Be Accounting

13 Questions

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Accounting Quizzes & Trivia

Questions and Answers
  • 1. 
    All profits go to the owner is an advantage of sole proprietorship.
    • A. 

      True

    • B. 

      False

  • 2. 
    • A. 

      Cable bill

    • B. 

      Mortgage

    • C. 

      Accounts recievable

    • D. 

      Car

  • 3. 
    The accounting equation is ____________________
    • A. 

      Revenue - expenses = Net income

    • B. 

      Assets + Liabilities = Owner's Equity

    • C. 

      Assets - Liabilities = Owner's Equity

    • D. 

      Liabilities + Owner's Equity = Assets

  • 4. 
    Owner's Equity is the owner's claims to the business' cash only.
    • A. 

      True

    • B. 

      False

  • 5. 
    The following are Types of businesses.
    • A. 

      Service, Merchandising, Manufacturing

    • B. 

      Service, Sole Proprietorship, Manufacturing

    • C. 

      Sole Proprietorship, Partnership, Corporation

    • D. 

      Assets, Expenses, Income

  • 6. 
    The amount of money earned after the costs of operating a business are paid is_____________.
    • A. 

      Revenue

    • B. 

      Income

    • C. 

      Profit

    • D. 

      Capital

  • 7. 
    Which of the following would NOT be considered a service business?
    • A. 

      General Motors

    • B. 

      North American Van Lines

    • C. 

      Delta Airlines

    • D. 

      Alamo Rent A Car

  • 8. 
    The most common form of business organization is the ________________.
    • A. 

      Partnership

    • B. 

      Sole proprietorship

    • C. 

      Corporation

    • D. 

      Not-for-profit

  • 9. 
    The 3 forms of businesses (ownership structures) are:
    • A. 

      Revenue, profit, income

    • B. 

      Service, Manufacturing, Corporation

    • C. 

      Sole proprietorship, Partnership, Corporation

    • D. 

      Partnership, Withdrawal, Owner's equity

  • 10. 
    A service business __________
    • A. 

      Has only one owner

    • B. 

      Never earns a profit

    • C. 

      Buys raw materials, uses labor and machinery to transforms them into finished products

    • D. 

      Provides a needed service for a fee

  • 11. 
    A merchandising business _______________.
    • A. 

      Bakes bread and packages it for the grocery store

    • B. 

      Buys finished products and resells them to individuals or other businesses

    • C. 

      Does not need accountants

    • D. 

      Buys raw materials, uses labor and machinery to transforms them into finished products