Time Left:
00
:
00
:
00
HRS
 
MIN
 
SEC
Time Spent: %%TIMESPENT%%
Time expired. Sorry, you will not be able to continue with this quiz. Please opt-in to see the result.
SEC
Accounting elements and equation
Accounting elements and equation
Start the Quiz! 
... ... ... ... ... ... ... ... ...

1/15

A business sells second-hand vehicles. State the term for “motor vehicles for resale”

Owner’s equity

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Trade payables
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

Trade receivables

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Inventory
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

2/15

Accountants refer to an economic event as a 

 purchase

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

sale

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

transaction

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
change in ownership
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

3/15

Owner's equity is best depicted by the following: 

Assets = Liabilities

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
 Liabilities Assets
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Residual equity Assets.
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Assets – Liabilities.
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

4/15

The basic accounting equation for a company may be expressed as

Assets = Equities

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Assets – Liabilities = Shareholders' Equity
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Assets = Liabilities Shareholders' Equity.
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

All of above

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

5/15

Liabilities

are future economic benefits

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
are existing debts and obligations.
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

possess service potential

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

are things of value used by the business in its operation.

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

6/15

Income would not result from

sale of merchandise

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

ordinary shares

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
performance of services
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
rental of property
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

7/15

Sources that increase shareholders’ equity are

additional investments by owners
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
purchases of merchandise
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

dividends

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

expenses

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

8/15

A net loss will result during a time period when

liabilities exceed assets

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

dividends exceed investments

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

 expenses exceed income

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

income exceed expenses

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

9/15

If total liabilities increased by $30,000 and total equity increased by

$20,000 during a period of time, then total assets must change by what amount and

direction during that same period?

$50,000 decrease

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

$10,000 decrease

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

$10,000 increase

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

$50,000 increase

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

10/15

 If total liabilities decreased by $30,000 and sharetockholders' total equity increased by

 $20,000 during a period of time, then total assets must change by what amount and 

direction during that same period?

$50,000 decrease

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

$10,000 decrease

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
$10,000 increase
A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags

$50,000 increase

A text area will be displayed in the frontend when users select this answer.
Add RecommendationAdd Tags
Next

11/15

Every transaction affects at least two accounts. 

True 
Add RecommendationAdd Tags
False
Add RecommendationAdd Tags
Next

12/15

The basic accounting equation is stated as

Assets = Liabilities ?

True
Add RecommendationAdd Tags
False
Add RecommendationAdd Tags
Next

13/15

The basic accounting equation is in balance when claims by external parties and the owner against

the business equal the 

assets.

True
Add RecommendationAdd Tags
False
Add RecommendationAdd Tags
Next

14/15

In a company, Retained Earnings is a part of ownershareholders’ equity. 

True
Add RecommendationAdd Tags
False
Add RecommendationAdd Tags
Next

15/15

Cash and supplies are both classified as current assets

True
Add RecommendationAdd Tags
False
Add RecommendationAdd Tags
Next
%%QUESTIONANSWERS%%
Skip Opt-in
Insert Video
Almost there...
Where can we email you the results? Please enter details below.
Get Started
You can unsubscribe at any time.
Retake
x

Report

Harassment or bullying behavior
Contains mature or sensitive content
Contains misleading or false information
Contains abusive or derogatory content
Contains spam, fake content or potential malware

Block Member?

Please confirm you want to block this member.

You will no longer be able to:

  • See blocked member's posts
  • Mention this member in posts

Please allow a few minutes for this process to complete.

Report

You have already reported this