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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. Also know as the net book value






2. 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






3. Lists all vendors to whom your company has purchases






4. 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






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






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






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






8. 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






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






10. Prepared by sole proprietors and partnerships






11. You only have to enter business data once






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






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






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






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






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






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






18. 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






19. Calculated by subtracting sales from the cogs






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






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






22. Account maintained for small purchases






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






24. Owner of a business owned by a single individual






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






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






27. First part of the income statement






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






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






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






31. 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






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






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






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






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






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






37. 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






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






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






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






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






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






43. 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






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






45. 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






46. An intangible asset that represents the value of a company's name - customer service - staff - and other factors - the buyer of a business is often willing to pay for this asset in addition to the value of its other assets






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






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






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






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