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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. Shareholders equity contains two different types of accounts.... What are they






2. A specialized journal used to systematically record all cash received from customers payments on account - and from other sources such as cash sales - interest and sales taxes






3. Prepared by sole proprietors and partnerships






4. It is possible for a balance sheet to be off a few dollars due to rounding - if this happens you would adjust any difference through these two accounts






5. A business that offers services to the public






6. Lists all vendors to whom your company has purchases






7. What are the three versions of simply accounting






8. Includes the costs of all goods that are complete and ready for sale






9. Includes the costs of all products being made by a company that are not yet complete and ready to sell. This may include labor and overhead that have been invested in their production to date.






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






11. A list of all the disbursements made from your petty cash in the box with the receipts and the cash






12. 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






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






14. One is maintained for all classes of capital assets






15. Owner of a business owned by a single individual






16. The process of comparing the cash plus receipts to the original balance int he account






17. Is arrived at by subtracting the accumulated depreciation recorded on the asset (to date) from the original cost of the asset






18. Account maintained for small purchases






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






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






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






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






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






24. A grant by the government to an inventor of the right to exclude others from making - using or selling his or her invention






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






26. Consist of physical assets and non-physical or intangible properties






27. Before entering the receipt in the cash receipts journal - you would check the ____________ ___________ ______ for the name of the customer and the amount owing






28. When you proceed to reconcile your bank account you will use these two things






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






30. What account is on the cash receipts and sales journals






31. Entries made to the sales and cash receipts journals involving the accounts receivable account are posted to the ______ __________ _______






32. A business that is owned by a single individual






33. Are not intended for resale






34. Net income is also known as this on an income statement






35. The method of writing off the cost of capital assets by assigning an equal charge to revenue over the estimated life of the asset






36. All daily transactions are entered through these






37. Information from the sales invoice is recorded In what journal






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






39. Calculated by subtracting sales from the cogs






40. Assets that have no physical form - but have value and are an integral part of the cost of doing business






41. When a merchandising business prepares its income statement it includes a section called.....






42. A record of a purchase made by a company - showing the terms and conditions for payment






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






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






45. 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






46. Documents issued by companies as evidence of transactions made






47. Calculated by subtracting the total expenses directly related to the operation of the buiness from the gross margin






48. The ______ ______ account is used int he closing process for transferring the balances of the _______ and _______ account to the partners ________ accounts at the end of the period






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






50. Who makes the decision on the amount to keep in the petty cash account