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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. Companies that transform raw materials into finished goods for sale






3. Lists all vendors to whom your company has purchases






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






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






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






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






8. 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






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






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






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






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






13. Oversees the management of the company/corporation






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






15. 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






16. 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.






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






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






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






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






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






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






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






24. 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






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






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






27. Also know as the net book value






28. What are the three versions of simply accounting






29. Amounts owed by the company that are due within one year of the balance sheet date






30. Owner of a business owned by a single individual






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






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






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






34. Account used to record the net income that is retained in the business at the end of the year






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






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






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






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






39. You only have to enter business data once






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






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






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






43. Documents issued by companies as evidence of transactions made






44. Prepared by corporations - similar to a statement of owners equity






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






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






47. 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






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






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






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