Test your basic knowledge |

CLEP Financial Accounting

Subjects : clep, 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. Summarizes revenues earned and expenses incurred by a business over an accounting period. (Shows whether a business achieved its profitability goal)...Revenues - Expenses - Income taxes






2. Their related asset accounts on the balance sheet






3. A temporary account that summarizes all revenues and expenses for the period.






4. Forces a monetary value to a business transaction and accounting for the assets and liabilities that result from the transaction.






5. Wages - Interest - and Income taxes that have been incurred but have not been recorded during an accounting period.






6. Close the revenues account - Close the expense account - Close the income summary account - Close the dividends account






7. customer inquires about availability of service -company hires new employee -company signs contract to provide service in future






8. Deferral of an expense! (Except land)






9. A 12 month accounting period (Vary depending on slack seasons)






10. The practice of recording transactions at exchange price at the point of recognition.






11. Accounting Equation






12. Accounting for revenues in the period in which cash is received and for expenses in the period where cash is paid. More closely related to the goal of liquidity.






13. Contains only balance sheet accounts.






14. The amount allocated to any one accounting period.






15. The ability to have enough cash to pay debts when they are due.






16. The net amount - or 'Book Value' of an asset






17. The predetermined time at which a transaction should be recorded.






18. As an expense and the corresponding liability accumulate.






19. Decreases






20. International Accounting Standards Board.






21. Focuses on assigning a monetary value to a business transaction and accounting for assets and liabilities.






22. When title to merchandise passes from the supplier to the purchaser and creates an obligation to pay.






23. Cash account






24. Revenue that a company has earned for providing a service but for which it has not billed or been paid by the end of the accounting period.






25. Generally Accepted Accounting Principles - or guidelines for financial accounting.






26. Customer buys a service - company pays an employee for service - company performs service






27. Payments of rent - insurance - supplies - and the depreciation of plant and equipment






28. Postponement of recognition of an expense already paid.






29. Used to accumulate the depreciation on each long-term asset






30. A separate account that is paired with a related account






31. Decreases






32. Selling goods and services to customers - employing managers and workers.






33. Accounting periods of less than a year.






34. Match expenses with the revenues that they help generate - & vice versa.






35. Increases






36. Revenues - Expenses






37. The estimation of business's net income in terms of accounting periods.






38. Sole worker of your business






39. People that estimate various things






40. Determines that all temporary accounts have zero balances and to double check that total debits = total credits






41. Deals with all techniques accountants use to apply the matching rule: Recording revenue when they are earned - Recording expenses when they are incurred - More closely related to profitability - Adjusting the accounts






42. Balance sheet accounts - such as cash and accounts payable because they carry their end-of-period balances into the next accounting period






43. Contributed Capital + Retained Earnings

Warning: Invalid argument supplied for foreach() in /var/www/html/basicversity.com/show_quiz.php on line 183


44. Made at the end of accounting period..-They clear revenue - expense accounts - and dividends account of their balances. -Summarize a period's revenue and expenses by transferring the balances of them to the income summary account






45. Companies present annual financial statements on the assumption that the business will continue to operate indefinitely






46. Persuasive evidence of arrangement - Seller's price is fixed or determinable - Product or service has been delivered - Collectibility is reasonably assured






47. A body of people set up by Congress who protect the public by regulating the issuing - buying - and selling of stocks in the US.






48. Government Accounting Standards Board - similar to FASB - issues accounting standards for state and local governments.






49. If you're having a bad year - to dump everything into something else like pensions

Warning: Invalid argument supplied for foreach() in /var/www/html/basicversity.com/show_quiz.php on line 183


50. Net income on the income statement - and profitability comparisons from one accounting period to the next.







Sorry!:) No result found.

Can you answer 50 questions in 15 minutes?


Let me suggest you:

Browse all subjects

Browse all tests

Most popular tests



Major Subjects

Tests & Exams


AP
CLEP
DSST
GRE
SAT
GMAT

Browse all subjects

Browse all tests

Most popular tests