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






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






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






4. Are not intended for resale






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






6. 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






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






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






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






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






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






12. 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






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






14. First part of the income statement






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






16. Account maintained for small purchases






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






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






19. Formula to calculate the depreciation for the year






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






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






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






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






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






25. A business that is owned by a single individual






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






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 Account used to record amounts withdrawn by each partner; there may be limitations based on the partnership agreement






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






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






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






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






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






33. 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






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






35. Calculated by subtracting sales from the cogs






36. 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






37. 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






38. 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






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






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






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






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






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






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






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






46. A business that offers services to the public






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






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






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






50. Documents issued by companies as evidence of transactions made