Accounting Quiz 09

Identify the nominal account

Rent expenses account

Machinery account

Creditors account

Building account

What is the basic accounting equation?

Capital+assets=liabilities

Liabilities+Capital

Capital+Liabilities=Assets

Assets+ liabilities =Capital

Which of the following accounts can be classified as a real account?

Rent income account

Rent expenses account

Insurance expenses account

Cash account

Transferring entries from journal to ledger account is commonly known as____________?

Transferring

Posting

Recording

Entry making

Identify the asset from the following:

Bank loan

Cash and cash equivalent

Creditors

Notes payable

Which of the following is a liability?

Creditors

Equipment

Debtors

Cash

What is equity?

Owner’s claim on total assets

Cash from the business

Owner’s claim on total liabilities

liability of a business

Double entry implies that

Recording two aspects of every transaction

Recording every transaction in books

Recording entries in Ledger account

Recording entries in journal

Net loss occurs when______________?

Expenses are less than Income

Liabilities are greater than income

Expenses are greater than Income

Expenses=Income

_______ the withdrawal of cash and goods by the owner of the busienss for his/her personal use?

Drawings

Outflow of cash

Appreciation

Depreciation