FBLA Accounting Exam: Trivia Quiz!

40 Questions | By Debbie16 | Updated: Mar 21, 2022 | Attempts: 1885

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FBLA Accounting Exam: Trivia Quiz! - Quiz

Are you familiar with FBLA accounting? The is an American career and technical student association headquartered in Reston, Virginia, which is The Future Business Leaders of America-phi Beta Lambda or FBLA-PBL. . It was established in 1940. It is a non-profit organization of high school, middle school, college students, and professional members who help students acclimate themselves to the corporate world. Stop right here and see if the numbers add up.

Questions and Answers

1.

When a business uses a petty cash fund, the fund is debited each time it is replaced.
- A.
  
  True
- B.
  
  False
2.

A debit to an account is always an increase.
- A.
  
  True
- B.
  
  False
3.

When a business buys equipment, the bookkeeper credits the asset account.
- A.
  
  True
- B.
  
  False
4.

To determine the interest on a promissory note, the accountant will need to know the principle, interest, rate, and term.
- A.
  
  True
- B.
  
  False
5.

A payee is a person or business to whom a check is payable.
- A.
  
  True
- B.
  
  False
6.

Today the Federal Tax Reform Law only requires persons who are over two years old to have a social security number.
- A.
  
  True
- B.
  
  False
7.

A bonus, rather than a commission, is an amount paid to an employee as a percentage of sales.
- A.
  
  True
- B.
  
  False
8.

Depreciation is allocating the cost of a plant asset over the assetâ��s useful life.
- A.
  
  True
- B.
  
  False
9.

When the accountant debits the withdrawals account, this will result in a decrease to the account.
- A.
  
  True
- B.
  
  False
10.

Straight-line depreciation is allocating the cost of a plant equally over its useful life.
- A.
  
  True
- B.
  
  False
11.

The basic accounting equation may be expressed as
- A.
  
  A. A + E
- B.
  
  B. A = OE - L
- C.
  
  C. Assets = Liabilities + Owner’s Equity
- D.
  
  D. Assets + Liabilities = Owner’s Equity
12.

The year and month are written in a general journal
- A.
  
  A. on each journal page.
- B.
  
  B. for each entry on each journal page.
- C.
  
  C. only at the top of page one of the journal page.
- D.
  
  D. at the bottom of each journal page.
13.

Debts that are not required to be paid within the next accounting period are called
- A.
  
  A. wages.
- B.
  
  B. liabilities.
- C.
  
  C. taxes.
- D.
  
  D. long-term liabilities.
14.

Which of the following transactions will result in the trial balance being out of balance?
- A.
  
  A. $500 salary payment posted as a $500 debit to cash and a $500 credit to salaries expense.
- B.
  
  B. $200 check from a customer in payment of his/her account posted as $200 debit to cash and a $200 credit to accounts receivable.
- C.
  
  C. $75 cash from a customer in payment of his/her account posted as a $75 debit to cash and a $57 credit to cash.
- D.
  
  D. $50 cash purchase of office supplies posted as a $50 debit to office equipment and a $50 credit to cash
15.

At the close of the fiscal year in June, Bernardâ��s Novelty had a cash balance of $8,000. What was the cash balance on June 1 if Bernardâ��s cash receipts for June were $15,526 and his disbursements were $12,200?
- A.
  
  A. $3,326
- B.
  
  B. $7,526
- C.
  
  C. $4,200
- D.
  
  D. $4,674
16.

Assume that Bernardâ��s Novelty is a partnership. Which transaction would occur if Partner A withdraws cash for personal use to purchase an automobile?
- A.
  
  A. Debit salary expense and credit cash
- B.
  
  B. Debit cash and credit Partner A, withdrawal
- C.
  
  C. Debit Partner A, withdrawal and credit cash
- D.
  
  D. Debit capital and credit cash
17.

The accountant will write off a customer as a bad debt using the direct-write method by
- A.
  
  A. debiting bad debts expense and crediting accounts receivable/customer in the general journal.
- B.
  
  B. posting to the bad debts expense and accounts receivable accounts.
- C.
  
  C. posting to the customer’s account showing it to be uncollectible.
- D.
  
  D. All of the above
18.

Adjusting entries journal entries to update the ledger. Therefore, to adjust and account for depreciation expense, the bookkeeper will
- A.
  
  A. debit the account and credit the related expense account.
- B.
  
  B. debit the depreciation account and credit the accumulated depreciation account.
- C.
  
  C. debit the accumulated depreciation account and credit the depreciation expense account.
- D.
  
  D. debit the depreciation account and credit the owner’s equity account.
19.

Which tax is paid by both employer and employee on the employeeâ��s gross wages?
- A.
  
  A. Federal income tax
- B.
  
  B. FICA tax
- C.
  
  C. State income tax
- D.
  
  D. State unemployment tax
20.

Which of the following accounts needs no closing entries?
- A.
  
  A. Capital
- B.
  
  B. Supplies expense
- C.
  
  C. Fees owed
- D.
  
  D. All of the above
21.

Ending inventory is merchandise a business has on hand at the
- A.
  
  A. beginning of the fiscal period
- B.
  
  B. end of the fiscal period.
- C.
  
  C. during the fiscal period.
- D.
  
  D. midpoint of the fiscal period.
22.

A business had gross sales of $4,500 and sales discounts of $250 at the end of May. Net sales at the end of May were $4,100 as there was a sales return and allowance on May 15. How did the bookkeeper record the return and for what amount?
- A.
  
  A. Debit sales discounts for $250, credit accounts receivable/customer.
- B.
  
  B. Credit sales returns and allowances for $150, debit accounts receivable/customer.
- C.
  
  C. Debit sales returns and allowances for $150, credit accounts receivable/customer
- D.
  
  D. Debit sales discounts for $150, credit accounts receivable/customer
23.

___________ stock is the type of stock issued by a corporation when only one class of stock is issued.
- A.
  
  Preferred
- B.
  
  Common
- C.
  
  Capital
- D.
  
  Dividend
24.

Retained earnings are earnings of a ________ and will be shown on the ______________.
- A.
  
  Sole proprietorship, balance sheet
- B.
  
  Partnership, income statement
- C.
  
  Corporation, balance sheet
- D.
  
  Corporation, income statement
25.

The balance sheet will show:
- A.
  
  Asset accounts only on a specific date
- B.
  
  Preliminary balances of all the asset and liability accounts on a specific date.
- C.
  
  Final balances of all accounts on a specific date.
- D.
  
  Final balances in all asset, liability, and owner’s equity accounts