Question 1

Arrange the following based on the accounting cycle that you have learned from the previous quarter.

1. adjusting entries,

2. closing the books

3. financial statements

4. journalizing

5. posting

6. transactions

7. trial balance

8. worksheet

Accepted Answer

6,4,5,7,8,1,3,2

Answer

6,5,4,7,8,1,3,2

Answer

6,5,4,7,1,8,3,2

Answer

6, 4,5,7,1,8,3,2

Question 2

This principle stated that, whatever the mode of collection is, revenue must be recognized when earned.

Accepted Answer

Accrual accounting principle

Answer

Objectivity principle

Answer

Conservatism principle

Answer

Disclosure principle

Question 3

This principle stated the separation or distinction of a
business entity to its owner/s.

Accepted Answer

Business entity principle

Answer

Disclosure principle

Answer

Going concern principle

Answer

Objectivity principle

Question 4

This principle stated that, in case that there are doubts or hesitations, assets and income should not be overstated while liabilities and expenses should not be understated.

Accepted Answer

Conservatism principle

Answer

Objectivity principle

Answer

Disclosure principle

Answer

Materiality Principle

Question 5

The recording of transactions into the book of original entry is called ___________-

Accepted Answer

Journalizing

Answer

Cross Referencing

Answer

Posting

Answer

Adjusting

Question 6

The process of transferring similar accounts to the book of final entry.

Accepted Answer

Posting

Answer

Cross Referencing

Answer

Adjusting

Answer

Journalizing

Question 7

This principle stated that, the accounts should be recorded the actual cost.

Accepted Answer

Cost principle

Answer

Disclosure principle

Answer

Matching Principle

Answer

Time period principle

Question 8

This principle stated that a financial statement should be reported in accordance to a specific time period, either annually, quarterly or monthly.

Accepted Answer

Time period principle

Answer

Disclosure principle

Answer

Conservatism principle

Answer

Objectivity principle

Question 9

It  is defined as an art of recording, classifying, summarizing in a significant manner and in terms of money, transactions, and events which are in part at least of a financial character and interpreting the results thereof.

Accepted Answer

Accounting

Question 10

A company requires that expenses must be matched with revenues.

Accepted Answer

Matching Principle

Answer

Going Concern Concept

Answer

Accrual Concern Concept

Answer

Materiality Principle

Question 11

Expense already incurred but not yet paid in cash nor recorded.

Accepted Answer

Accrued Expense

Answer

Prepaid Expense

Answer

Unearned Income

Answer

Accrued Income

Question 12

Expense  paid in advance.

Accepted Answer

Prepaid Expense

Answer

Unearned Income

Answer

Accrued Expense

Answer

Accrued Income

Question 13

This principle stated that the money recorded is based on a single currency.

Accepted Answer

Monetary unit principle

Answer

Conservatism principle

Answer

Disclosure principle

Answer

Objectivity principle

Question 14

It is an illustration of the basic accounting equation.

Accepted Answer

Assets=Liabilities + Owner's Equity

Question 15

An expense that refers to the portion of accounts receivable that is in doubt of being collected.

Accepted Answer

Allowance for Bad Debts/Doubtful Account

Answer

Accrued Expense

Answer

Depreciation Expense

Answer

Prepaid Expense

Question 16

Assuming that cash ledger has a debit total of 20,000.00 and credit total of 5,000.00. How much is its ending balance?

Accepted Answer

5,000.00

Answer

15,000.00

Answer

20,000.00

Answer

25,000.00

Question 17

These are the  guidelines that encompasses the
conventions, rules and procedures necessary to define accepted accounting practice at a particular time.

Accepted Answer

Generally Accepted Accounting Principles

Question 18

He is known as the Father of Accounting and bookkeeping.

Accepted Answer

Luca Pacioli

Question 19

Is a system in bookkeeping that  states that every entry to an account requires a corresponding and opposite entry to a different account. It has  two equal and corresponding sides known as debit and credit.

Accepted Answer

Double-entry

Question 20

It  is the process of recording all financial transactions made by a business.

Accepted Answer

Bookkeeping

Question 21

Assets and Liabilities will increase if the business borrowed money on bank.

Accepted Answer

true

Answer

false

Question 22

This organization define accounting as the process of identifying, measuring, and communicating economic information to permit informant judgments and decisions by users of information.

Accepted Answer

American Accounting Association

Answer

Philippine Association of Certified Public Accountants

Answer

American Institute of Certified Public Accountants

Answer

Financial Reporting Standards Council

Question 23

________ is bills, coins, bank balances, money orders, and checks

Accepted Answer

Cash

Question 24

collectibles of the business from a client or customers for the sales of goods or services rendered on account.

Accepted Answer

Accounts Receivable

Question 25

Current Assets are assets that are not easily converted into cash and has a useful life of more than one
year.

Accepted Answer

false

Answer

true

Question 26

Which of the following is a merchandising business?

Accepted Answer

Computer Supplies Store

Answer

computer factory

Answer

computer repair shop

Answer

Computer Rental Shop

Question 27

These are the resources, property or rights owned by the business.

Accepted Answer

Assets

Question 28

a contra-asset account that is deductible from a particular fixed-asset.

Accepted Answer

Accumulated Depreciation

Question 29

It is an obligation or debts of a business owed to an entity.

Accepted Answer

LIABILITY

Question 30

It is an obligation that arise from the purchase of goods or services on account.

Accepted Answer

Accounts Payable

Question 31

Notes Receivable is an obligation that bears a promissory note.

Accepted Answer

false

Answer

true

Question 32

These are expenses that are incurred but not yet paid such as utilities
payable, salaries payable, utilities payable, etc.

Accepted Answer

Accrued expenses

Question 33

It is a cash received by the business in advance but good or
services are not yet earned by the client/customer such as unearned
advertising, unearned commission. Etc.

Accepted Answer

Unearned income

Question 34

These are bank loans with collateral assets such as house and lot.

Accepted Answer

Mortgage payable

Question 35

It is also known as Equity or Owner’s Equity is another type of major
account that refers to the vested interest of the owner in the business.

Accepted Answer

Capital

Question 36

refers to temporary withdrawals of the owner of either,
cash, supplies, goods or property for personal use.

Accepted Answer

Owner's Drawing

Question 37

It is derived from the service rendered

Accepted Answer

Service Income

Question 38

It is the cost of transportation.

Accepted Answer

Delivery expense

Question 39

the cost of the fixed asset w/c has been charged to income during the period.

Accepted Answer

Depreciation expense

Question 40

a portion of accounts receivable that cannot be collected.

Accepted Answer

Bad debts

Question 41

It is expense for the space occupied by the business.

Accepted Answer

Rent expense

Question 42

It is the cost of service rendered by the employees

Accepted Answer

Salaries and wages

Question 43

It is the cost of office items.

Accepted Answer

Supplies Expense

Question 44

It is the cost of light and water used in the business.

Accepted Answer

Utilities expense

Question 45

It is the list of accounts usually used by the companies for their financial records.

Accepted Answer

Chart of Accounts

Question 46

General Journal is the book of original entry while General Ledger is the book of final entry.

Accepted Answer

true

Answer

false

Question 47

What accounts are involve in recording the initial investment of the owner?

Accepted Answer

Cash and Capital

Answer

Cash and Service Revenue

Answer

Cash and Accounts Payable

Answer

Cash and Accounts Receivable

Question 48

What accounts are involve in recording a service rendered on account.

Accepted Answer

Accounts Receivable and Service Revenue

Answer

Cash and Service Revenue

Answer

Accounts Payable and Service Revenue

Answer

Cash and Accounts Payable

Question 49

A special journal that is used to record all cash payments.

Accepted Answer

Cash disbursement journal

Answer

Cash Recipts Journal

Answer

Purchase Journal

Answer

Sales Journal

Question 50

A special journal that is used to record the several sales transactions on account.

Accepted Answer

Sales Journal

Answer

Cash Recipts Journal

Answer

Purchase Journal

Answer

Cash disbursement journal

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