15 questions
Accounting is ....
the process of recording financial transactions pertaining to a business
art and science of managing money
a social science that deals with the production, distribution, and consumption of goods and services
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
Which of the following is an example of an asset?
Vehicle
Electricity
Mortgage
Which of the following is an example of a liability?
Loan
Building
Sales
Accounts receivable
Which of the following is an example of Income
Sales
Mortgage
Equipment
Double entry in accounting means there must be________ entries for every transaction?
two
Three
six
one
Summary of assets and liabilities
Profit and loss account
Balance Sheet
Trading acccont
Income and expenditure account
Accounting is referred to as the "language of ___________________."
Profit
Life
Accounting
Business
Goodwill is a
Tangible assets
Liquid assets
Intangible assets
Intangible Liabilities
Managerial accounting is designed for use by:
Internal users
Stockbrokers
External users
Clients
What is the accounting equation
Revenue - Expenses = Profit
Capital + Assets = Liabilities
Capital + Liabilities = Assets
Capital - Liabilities = Assets
The formula for calculating the break-even number of units is:
The time it takes to double an investment can be estimated by using which of the following?
book value
the Rule of 72
blue-chips
What is Finance?
Finance refers to art and science of managing money
Finance is the process of recording financial transactions pertaining to a business
Finance is process to identifying customer needs and wants
Fara earns an interest rate of 2.2% on a $9,000 savings account. Let’s calculate the future value of this amount if Fara keeps it for 11 years:
Formula: FV= PV(1+i)7
$11,434.11
$10,434.11
$9,434.11