing activities - calculation of (1) net cash flow - and (2) cash - end of period






10. An account that gets subtracted from an asset account






11. The amount of long-lived assets used up during operations






12. Accounts that explain why assets went down from operations






13. A financial statement that calculates an end-of-period balance of the owner's equity account






14. When numbers are 'netted' they combine so that the negative numbers get subtracted from the positive numbers






15. Method of journalizing and posting accounts at the same time by recording transac vertically in columns






16. Debts owned to people outside the company






17. Income-expenses






18. The 12 month period a business used to report the results of its operatons






19. The cost the the biz of the goods it sells






20. Money that the owner takes from the business or money in the business account that the owner spends on personal bills.






21. To sell a note to a bank that subtracts a discount - giving the seller the proceeds`






22. An account that gets subtracted from its related account. Contra accounts always get reported as negative numbers.






23. Income - Expenses = Net Income






24. Debts that must be paid within one year or one operating cycle - whichever is longer






25. Assets that help a business or person make money






26. Money is 'expensed' if it is gone forever - if there remains no useful asset as a result of the spending. The opposite is CAPITALIZED






27. That porition of the business the owner gets to keep after paying all creditors






28. A note with an interest rate written on the face - whose face amount is the present value






29. A depr method that results in higher depr exp in an assets early years






30. The amount of the historical cost of an asset that gets allocated over the useful life of the asset






31. The natural period of time before a certain business activities tend to repeat -usually one year






32. An income account that explains the increase in business assets as a result of selling goods






33. A supply of items a business has on hand






34. The cost to the business of the goods that it sells






35. A tool to keep track of the ops and downs in account. The ups go on one side of the T and the downs go on the other






36. Assets that can be used to pay current liabilities






37. A word that means a subtraction has occured






38. The financial report that shows the result of business operations over a period of time






39. The dollar amount written on the face of the note






40. Calc cash flow from opeations that does not start with NI - but does show cash-in cash-out cat. `






41. The inventory system that averages the cost of all items in inventory and assigns that averaged cost the the items sold.






42. Contra-asset account that accumulates all the deprec of long lived assets over the years






43. The financial report that shows business assets - liabilities - and the owners equity on a particular day






44. Asset has not been sold but a gain or loss has occurred






45. The contra-asset account that accumulates all the depreciation of long-lived assets over the years






46. Outsders to whom the business owes money






47. When money is changed into another asset that helps the business make money






48. The amount borrowed - or the principal. Interest-bearing notes show the present value as the face amount






49. Accounts that explain why assets went up from operations






50. The inventory method that increases the inventory account with every purchase and lowers the inventory with every sale.







Sorry!:) No result found.

Can you answer 50 questions in 15 minutes?


Let me suggest you:

Browse all subjects

Browse all tests

Most popular tests



Major Subjects

Tests & Exams


AP
CLEP
DSST
GRE
SAT
GMAT

Browse all subjects

Browse all tests

Most popular tests