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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. 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






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 Account used to record amounts withdrawn by each partner; there may be limitations based on the partnership agreement






3. Oversees the management of the company/corporation






4. The process of recording the transactions and financial activities of a business






5. A business that is owned by a single individual






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






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






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






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






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






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






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






13. At the end of the year - the bookkeeper will close each partner's __________ account to his/her _______ account and allocate each partner's share of the net income or loss in the business from the _________ ________ Account to his/her ________ accoun






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






15. Prepared by sole proprietors and partnerships






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






17. Must have a useful life of more than one year






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






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






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






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






22. Documents issued by companies as evidence of transactions made






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






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






25. All daily transactions are entered through these






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






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






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






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






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






31. A number of owners join together and create one business in which they each own an agreed upon percentage






32. Updated daily to enable the company to determine credit limits - give discounts on payments - and to keep up to date records of all customers






33. One is maintained for all classes of capital assets






34. Are not intended for resale






35. A business that offers services to the public






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






37. When recording the cost of this - all related costs - such as legal - real estate - commissions and other expenses form a part of the original cost






38. Calculated by subtracting sales from the cogs






39. In this business there is usually one revenue account for each type of revenue earned - and there are various expense accounts where the costs of operating the business are recorded






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






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






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






43. Two types of share capital accounts






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






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






46. What are the three versions of simply accounting






47. What account is on the purchases and cash disbursements journals






48. Owner of a business owned by a single individual






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






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