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






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






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 Account used to record amounts withdrawn by each partner; there may be limitations based on the partnership agreement






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






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






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






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






8. A business that offers services to the public






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






10. Prepared by sole proprietors and partnerships






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






12. One is maintained for all classes of capital assets






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






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






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






16. 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






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






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






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






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






21. First part of the income statement






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






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






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






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






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






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






28. 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






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






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






31. 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






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






33. Oversees the management of the company/corporation






34. Also know as the net book value






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






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






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






38. All daily transactions are entered through these






39. 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






40. 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






41. Two types of share capital accounts






42. Documents issued by companies as evidence of transactions made






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






44. You only have to enter business data once






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






46. Are not intended for resale






47. Formula to calculate the depreciation for the year






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






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






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