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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. Account maintained for small purchases






2. 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






3. Two types of share capital accounts






4. Are not intended for resale






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






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






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






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






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






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






11. 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






12. Who makes the decision on the amount to keep in the petty cash account






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






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






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






16. 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






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






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






19. One is maintained for all classes of capital assets






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






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






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






23. Has an indefinate life span and is not considered to reduce in value over time






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






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






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






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






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






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






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






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






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






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






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






35. You only have to enter business data once






36. First part of the income statement






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






38. A business that offers services to the public






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






40. 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






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






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






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






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






45. 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






46. Formula to calculate the net book value






47. Also know as the net book value






48. Lists all vendors to whom your company has purchases






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






50. What are the three versions of simply accounting