Principle of Account CXC Paper 1 Practice Questions


        
                    

        QUIZ START
        
            
    
        
            Results
            
            

            

                            
                    
                        
                            
                                
                            
                        
                                        
                        
                    
                
                    

        

    
#1. Retained earnings will change over time because of several factors. Which of the following factors would explain an increase in retained earnings? 
			
				
					
						
						net income			
					
					net income				
			
				
				
					
						
						dividens			
					
					dividens				
			
				
				
					
						
						net loss			
					
					net loss				
			
				
				
					
						
						investments by stock holders			
					
					investments by stock holders				
			
	
#2. Closing balance of cash can be obtained by drawing up a _________ 
			
				
					
						
						cash book			
					
					cash book				
			
				
				
					
						
						cash payments journal			
					
					cash payments journal				
			
				
				
					
						
						debtor account			
					
					debtor account				
			
				
				
					
						
						credit account			
					
					credit account				
			
	
#3. Some of the more common balance sheet accounts and how they are further arranged in the general ledger include all the following except? 
			
				
					
						
						stockholders' equity accounts such as Common Stock, Retained Earnings, Treasury Stock, and Accumulated Other Comprehensive Income			
					
					stockholders' equity accounts such as Common Stock, Retained Earnings, Treasury Stock, and Accumulated Other Comprehensive Income				
			
				
				
					
						
						operating expense accounts including Salaries Expense, Rent Expense, and Advertising Expense			
					
					operating expense accounts including Salaries Expense, Rent Expense, and Advertising Expense				
			
				
				
					
						
						liability accounts including Notes Payable, Accounts Payable, Accrued Expenses Payable, and Customer Deposits			
					
					liability accounts including Notes Payable, Accounts Payable, Accrued Expenses Payable, and Customer Deposits				
			
				
				
					
						
						asset accounts such as Cash, Accounts Receivable, Inventory, Investments, Land, and Equipment			
					
					asset accounts such as Cash, Accounts Receivable, Inventory, Investments, Land, and Equipment				
			
	
#4. A financial statement that reports a company’s assets, liabilities and shareholders’ equity at a specific point in time, and provides a basis for computing rates of return and evaluating its capital structure. It is a financial statement that provides a snapshot of what a company owns and owes, as well as the amount invested by shareholders 
			
				
					
						
						assests			
					
					assests				
			
				
				
					
						
						general ledge account			
					
					general ledge account				
			
				
				
					
						
						balance sheet			
					
					balance sheet				
			
				
				
					
						
						liability			
					
					liability				
			
	
#5. Assets are usually reported on the balance sheet at which account ? 
			
				
					
						
						cost			
					
					cost				
			
				
				
					
						
						current market value			
					
					current market value				
			
				
				
					
						
						income statement			
					
					income statement				
			
				
				
					
						
						expected selling price			
					
					expected selling price				
			
	
#6. Accounting is the set of concepts and techniques that are used to measure and report financial information about an economic unit 
			
				
					
						
						False			
					
					False				
			
				
				
					
						
						True			
					
					True				
			
	
#7. Which of the following would not be included on a balance sheet? 
			
				
					
						
						cash			
					
					cash				
			
				
				
					
						
						accounts receivable			
					
					accounts receivable				
			
				
				
					
						
						accounts payable			
					
					accounts payable				
			
				
				
					
						
						sales			
					
					sales				
			
				
				
					
						
						all of the above			
					
					all of the above				
			
	
#8. Which of the following equations properly represents a derivation of the fundamental accounting equation? 
			
				
					
						
						assets+liabilities=owners equity			
					
					assets+liabilities=owners equity				
			
				
				
					
						
						cash=assets			
					
					cash=assets				
			
				
				
					
						
						assets=owner's equity			
					
					assets=owner's equity				
			
				
				
					
						
						assets-liabilities=owners equity			
					
					assets-liabilities=owners equity				
			
	
#9. Which of the following transaction would have no impact on stockholders equity? 
			
				
					
						
						net loss			
					
					net loss				
			
				
				
					
						
						purchase of land from the proceeds of a bank loan			
					
					purchase of land from the proceeds of a bank loan				
			
				
				
					
						
						none of the above			
					
					none of the above				
			
				
				
					
						
						investment of cash by stock holders			
					
					investment of cash by stock holders				
			
	
#10. Accounting entries involves a minimum of how many accounts? 
			
				
					
						
						five			
					
					five				
			
				
				
					
						
						four			
					
					four				
			
				
				
					
						
						 three			
					
					 three				
			
				
				
					
						
						two			
					
					two				
			
	
#11. The private sector that currently overseas external financial reporting is the? 
			
				
					
						
						liabilities			
					
					liabilities				
			
				
				
					
						
						balance sheet			
					
					balance sheet				
			
				
				
					
						
						revenue			
					
					revenue				
			
				
				
					
						
						financial accounting standards board			
					
					financial accounting standards board				
			
	
#12. Which of the following has the right to basic voting in corporation? 
			
				
					
						
						no one has the right			
					
					no one has the right				
			
				
				
					
						
						both have equal rights			
					
					both have equal rights				
			
				
				
					
						
						ordinary share-holders			
					
					ordinary share-holders				
			
				
				
					
						
						preference share holder			
					
					preference share holder				
			
	
#13. Business entries are recorded originally in _________ 
			
				
					
						
						SOFP			
					
					SOFP				
			
				
				
					
						
						SOCI			
					
					SOCI				
			
				
				
					
						
						general journal			
					
					general journal				
			
				
				
					
						
						trial balance			
					
					trial balance				
			
	
#14. __________ is the excess of a company’s revenue over expenses for a given time period. 
			
				
					
						
						liabilities			
					
					liabilities				
			
				
				
					
						
						assets			
					
					assets				
			
				
				
					
						
						income			
					
					income				
			
				
				
					
						
						owner investment			
					
					owner investment				
			
	
#15. Which of these items would be accounted for as an expense? 
			
				
					
						
						payment of the current periods rent			
					
					payment of the current periods rent				
			
				
				
					
						
						dividends to stockholders			
					
					dividends to stockholders				
			
				
				
					
						
						repayment  of a bank loan			
					
					repayment  of a bank loan				
			
				
				
					
						
						purchase of land			
					
					purchase of land				
			
	
#16. Net profit + operating expenses = 
			
				
					
						
						net sales			
					
					net sales				
			
				
				
					
						
						gross profit			
					
					gross profit				
			
				
				
					
						
						costs of goods sold			
					
					costs of goods sold				
			
				
				
					
						
						amount of sales			
					
					amount of sales				
			
	
#17. Money owed to customers is ______________ 
			
				
					
						
						capital			
					
					capital				
			
				
				
					
						
						a liability			
					
					a liability				
			
				
				
					
						
						an asset			
					
					an asset				
			
				
				
					
						
						income			
					
					income				
			
	
#18. The primary private sector agency that oversees external financial reporting standards in the: 
			
				
					
						
						all of the above			
					
					all of the above				
			
				
				
					
						
						financial accounting standards board			
					
					financial accounting standards board				
			
				
				
					
						
						general accounting office			
					
					general accounting office				
			
				
				
					
						
						internal revenue service			
					
					internal revenue service				
			
	
Finish

Helpful Test

Principle of Account CXC Paper 1 Practice Questions

Results

#1. Retained earnings will change over time because of several factors. Which of the following factors would explain an increase in retained earnings?

#2. Closing balance of cash can be obtained by drawing up a _________

#3. Some of the more common balance sheet accounts and how they are further arranged in the general ledger include all the following except?

#5. Assets are usually reported on the balance sheet at which account ?

#6. Accounting is the set of concepts and techniques that are used to measure and report financial information about an economic unit

#7. Which of the following would not be included on a balance sheet?

#8. Which of the following equations properly represents a derivation of the fundamental accounting equation?

#9. Which of the following transaction would have no impact on stockholders equity?

#10. Accounting entries involves a minimum of how many accounts?

#11. The private sector that currently overseas external financial reporting is the?

#12. Which of the following has the right to basic voting in corporation?

#13. Business entries are recorded originally in _________

#14. __________ is the excess of a company’s revenue over expenses for a given time period.

#15. Which of these items would be accounted for as an expense?

#16. Net profit + operating expenses =

#17. Money owed to customers is ______________

#18. The primary private sector agency that oversees external financial reporting standards in the:

Helpful Test Copyright @ 2022

Principle of Account CXC Paper 1 Practice Questions

Results

#1. Retained earnings will change over time because of several factors. Which of the following factors would explain an increase in retained earnings?

#2. Closing balance of cash can be obtained by drawing up a _________

#3. Some of the more common balance sheet accounts and how they are further arranged in the general ledger include all the following except?

#5. Assets are usually reported on the balance sheet at which account ?

#6. Accounting is the set of concepts and techniques that are used to measure and report financial information about an economic unit

#7. Which of the following would not be included on a balance sheet?

#8. Which of the following equations properly represents a derivation of the fundamental accounting equation?

#9. Which of the following transaction would have no impact on stockholders equity?

#10. Accounting entries involves a minimum of how many accounts?

#11. The private sector that currently overseas external financial reporting is the?

#12. Which of the following has the right to basic voting in corporation?

#13. Business entries are recorded originally in _________

#14. __________ is the excess of a company’s revenue over expenses for a given time period.

#15. Which of these items would be accounted for as an expense?

#16. Net profit + operating expenses =

#17. Money owed to customers is ______________

#18. The primary private sector agency that oversees external financial reporting standards in the:

10 Ways To Overcome Nervousness Before an Exam

Persuasive writing

You may also like

Helpful Test Copyright @ 2022