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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 owned by one or more individuals who are known as shareholders






2. 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






3. Formula to calculate the depreciation for the year






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






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






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






7. Owner of a business owned by a single individual






8. First part of the income statement






9. 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






10. 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






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






12. All daily transactions are entered through these






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






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






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






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






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






19. Lists all vendors to whom your company has purchases






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






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






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






23. Calculated by subtracting sales from the cogs






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






25. Oversees the management of the company/corporation






26. 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






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






28. Formula to calculate the net book value






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






30. 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






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






32. Are not intended for resale






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






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






35. 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






36. 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.






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






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






39. 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






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






41. One is maintained for all classes of capital assets






42. 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






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






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






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






46. Prepared by sole proprietors and partnerships






47. A business that offers services to the public






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






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






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