This document contains a practice exam with multiple choice questions about accounting concepts such as the balance sheet, income statement, cash flow statement, and financial ratios. It tests understanding of key accounts like assets, liabilities, equity, revenues, expenses. It also contains word problems requiring calculations of financial values like net income, owner's equity, cash flows from operating, investing and financing activities.
This document contains a practice exam with multiple choice questions about accounting concepts such as the balance sheet, income statement, cash flow statement, and financial ratios. It tests understanding of key accounts like assets, liabilities, equity, revenues, expenses. It also contains word problems requiring calculations of financial values like net income, owner's equity, cash flows from operating, investing and financing activities.
This document contains a practice exam with multiple choice questions about accounting concepts such as the balance sheet, income statement, cash flow statement, and financial ratios. It tests understanding of key accounts like assets, liabilities, equity, revenues, expenses. It also contains word problems requiring calculations of financial values like net income, owner's equity, cash flows from operating, investing and financing activities.
This document contains a practice exam with multiple choice questions about accounting concepts such as the balance sheet, income statement, cash flow statement, and financial ratios. It tests understanding of key accounts like assets, liabilities, equity, revenues, expenses. It also contains word problems requiring calculations of financial values like net income, owner's equity, cash flows from operating, investing and financing activities.
Download as DOCX, PDF, TXT or read online from Scribd
Download as docx, pdf, or txt
You are on page 1of 1
St. Isidore Academy of Trinidad Bohol, Inc. 18. It generates income from buying and selling of merchandise.
Poblacion, Trinidad, Bohol 6324 A. Partnership business C. Hybrid company
Member: Catholic Educational Association of the Philippines B. Merchandising business D. Manufacturing business Bohol Association of Catholic Schools 19. Shane Services generated revenues amounting to Php 80,000. Expenses for the year totaled Php 56,000. How much is the company’s SUMMATIVE EXAM net income for the year? FIRST SEMESTER A. 36,000 C. 14,000 ABM 2 B. 24,000 D. 18,000 NAME:_______________________________________Date: 20. What is true about the owner’s equity? ______________ A. Are the words used in the balance sheet when the YEAR AND SEC.: ______________________ company is a sole proprietorship Score: _____________ B. Represents time of growth A. Choose the correct answer by and circle the letter of your C. Represents the owner’s profit in the business choice on your answer sheet. Use additional sheet of paper for D. Are the words for the owner the computation of your answer 21. The objectives of cash Flow Statement are: 1. The Balance Sheet is alternatively known as ___________. I. Analysis of cash position A. Statement of profit and loss C. Assets Statement II. Short term cash planning B. Statement of Financial D. None of the above III. Evaluation of liquidity 2. Which of the following characteristics does not describe an Asset? IV. Comparison of operating performance A. Controlled by an entity C. Requires thepayment of cash A. Both I and II C. both II and IV B. Result of a past transaction Dl. Probable B. Both I and III D. All of these are correct 3. . Which of the following is the fundamental accounting 22. Leonard’s Car Wash has a beginning balance equity of ₱ 15,000 equation? and ending equity of ₱ 38,000. He made additional contributions of ₱ A. Equity = assets – Liabilities 8,000 and his business reported a profit of 15,000. Given the said B. Value Received = Value Parted with information, how much was his withdrawals? C. Assets = Liabilities + Equity A. 11,000 C. 2,300 D. All of these choices C. 30,500 D. Zero 4. Expected to result in an outflow from the enterprise of resources 23. Ana’s Hair Salon earned a profit of ₱100,000. She invested embodying economic benefits. 15,000 and has withdrawn 10,000. The beginning balance of her equity A. Liabilities C. Expenses was 45,000. How much is the ending balance of her owner’s equity B. Revenue D. Equity account? For number 5-7 . Identify the type of account whether current assets, A. 120,000 C. 150,000 non-current assets, current liabilities, non-current liabilities B. 115,000 D. 105,000 5. Prepaid insurance 24. As per Accounting Standard, Cash Flow is classified into: A. Current assets C. Non-current Assets A. Operating activities and financing activities B. Current liabilities D. Non- current liabilities B. Operating activities, financing activities and 6. Unearned revenue investing activities. A. Current assets C. Non-current Assets C. Operating activities and investing activities. B. Current liabilities D. Non- current liabilities D. Investing activities and financing activities 7. Loans payable 25. Which of the following are false? A. Current assets C. Non-current Assets I. Cash flow Statement is useful for external analysis B. Current liabilities D. Non- current liabilities II. Cash flow Statement is helpful in the formation of For number 8-11, Cocoy’s Auto Parts provided the following policies. Information on Dec 31, 2018: III. Cash Flow Statement is helpful in estimating future Cash = 80,000 cash flow. Inventories = 597,000 A. Both I and III C. Both II and III Accounts Payable = 45,000 B. Both I and II D. None of these choices Unearned Income = 19,000 26. Which part will be affected by an increase the balance in accounts Notes Payable (due in two years) = 336,000 payable? Prepayments = 23,000 A. Operating expenses 8. How much is the total assets of Cocoy’s Auto Parts? B. Financing expenses A. 700,000 C. 597, 000 C. Investing expenses B. 696,000 D. 677,000 D. None of these choices 9. Compute for the total liabilities of the Company. For 27-30. Amador’s sari-sari store had the following transactions A. 700,000 C. 381,000 during the year: Using the given below prepare a cashflow statement B. 400,000 D. 336,000 and answer the next five items. Use additional sheets . 8. How much is the total assets of Cocoy’s Auto Parts? A. 700,000 C. 597, 000 a. Purchase of goods. Paid cash. 200,000 B. 696,000 D. 677,000 b. Sale of goods. Received cash. 250,000 9. Compute for the total liabilities of the Company. c. Paid utilities 20,000 A. 700,000 C. 381,000 d. Paid rent 10,000 B. 400,000 D. 336,000 e. Sold equipment for cash 50,000 10. How much is the equity of the company? f. Owner withdraws investment 20,000 A. 700,000 C. 400,000 27. What is the net cash flow generated by/used in operating activities? B. 300,000 D. Zero A. 5,000 C. 10,000 11. Compute for the total Liabilities & Owners equity? B. 20,000 D. 15,000 A. 400,000 C. 300,000 28. What is the net cash flow generated by/used in investing activities? B. 200,000 D. None of these choices A. 100,000 C. 200,000 12. Net income is computed using a ________ which is Total D. 50,000 D. 300,000 Revenues minus Total Expenses. 29. What is the net cash flow generated by/used in financing activities? A. Single step C. Multi step A. 10,000 C. 15,000 B. Report form D. Account form B. 5,000 D. 20,000 13. In the choices below, a single type approach is least applicable 30. What is the net change of cash for the year? with? A. 50,000 C. 120,000 A. Manufacturing corporations C. Sari-sari stores B. 100,000 D. 150,000 B. Small Business entities D. Services providing 14. The business derived its income from rendering of services to its client. A. Service concern C. Sole proprietorship B. Hybrid Company D. Merchandising Company 15. It generates income from buying and selling of merchandise. A. Partnership business C. Hybrid company B. Merchandising business D. Manufacturing business 16. A ₱ 250,000 sale is made on February 1st, with terms of 2/10. n/30 how much would the discount be if payment is made on January 91t? A. 45,000 C. 0 B. 5,000 D. 15,000 17. Shane Services generated revenues amounting to Php 200,000. Expenses for the year totaled Php 126,000. How much is the company’s net income for the year? A. 26,000 C. 54,000 B. 74,000 D. 38,000