Primary Arithmetic Quiz

20 Questions | Attempts: 482
Share
Quiz Flashcard
SettingsSettings
Please wait...
  • 1/20 Questions

    Merchandise Inventory held by a business is a(n) __________ and when sold becomes a(n) __________.

    • Asset; expense.
    • Assets received from selling products or services.
    • Expenses
    • Cost of goods sold
Please wait...
Primary Arithmetic Quiz - Quiz
About This Quiz

Arithmetic is parts of mathematics, in this quiz, you will get to learn addition, subtraction, multiplication and division. Let's start now!

Quiz Preview

  • 2. 

    Revenues can be defined as

    • matching principle.

    • Expenses

    • assets received from selling products or services.

    • asset; expense.

    Correct Answer
    A. assets received from selling products or services.
  • 3. 

    Which of the following activities can be performed by certified public accountants (CPAs)?

    • Auditing to render an opinion on the fairness of financial statements

    • rapidly inventory is sold.

    • Purchase invoice.

    • there is no count of cash after the clerks shift is over.

    Correct Answer
    A. Auditing to render an opinion on the fairness of financial statements
  • 4. 

    Lizzie's Ice Cream Corp. purchased supplies at a cost of $26,000 during 2006. At January 1, 2006, supplies on hand were $2,000. At December 31, 2006, supplies on hand are $2,300. Supplies expense for 2006 will be

    • Subscriptions Received in Advance, $1,200; Magazine Revenue, $3,800.

    • $25,700.

    • Agencies

    • Retained Earnings account.

    Correct Answer
    A. $25,700.
  • 5. 

    Closing entries result in net income being transferred to the

    • The customer can take a $20 discount if the invoice is paid by August 20.

    • Agencies

    • Retained Earnings account.

    • matching principle.

    Correct Answer
    A. Retained Earnings account.
  • 6. 

    Which of the following source documents would serve as evidence that supplies had been purchased on credit?

    • Auditing to render an opinion on the fairness of financial statements

    • Purchase invoice.

    • there is no count of cash after the clerks shift is over.

    • Large companies are able to devote a substantial amount of resources to internal control systems because these companies have the assets to justify the cost.

    Correct Answer
    A. Purchase invoice.
  • 7. 

    Which one of the following statements regarding internal control is true?

    • there is no count of cash after the clerks shift is over.

    • Large companies are able to devote a substantial amount of resources to internal control systems because these companies have the assets to justify the cost.

    • A Certificate of Deposit (CD) for 2 months

    Correct Answer
    A. Large companies are able to devote a substantial amount of resources to internal control systems because these companies have the assets to justify the cost.
  • 8. 

    Which ratio is used to assess the capital structure and risk level of a company?

    • Debt to Equity.

    • A Certificate of Deposit (CD) for 2 months

    • net sales.

    • the oldest units.

    Correct Answer
    A. Debt to Equity.
  • 9. 

    Monumental Toys sold merchandise to a customer on credit. The invoice amount was $2,000; the invoice date was August 10; credit terms were 1/10, n/30. Which one of the following statements is true?

    • Agencies

    • The customer can take a $20 discount if the invoice is paid by August 20.

    • matching principle.

    • assets received from selling products or services.

    Correct Answer
    A. The customer can take a $20 discount if the invoice is paid by August 20.
  • 10. 

    Bonzo Associates, Inc. recorded salaries expense of $130,000 in 2006. However, additional salaries of $5,000 had been earned, but not paid or recorded at December 31, 2006. After the adjustments are recorded and posted at December 31, 2006, the balances in the Salaries Expense and Salaries Payable accounts will be

    • $135,000 $5,000

    • $2,100

    • Retained Earnings account.

    • Agencies

    Correct Answer
    A. $135,000 $5,000
  • 11. 

    Which one of the following accounts most likely would appear on the income statement of a merchandise company, but not on the income statement of a service company?

    • Expenses

    • asset; expense.

    • Cost of goods sold

    • the buyer.

    Correct Answer
    A. Cost of goods sold
  • 12. 

    Inventory turnover indicates how

    • the buyer.

    • rapidly inventory is sold.

    • Auditing to render an opinion on the fairness of financial statements

    • Cost of goods sold

    Correct Answer
    A. rapidly inventory is sold.
  • 13. 

    All of the following are forms of business entities except

    • Agencies

    • matching principle.

    • Retained Earnings account.

    • assets received from selling products or services.

    Correct Answer
    A. Agencies
  • 14. 

    The recognition of cost of goods sold expense in the same period that sales revenue is recognized from the sale of merchandise is a good example of the

    • Expenses

    • The customer can take a $20 discount if the invoice is paid by August 20.

    • assets received from selling products or services.

    • matching principle.

    Correct Answer
    A. matching principle.
  • 15. 

    At the year end inventory count, if goods in transit are shipped FOB shipping point, they should be included in the inventory count of

    • rapidly inventory is sold.

    • the buyer.

    • Auditing to render an opinion on the fairness of financial statements

    • Cost of goods sold

    Correct Answer
    A. the buyer.
  • 16. 

    On a common-size income statement, all items are expressed as a percentage of

    • Debt to Equity.

    • net sales.

    • A Certificate of Deposit (CD) for 2 months

    • the oldest units.

    Correct Answer
    A. net sales.
  • 17. 

    Which of the following items would be considered to be a cash equivalent?

    • A Certificate of Deposit (CD) for 2 months

    • net sales.

    • Debt to Equity.

    • the oldest units.

    Correct Answer
    A. A Certificate of Deposit (CD) for 2 months
  • 18. 
    Given below are several accounts from Cunningham, Inc.'s trial balance at December 31, 2006. Sales Revenue                           $24,000          Accounts Receivable                    $4,850        Accounts Payable        600 Rent Expense   4,000 Dividends        750 Interest Revenue      950 Fees Collected in Advance        400 Depreciation Expense   1,550 Supplies        500 Supplies Expense   2,000 Cash     4,500 Prepaid Rent   1,150 Wages Expense     2,800 Wages Payable   1,600 Cost of Goods Sold   12,500 Retained Earnings, Jan 1, 2006   6,000           What is the net income for the year ended December 31, 2006?      - ProProfs

    Given below are several accounts from Cunningham, Inc.'s trial balance at December 31, 2006. Sales Revenue                           $24,000          Accounts Receivable                    $4,850        Accounts Payable        600 Rent Expense   4,000 Dividends        750 Interest Revenue      950 Fees Collected in Advance        400 Depreciation Expense   1,550 Supplies        500 Supplies Expense   2,000 Cash     4,500 Prepaid Rent   1,150 Wages Expense     2,800 Wages Payable   1,600 Cost of Goods Sold   12,500 Retained Earnings, Jan 1, 2006   6,000           What is the net income for the year ended December 31, 2006?     

    • $135,000 $5,000

    • $271,000.

    • $2,100

    • 750

    Correct Answer
    A. $2,100
  • 19. 

    The costs of doing business resulting from the sale of goods and services are called

    • matching principle.

    • assets received from selling products or services.

    • Expenses

    • asset; expense.

    Correct Answer
    A. Expenses
  • 20. 

    All of the following are controls over cash received in a cash sale, except

    • Large companies are able to devote a substantial amount of resources to internal control systems because these companies have the assets to justify the cost.

    • Purchase invoice.

    • there is no count of cash after the clerks shift is over.

    • Auditing to render an opinion on the fairness of financial statements

    Correct Answer
    A. there is no count of cash after the clerks shift is over.

Quiz Review Timeline (Updated): May 10, 2017 +

Our quizzes are rigorously reviewed, monitored and continuously updated by our expert board to maintain accuracy, relevance, and timeliness.

  • Current Version
  • May 10, 2017
    Quiz Edited by
    ProProfs Editorial Team
  • Dec 15, 2011
    Quiz Created by
    Nasergreen
Back to Top Back to top
Advertisement
×

Wait!
Here's an interesting quiz for you.

We have other quizzes matching your interest.