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






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






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






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






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






6. First part of the income statement






7. 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






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






9. Formula to calculate the net book value






10. Oversees the management of the company/corporation






11. Includes the costs of all products being made by a company that are not yet complete and ready to sell. This may include labor and overhead that have been invested in their production to date.






12. All daily transactions are entered through these






13. Owner of a business owned by a single individual






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






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






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






17. You only have to enter business data once






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






19. Formula to calculate the depreciation for the year






20. Two types of share capital accounts






21. Also know as the net book value






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






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






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






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






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






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






28. Prepared by sole proprietors and partnerships






29. 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






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






31. A business that offers services to the public






32. Lists all vendors to whom your company has purchases






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






34. Documents issued by companies as evidence of transactions made






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






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






37. 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






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






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






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






41. A legal document giving official permission to do something






42. One is maintained for all classes of capital assets






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






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






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






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






47. 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






48. Prepared once a month to ensure the general ledger accounts are balanced before the monthly financial statements are prepared






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






50. 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