Enterprise Quiz For *exam*
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This quiz should hep tp prepare for the exam on Friday
Good Luck!
- 1.
Assets are:
- A.
Items of ownership that are benefical to the business
- B.
Moneys owed; debts or pecuniary obligations
- C.
Hair dryers, tools, paint, etc.
- D.
Green with spikes
Correct Answer
A. Items of ownership that are benefical to the businessExplanation
The correct answer is "items of ownership that are beneficial to the business." Assets are resources that a business owns and controls, which have economic value and can provide future benefits. They can include tangible items such as equipment, inventory, and property, as well as intangible assets like patents, trademarks, and goodwill. These assets contribute to the overall value of the business and can be used to generate revenue or provide other benefits in the future.Rate this question:
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- 2.
The accounting equation can be written as:
Correct Answer
O.E. = A − L
A = L + O.E. + (Revenue - Expenses)
A = L + O.E.
A + E = L + O.E. + RevenueExplanation
The accounting equation states that owner's equity (O.E.) is equal to assets (A) minus liabilities (L). This equation shows the relationship between the financial resources of a business (assets) and the claims against those resources (liabilities and owner's equity). The given answer shows the different forms in which the accounting equation can be expressed, including the inclusion of revenue and expenses.Rate this question:
- 3.
Liabilities are:
- A.
The very first, large, heading for a transaction table
- B.
Always a good thing
- C.
The same as an asset
- D.
Anything that is a hindrance or puts a business at disadvantage
Correct Answer
D. Anything that is a hindrance or puts a business at disadvantageExplanation
Liabilities refer to anything that poses a hindrance or disadvantage to a business. They are financial obligations or debts that a company owes to external parties. Liabilities can include loans, accounts payable, accrued expenses, and other obligations that need to be settled in the future. Unlike assets, liabilities are not considered a good thing for a business as they represent the company's financial burdens and reduce its net worth. Managing liabilities effectively is crucial for maintaining a healthy financial position and ensuring the long-term sustainability of the business.Rate this question:
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- 4.
Owners equity is:
- A.
The opposite of liability and can be expressed as capital
- B.
When the owners sneaks into the business' cash register and steals all the money and can be expressed as R.E.A.L.
- C.
Ownership interest in a corporation in the form of common stock or preferred stock capital
- D.
The amount of money in wages and can be expressed as capital
Correct Answer
C. Ownership interest in a corporation in the form of common stock or preferred stock capitalExplanation
The correct answer is ownership interest in a corporation in the form of common stock or preferred stock capital. This means that owners equity represents the value of the owner's investment in a corporation, either through common stock or preferred stock. It is a measure of the owner's ownership stake in the business and represents their claim on the assets of the company after all liabilities have been paid off.Rate this question:
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- 5.
Explain the importance of a Journal and Ledger book.
- 6.
What is debit and credit?
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Current Version
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Sep 06, 2023Quiz Edited by
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Jun 11, 2009Quiz Created by
Milol