Test your basic knowledge |

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






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 Account used to record amounts withdrawn by each partner; there may be limitations based on the partnership agreement






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






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






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






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






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






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






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






10. A legal document giving official permission to do something






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






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






13. A business that offers services to the public






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






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






16. 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






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






18. Calculated by subtracting sales from the cogs






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






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






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






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






23. Lists all vendors to whom your company has purchases






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






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






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






27. What are the three versions of simply accounting






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






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






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






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






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






34. Information from the sales invoice is recorded In what journal






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






36. 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






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






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






39. 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






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. Documents issued by companies as evidence of transactions made






42. The corporation has an account called _______ ______ _____ on its Income Statement and an _____ ______ ______ account on its Balance Sheet to record the accrual of income tax






43. 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






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






45. 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






46. Two types of share capital accounts






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






48. All daily transactions are entered through these






49. 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






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