A quiz test fro accounting. 20 questions to test your basic accounting knowledge | A quick Accounting questions and Quiz page with good trivia questions.

Accounting questions and Quiz

Accounting questions and Quiz

(Find answers at the bottom of the page)

A quiz test fro accounting. 20 questions to test your basic accounting knowledge | A quick Accounting questions and Quiz page with good trivia questions.

Accounting questions and quiz

Total- 20

Time- 25 mins.

 

1. What is the full disclosure concept’s primary concern?

…………………………………………………………………………………………………………………

2. The standard accounting period will be:

a. 1 year
b. 1 month
c. 1 week
d. 1 day

3. Completeness needs support of accounting documents.

a. True
b. False

4. An assessor of financial statements would require….. to assess the financial statements of his own entity:

a. None
b. Someone from outside
c. Himself

5. The drawings by the owner of an entity should be recorded as-

a. Expense
b. Reduction to capital
c. In a separate account named “Drawings A/c”

6. If an entity leases equipment and pays Tk. 20,000 per month as rent for that for 20 months where the full value of that equipment is Tk. 400,000, should the equipment be treated as our own?

a. Yes
b. No

7. The additional information to trial balance of an entity discloses that revenue was made during the year of an amount of Tk. 5,000 but, not yet received. What should be the treatment of that?

a. Added to the revenue of the current year
b. Deducted from the revenue of the current year
c. Reported as an asset in the balance sheet of the current year
d. Both a. and c.

8. Revenue in the name of written-off bad debt received is Tk. 3,000. Should we record this in the fashion-

a. Income statement
b. Balance sheet
c. Deduct from bad debts current balance provided in the trial balance
d. Deduct from bad debts outstanding balance

9. Giving away a loan of Tk. 1,000 should be a/an-

a. Liability
b. Asset
c. Revenue
d. Expense

10. A depreciation of Tk. 5,000 should be recorded.

a. As a transaction
b. As an asset
c. As a reduction to asset
d. As an expense
e. All of a., c. and d.

11. What should be the proper calculation method for capital?

a. Recorded in a separate account
b. Recorded as a liability
c. Put into the trial balance
d. All of above

12. Accountants usually take out any balance that would overrate the profit when there is an outward chance of even a loss. Why?

a. Materiality
b. Matching
c. Prudence
d. Business entity

13. If accounting data for one year is used to show comparisons to another year what is followed to do so?

a. Prudence
b. Business entity
c. Timeliness

14. Accounting records can be used for financial decision making-

a. True
b. False

15. An entity should always keep inventory accounts at the cost of that inventory-

a. True
b. False

16. If you were the decision maker and all the accounts show a balance unstated of Tk. 5000 in total where total balance is Tk. 500,000, what should you do?

a. Deem the financial statements as untrue
b. Deem the financial as true
c. Deem the financial statements as providing a true and fair value
d. At first check the balance to be related to which account and about what percentage of that account that balance covers and then decide

17. Without proper documentation an entity can-

A. Not publish the statements (With checked in detail)
B. Verify the statements
C. Put forward recommendation to the investors
D. None of the above

18. If the annual report of a company doesn’t consist of any graphical representation, should that be deemed as understandable?

a. Yes
b. Can be deemed if there is any other comprehensive form of disclosure other than the graphical one
c. No

19. How many are financial statements in number?

a. 2
b. 3
c. 4
d. None

20. On what basis balance sheet is prepared?

a. Money measurement
b. Matching
c. Going concern
d. Business entity

 

:: Answers For Accounting questions and Quiz ::

1. Clarity and completeness
2. A
3. A
4. B
5. C
6. A
7. D
8. A
9. B
10. E
11. D
12. C
13. C
14. A
15. B
16. D
17. D
18. B
19. C
20. C

:: Evaluation ::

If you have scored:

0-5: Sorry, mate. Go for some re-reading and try again.
6-10: My bad. Think I couldn’t teach you well. You are all mixed up. Not very clear and not even very unclear.
11-15: Good. Your command on accounting is gathering pace.
16-18: Very good. You are all prepared to get some more accounting basics and move past these.
19-20: Excellent. I think I am a success here. You are good in accounting principles.

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