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






2. 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






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






4. 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.






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






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






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






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






9. 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






10. 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






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






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






13. One is maintained for all classes of capital assets






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






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






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






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






18. 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






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






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






21. What are the three versions of simply accounting






22. 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






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






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






25. Documents issued by companies as evidence of transactions made






26. 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






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






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






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






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






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






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






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






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






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






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






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






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






39. Calculated by subtracting sales from the cogs






40. 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






41. All daily transactions are entered through these






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






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






44. Lists all vendors to whom your company has purchases






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






46. Formula to calculate the net book value






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






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






49. Prepared by sole proprietors and partnerships






50. Each subsidiary ledger has this prepared to ensure that the credit/debit columns balance and are then compared with the control account in the general ledger