Basic Bookkeeping-9

The process of recording transactions manually or with a computer is called -
1. Bookkeeping
2. Accounting
3. Budgeting
4. Cash Management
Assets, Liabilities, and Equity are reported in which of the following ?
1. Balance Sheet
2. Income Statement
3. Cash Flow Statement
4. Owner's Capital Statement
An investment of cash by an owner in his/her business will -
1. Increase assets and increase equity
2. Increase assets and decrease equity
3. Decrease assets and decrease equity
4. Increase assets and increase liabilities
During a period, assets increase 15,000 and equity increases 5,000 the result is -
1. Liabilities increased by 10,000
2. Liabilities decreased by 10,000
3. Liabilities increased by 5,000
4. Liabilities decreased by 5,000
Beginning capital is 10,000 - withdrawals are 2,000, net income is 5,000 -
1. Ending Capital is 13,000
2. Ending Capital is 8,000
3. Ending Capital is 15,000
4. Ending Capital is 7,000
If revenues are 50,000 and expenses are 30,000 then which is true -
1. Net Income is 20,000
2. Liabilities increased 20,000
3. Assets increased 20,000
4. All of the listed answers are correct
The owner's claim to the property of a business is called -
1. Owner's Equity
2. Liability
3. Revenue
4. Asset
Which of the following is not a formal financial statement ?
1. All of the listed answers are formal financial statements
2. Balance Sheet
3. Income Statement
4. Cash Flow Statement
Net Assets which is Total Assets less Total Liabilities is also called -
1. Owner's Equity
2. Net Income
3. Net Sales
4. Gross Assets
Which of the following would be included in a Statement of Owner's Equity ?
1. All of the listed answers are correct
2. Net Income
3. Owner Withdrawals
4. Owner Investments
Recording and recognizing revenue when earned is what accounting rule ?
1. Realization Rule
2. Cost Rule
3. Going Concern Rule
4. Consistency Rule
If an owner withdraws cash which of the following is true ?
1. Owner's Equity decreases and Assets decrease
2. Owner's Equity increases and Assets decrease
3. Owner's Equity decreases and Assets increase
4. Owner's Equity decreases and Assets increase
If a business purchases inventory on credit which of the following is true ?
1. Assets increase and Liabilities increase
2. Assets decrease and Liabilities increase
3. Asets increase and Owner's Equity increases
4. Assets decrease and Liabilities decrease
If a business receives cash from a customer for payment on their account -
1. Total Assets remain the same
2. Total Assets increase
3. Total Assets decrease
4. None of the listed answers is correct
If a business makes a payment to a supplier that they owe money to -
1. Assets and Liabilities both decrease
2. Assets and Liabilities both increase
3. Assets decrease and Liabilities increase
4. Assets increase and Liabilities decrease
Purchasing a piece of equipment entirely with cash will cause -
1. Total Assets to remain the same
2. Total Assets to increase
3. Total Assets to decrease
4. Total Liabilities to increase
The equation Assets = Liabilities + Equity is called -
1. Accounting Equation
2. Bookkeeping Equation
3. Balanced Books Equation
4. Balanced Business Equation
An increase to an Asset Account will result from which of the following ?
1. All of the listed answers are correct
2. Decrease in another asset account
3. Increase in a liability account
4. Decrease in another asset account and an increase in a liabilty account
Assets are -
1. Property
2. Property Rights
3. Amounts owed to others
4. None of the listed answers is correct
Which of the following statements is true ?
1. An expense reduces owner's capital and increases liabilities or decreases assets
2. An expense increases owner's capital and decreases liabilities or increases assets
3. An expense reduces owner's capital and decreases liabilities or increases assets
4. None Of the listed answers is correct

Basic Bookkeeping-9

Quiz