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- 1. Multiple Choice
The purpose of accounting is to....
communicate information to interested users so that they can make informed decisions
communicate financial and non-financial information to interested users so that they can make informed decisions
communicate non-financial information to interested users so that they can make informed decisions
- 2. Multiple Choice
An Asset is...
An asset is a resource currently owned and controlled by a business as a result of a past transaction
An asset is a resource owned by a business as a result of a past transaction
An asset is something that costs money
- 3. Multiple Choice
The starting point of the accounting process is
communicating information to users.
identifying economic events.
recording economic events.
None of these answers are correct.
- 4. Multiple Choice
Accountants refer to an economic event as a
sale
purchase
transaction.
change in ownership
- 5. Multiple Choice
Communication of economic events is the part of the accounting process that involves
identifying economic events
quantifying transactions into dollars and cents.
preparing accounting reports
recording and classifying information.
- 6. Multiple Choice
The accounting process involves all of the following except
identifying economic transactions that are relevant to the business.
communicating financial information to users by preparing financial reports.
recording non quantifiable economic events.
analyzing and interpreting financial reports
- 7. Multiple Choice
The accounting process is correctly sequenced as
identification, communication, recording.
recording, communication, identification.
identification, recording, communication.
communication, recording, identification.
- 8. Multiple Choice
Which of the following would not be considered an internal user of accounting data for the LMN Company?
President of the company.
Production manager
Merchandise inventory clerk
President of the employees' labor union
- 9. Multiple Choice
Which of the following would not be considered an external user of accounting data for the LMN Company?
LHDN
Management
Creditors.
Customers.
- 10. Multiple Choice
Which of the following would not be considered an external user of accounting data for the LMN Company?
LHDN
Management
Creditors.
Customers.
- 11. Multiple Choice
Which of the following would not be considered internal users of accounting data for a company?
The president of a company
The controller of a company.
Creditors of a company
Salesmen of the company.
- 12. Multiple Choice
Which of the following is an external user of accounting information?
Labor unions.
Finance directors
Company officers.
Managers
- 13. Multiple Choice
Which of the following statement is true?
Bookkeeping is recording all the business transaction and owner's own transaction
Bookkeeping deals with record-keeping and is one only aspect of accounting
Bookkeeping and accounting are one and the same since the bookkeeping function is includes in accounting process
None of the above
- 14. Multiple Choice
Who is Luca Pacioli
The Father of Accounting
The Mother of Accounting
Accountant
The Brother of Accounting
- 15. Multiple Choice
Which of the following would NOT be considered as internal users of accounting data for a company?
External auditor
CEO of the company
President of the company
Salesman of the company
- 16. Multiple Choice
Which of the following are the types of financial statements
1.Statement of Cash Flow
2.Statement of Comprehensive Income
3.Statement of Financial Position
4. Trial balance
1, 2, 3 and 4
1, 2 and 3
2 and 4
2, 3 and 4
- 17. Multiple Choice
Accounting graduates can works as
1.External Auditors
2.Lawyers
3.Accountants
4.Tax Officers
1,3 and 4
1 and 3
1, 2 and 3
3 and 4
- 18. Multiple Choice
When the book keeping system was introduced by Luca Pacioli
1000s
1100s
1300s
1400s
- 19. Multiple Choice
Which type of business organization has a separate legal entity from its owners, and the owners are not liable for debts of business?
Sole trader
Partnership
Limited Company
None of the above
- 20. Multiple Choice
The process of identify, classify, recording and communicating business transaction is called as book-keeping.
True
False
- 21. Multiple Choice
Define the bookkeeping
It's a process of classifying, recording and summarizing the business transaction.
Its a process of recording, summarizing and classifying the business transactions.
It's a process of classifying, summarizing and recording the business transactions.
- 22. Multiple Choice
Which of the following is definition of accounting?
It's a process of classifying, recording, and summarizing the business transaction in monetary unit, interpretating the data in assist stakeholders in making decision.
It's a process of recording, classifying, and summarizing the business transaction in monetary unit, interpretating the data in assist stakeholders in making decision.
It's a process of classifying, recording, and summarizing the business transaction interpreting the data in assist stakeholders in making decision.
- 23. Multiple Choice
Which of the following is the internal user of accounting information?
Manager
Financial institutions
Business owners
Current investor
- 24. Multiple Choice
Which of the following is the external user of accounting information?
Manager
Financial institutions
Business owners
Current investor
- 25. Multiple Choice
Which of the following are not the internal user of accounting information?
Manager
Financial institutions
Business owners
Current investor
- 26. Multiple Choice
Which of the following is the external user of accounting information?
Manager
Financial institutions
Creditor
Inland Revenue
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