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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 business that offers services to the public






2. Also know as the net book value






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






4. Formula to calculate the net book value






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






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






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






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






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






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






11. 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






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






13. 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.






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






15. You only have to enter business data once






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






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






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






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






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






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






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






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






24. Calculated by subtracting sales from the cogs






25. 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






26. Account maintained for small purchases






27. Lists all vendors to whom your company has purchases






28. 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






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






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






31. Are not intended for resale






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






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






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






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






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






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






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






39. 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






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






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






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






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






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






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






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






47. Prepared by sole proprietors and partnerships






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






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






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