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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. Must have a useful life of more than one year






2. Prepared by sole proprietors and partnerships






3. Formula to calculate the depreciation for the year






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






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






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






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






8. Calculated by subtracting sales from the cogs






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






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






11. 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






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






13. 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






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






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






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






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






18. Are not intended for resale






19. 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






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






21. Before entering the receipt in the cash receipts journal - you would check the ____________ ___________ ______ for the name of the customer and the amount owing






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






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






24. A business that is owned by a single individual






25. All daily transactions are entered through these






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






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






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






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






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






31. 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






32. 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






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






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






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






36. A legal document giving official permission to do something






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






38. Lists all vendors to whom your company has purchases






39. 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






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






41. What are the three versions of simply accounting






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






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






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






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






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






47. One is maintained for all classes of capital assets






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






49. 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






50. Account maintained for small purchases