Test your basic knowledge |

Bookkeeping Advanced Vocab

Subject : 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. Must have a useful life of more than one year






2. Usually forms the first entry in the capital assets section of the balance sheet - all of This is grouped together into one amount under the title






3. How often are the accounts payable entries entered into the accounts payable ledger






4. Are not intended for resale






5. Calculated by subtracting sales from the cogs






6. Includes all debt that is due in more than one year






7. Lists all customers and their outstanding balances for non cash or on account sales made






8. Used to write off the cost of an intangible capital asset






9. Account is reduced by the value of dividends paid to the shareholder






10. This is reported after the net income on an income statement






11. Prepared once a month to ensure the general ledger accounts are balanced before the monthly financial statements are prepared






12. An intangible asset that represents the value of a company's name - customer service - staff - and other factors - the buyer of a business is often willing to pay for this asset in addition to the value of its other assets






13. As a rule these should always be recorded on the balance sheet at cost






14. Used to write off the cost of a tangible capital asset over the anticipated useful life of that asset






15. Formula to calculate the net book value






16. All the checks that have not appeared on the bank statement






17. Represents the assets on hand - the liabilities owed and the owners equity






18. A business owned by one or more individuals who are known as shareholders






19. Calculated from adding the non operating expenses to the net income






20. Documents issued by companies as evidence of transactions made






21. Account maintained for small purchases






22. Includes the cost of various items used to produce the goods made by the manufacturing organization such as screws - nails - wood - iron - etc






23. Prepared for each bank account - each month - to allow companies to verify that the company's bank account is accurate and all the items on the Statement of Account belong to the company and are reflected in the company records






24. A partnership has a separate __________ and ____________ account for each partner






25. Calculated by adding the opening inventory - the net purchases and then subtracting the ending inventory






26. This business does not have a purchase account and no inventory is recorded on the balance sheet






27. In a corporations books - the equity section is referred to as _________ ________






28. Account used to record amounts withdrawn by each partner; there may be limitations based on the partnership agreement






29. Two types of share capital accounts






30. This business purchases products from its vendors for resale to its customers






31. Owner of a business owned by a single individual






32. What is used to reference a company's Canadian GST and HST






33. Allows companies to see patterns of negligence and shows where the company should take action to collect accounts that are overdue - also enables the company to create an allowance for bad and doubtful accounts whenpreparing the financial statements






34. Also know as the net book value






35. Signed by all partners in a partneship to establish rules about how the business is going to be run






36. Must be held for use in the production of goods and/or services






37. An accelerated depreciation method becuase it calculates more depreciation in the early years and less in the later years






38. Shows how much income has been earned b the business during the time period






39. The ledgers are linked to the general ledger by this process






40. Deposits that have not yet been deposited in the bank account






41. A separate one is maintained for each class of capital assets






42. The corporation has an account called _______ ______ _____ on its Income Statement and an _____ ______ ______ account on its Balance Sheet to record the accrual of income tax






43. You only have to enter business data once






44. A specialized journal to systematically record all cash paid by the company to suppliers and to others - such as rent and taxes






45. A word - symbol - design - or combination of these used to represent products or services provided by a company. It helps to distinguish products or services of one company from another






46. The two start up methods on simply accountin through the set up wizard






47. Represents the expected value of the asset at the end of its useful life to the business






48. Taxes are deducted from the income before taxes total on an income statement to come up with this total...






49. Has an indefinate life span and is not considered to reduce in value over time






50. Entries involving the accounts payable account that are made to the purchases and cash disbursements journals are then posted to the ___________ __________ __________