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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. 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






2. Two types of share capital accounts






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






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






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






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






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






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






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






10. 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






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






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






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






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






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






16. First part of the income statement






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






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






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






20. Are not intended for resale






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






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






23. You only have to enter business data once






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






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






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






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






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






29. Account maintained for small purchases






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






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






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






33. 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






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






35. Oversees the management of the company/corporation






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






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






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






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






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






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






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






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






44. Lists all vendors to whom your company has purchases






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






46. 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






47. It is possible for a balance sheet to be off a few dollars due to rounding - if this happens you would adjust any difference through these two accounts






48. A legal document giving official permission to do something






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






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






Can you answer 50 questions in 15 minutes?



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