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






2. Two types of share capital accounts






3. Owned by the company - purchased with the intent of using them to earn income and are not intended for resale






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






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






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






7. Oversees the management of the company/corporation






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






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






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






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






12. 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






13. Information from the purchase invoice is recorded In what journal






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






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






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






17. Formula to calculate the depreciation for the year






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






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






20. Companies that transform raw materials into finished goods for sale






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






22. Allows the company to not only maintain accurate records of purchases and payments - but also for future reference and for the audit of the company books at the end of the year






23. Calculated by subtracting sales from the cogs






24. One is maintained for all classes of capital assets






25. A business that is owned by a single individual






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






27. Formula to calculate the net book value






28. A business that offers services to the public






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






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






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






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






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






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






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






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






37. First part of the income statement






38. 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






39. What is the formula for calculating straight-line depreciation






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






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






42. You only have to enter business data once






43. Owner of a business owned by a single individual






44. Are not intended for resale






45. An account that represents the amount of owners' equity for each patner; profits are allocated to this account as specified in the partnership agreement






46. Also know as the net book value






47. Listed on the balance sheet are assets that can be turned into cash within one year






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






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






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