Acct 2301.02 Principles Of Financial Accounting Quiz

2.

Adjusting entries result in a better matching of revenues and expenses.
- True
- False
Correct Answer

A. True

Explanation

Truer words were never spoken. Okay, I guess maybe they were, but this statement is still right on.

Rate this question:
3.

Adjusting entries are made after the preparation of financial statements.
- True
- False
Correct Answer

A. False

Explanation

Adjusting entries are made before preparation of the financial statements.

Rate this question:
4.

Preparation of a trial balance is the first step in the analyzing and recording process.
- True
- False
Correct Answer

A. False

Explanation

Preparing a trial balance comes after the analysis of transactions, journalizing and posting of all entries.

Rate this question:
5.

The business entity principle prescribes that a business will continue operating for an indefinite period of time.
- True
- False
Correct Answer

A. False

Explanation

What is described in this question is actually the going concern principle. The business entity principle basically prescribes that a business' activities and financial information is separate from those individuals that own the business.

Rate this question:

Recent Quizzes

FINANCIAL ACCOUNTING SSS 1

This quiz assesses knowledge in Financial Accounting for SSS 1, covering topics like capital, source documents, accounting bodies, and ledger management.

Questions: 50 | Attempts: 1395 | Last updated: Jan 13, 2025

Sample Question
Another word for start-up fund for business is ……… a

……… a) loan

b) bank savings

c) capital

d) cash balance

Financial Accounting Practice Exam Quiz!

The 'Financial Accounting Practice Exam Quiz!' assesses key skills in financial accounting, covering topics like ledger balances, profit calculations, and accounting for raw...

Questions: 69 | Attempts: 1559 | Last updated: Aug 14, 2024

Sample Question
The balance in a sales ledger control account indicates:

Difference between debtors and creditors

Total sales

total purchases

Total debtors

Accountancy Quiz MCQ: Exam!

This Accountancy Quiz MCQ: Exam assesses knowledge in financial accounting, focusing on bad debts, account types, and the basic accounting equation. It evaluates understanding of...

Questions: 15 | Attempts: 478 | Last updated: Mar 22, 2023

Sample Question
A company had a doubtful debt provision of £14,000 on 31 December 2008. Its trade receivables at 31 December 2009 were £198,200. The company considers that receivables totaling £12,200 will not be paid and in addition planned to make a doubtful debt provision for 10% of its net receivables on 31 December 2009. What is the charge for bad and doubtful debts in the income statement for the year ended 31 December 2009?

£32,600

£44,800

£16,800

£12,200

MGT101 : Test Your Financial Accounting Knowledge! Trivia Questions Quiz

MGT101 : This is a trivia questions quiz designed to test your financial accounting knowledge! For you to be a skilled accountant, you need to have enough information about all...

Questions: 40 | Attempts: 538 | Last updated: Mar 22, 2023

Sample Question
Proper recording of any dealing between two persons involving money or a valuable thing is called ________

Transaction

Dealing

Book Keeping

Accounting

Classification Of Accounts Quiz! Test

Dive into the 'Classification of Accounts Quiz! Test' to assess your understanding of key accounting concepts. This quiz covers various types of accounts including assets like...

Questions: 15 | Attempts: 576 | Last updated: Mar 21, 2023

Sample Question
Cash in hand

Asset

Liability

Income

Capital

Expense

Drawing

Financial Accounting Test 2

This Quiz is to test your accounting information, its an advanced questions. After you finish, you will review your answers before submit and then you will get your result with...

Questions: 15 | Attempts: 267 | Last updated: Mar 21, 2023

Sample Question
A manufacturing company recognized a valuation provision to inventories due to their obsolescence. Can the manufacturing offsetting inventory valuation provision against inventory balance in the statement of financial position?

No, because its not permit to offsetting of assets and liabilities unless is it allowed by another standard.

Yes, because this situation is not offsetting.

Yes, because in this case, offsetting leads to better understanding of the financial statements by their users.

No, because the assets and liabilities shall not be offset.

Acct 2301.02 Principles Of Financial Accounting Quiz

Ethics are not important to the primary functions of accounting.

Quiz Preview

Adjusting entries result in a better matching of revenues and expenses.

Adjusting entries are made after the preparation of financial statements.

Preparation of a trial balance is the first step in the analyzing and recording process.

The business entity principle prescribes that a business will continue operating for an indefinite period of time.