5 Written questions
5 Matching questions
- Opening an account
- Trial balance
- a A proof of the equality of debits and credits in a general ledger.
- b Transferring information from a journal entry to a ledger account.
- c A business owned by one person.
- d Writing the account title and number on the heading of an account.
- e A business activity that changes assets, liabilities, or owner's equity.
5 Multiple choice questions
- When revenue from business activities and expenses associated with earning that revenue are recorded in the same accounting period.
- An amount owed by a business.
- Accounts used to accumulate information until it is transferred to the owner's capital account.
- A source document is prepared for each transaction.
- The length of time of which a business summarizes and reports financial information.
5 True/False questions
Owner's equity → The amount remaining after the value of all liabilities is subtracted from the value of all assets.
Permanent accounts → Accounts used to accumulate information until it is transferred to the owner's capital account.
Work sheet → Transferring information from a journal entry to a ledger account.
Going concern concept → A financial statement showing the revenue and total expenses for a fiscal period.
Net loss → The difference between total revenue and total expenses when total revenue is greater.