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Marketing

Lesson week 6

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0% found this document useful (0 votes)
4 views99 pages

Marketing

Lesson week 6

Uploaded by

edzelf991
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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FABM 2 LONG EXAM

QUARTER 1
DIRECTIONS:
Choose the letter of the best
answer and write your answer
on a sheet of paper.
1. It pertains to resources which are
controlled and owned by the business.

A. Assets
B. Liabilities
C. Equity
D. Resources
1. A
2. It is derived from deducting the
total liabilities to the total assets of a
company.

A. Assets
B. Liabilities
C. Equity
D. Resources
2. C
3. Which of the following pertains to the
obligations that the business owed to other
entities arising from past events which are to be
settled in the future?

A. Assets
B. Liabilities
C. Equity
D. Resources
3. B
4. Which of the following is the
correct Accounting Equation?

A. Assets + Liabilities = Equity


B. Assets = Liabilities - Equity
C. Assets = Liabilities + Equity
D. Assets + Equity = Liabilities
4. C
5. Which of the following is classified as
Current Asset?
A. Prepaid Expenses
B. Land
C. Delivery Vehicle
D. Copyright
5. A
6. Which of the following financial statements
presents the financial position of an
entity at a given or specific date?

A. Income Statement
B. Statement of Financial Position
C. Statement of Changes in Equity
D. Statement of Cash Flows
6. B
7. All of the following are classified as
Assets, EXCEPT:

A. Accounts Receivable
B. Inventory
C. Building
D. Accounts Payable
7. D
8. Which of the following is classified as a
non-current liability?

A. Accounts Payable
B. Mortgage Payable
C. Utilities Payable
D. Unearned Revenue
8. B
9. Which of the following is classified as a
current asset?

A. Prepaid Rent
B. Unearned Rent
C. Investments
D. Drawings
9. A
10. In which part of Statement of Financial Position
does the Salaries Payable be listed?

A. Assets
B. Liabilities
C. Owner’s Equity
D. Expenses
10. B
11. The following are elements of Statement of
Financial Position EXCEPT:

A. Assets
B. Liabilities
C. Equity
D. Expenses
11. D
12. It is a form of the Statement of Financial
Position that is presented in a horizontal
format.

A. Report form
B. Account form
C. Digital form
D. Line form
12. B
13. It is a form of the Statement of Financial
Position that is presented in a vertical format.

A. Report form
B. Account form
C. Digital form
D. Line form
13. A
14. An item is considered current
when__________?
A. It is expected to be used or converted
into cash or to be paid for more than
one year.
B. It cannot be converted or realizable
into cash within a year.
C. It is expected to be used or realizable
into cash or to be paid within a year.
D. It has an expected life for more than
12 months
14. C
15. A non-current item is ______.
A. Expected to be used/realizable
into cash or to be paid for more
than one year.
B. Expected to be converted or
realizable into cash within a year.
C. Expected to be used or paid within
a year.
D. Item bought for readily consumption
or production.
15. A
16. Which of the following account is debited when
customer return their products for reasons such as
defects, change of preference, etc.?

A. Sales returns
B. Sales Discount
C. Purchase Returns
D. Purchase Discount
16. A
17. Which of the following pertains to the
amount of inventory at the beginning of
the accounting period?

A. Cost of goods sold


B. Beginning inventory
C. Ending inventory
D. Freight in
17. B
18. Which of the following best describes general
and administrative expenses?
A. Actual cost of merchandise that the
company was able to sell
B. Expenses directly related to the main
purpose of a merchandising business
C. Expenses not directly related to the
merchandising function of a company
D. Amount of goods bought during the
current accounting period
18. C
19. Which of the account is normally used to signify the
amount of revenue that the company was able to
generate from selling products?

A. Service Revenue
B. Selling Revenue
C. Selling Expenses
D. Sales
19. D
20. Which of the following is the accounting treatment
for transportation costs of merchandise purchased by
the company?
A. Freight in and deducted from the net purchases
B. Freight in and added to the amount of net purchases
C. Freight out and treated as selling expenses
D. Freight out and treated as general and administrative
expenses
20. B
21. Which of the following represents the actual
cost of merchandise that the company was able
to sell during the year?
A. Administrative expenses
B. Cost of goods available for sale
C. Cost of goods sold
D. Selling expenses
21. C
22. Which of the following does NOT describes
purchase discount?
A. Account used to record early payments by the
company to the suppliers
B. This is how buyers see a sales discount given to
them by the supplier
C. Deducted from purchases thus classified as
contra purchases account
D. This is where discounts given to customers who
pay early are recorded
22. D
23. Which of the following is the accounting
treatment for ending inventory?
A. Deducted from cost of goods available for
sale
B. Added to the cost of goods available for sale
C. Deducted from cost of goods sold
D. Added to the cost of goods sold
23. A
24. Which of the following is NOT treated as
selling expenses?

A. Salaries of sales agent


B. Depreciation of delivery van
C. Rent of office building
D. Advertising
24. C
25. Which of the following is an example of general
and administrative expenses?

A. Cost of merchandise sold


during the year
B. Salaries of sales agents
C. Depreciation of warehouse
D. Utilities of home office
25. D
26. It shows the changes in the capital account due to
contribution, withdrawals, and net income or net loss.

A. Statement of Financial Position (SFP)


B. Statement of Comprehensive Income (SCI)
C. Statement of Cash Flows (SCF)
D. Statement of Changes in Equity (SCE)
26. D
27. What is the first step to prepare the
Statement of Changes in Equity/Owner’s
Equity?

A. Report Capital at the


beginning of the period
B. Prepare the heading
C. Gather the needed information
D. Add additional investment
27. C
28. Which information is needed in the
preparation of the heading of the Statement of
Changes in Equity/Owner’s Equity (SCE)?

A. Name of the company


B. Name of the products
C. Name of the owner
D. None of the above
28. A
29. The following are parts of the heading of
the Statement of Changes in Equity/Owner’s
Equity EXCEPT_______________.

A. Name of the owner


B. Name of the company
C. Name of the statement
D. Date of preparation
29. A
30. Which item in the Statement of Changes in
Equity decreases owner’s equity?

A. Initial investment
B. Additional investment
C. Net Income
D. Net Loss
30. D
31. An item in the Statement of Changes in Equity
which increases in owner’s equity without
additional investment.

A. Initial investment
B. Additional investment
C. Net Income
D. Net Loss
31. C
32. This type of statement shows all changes, whether
increases or decreases to the owner’s interest on the
company during the period.
A. Statement of Financial position (SFP)
B. Statement of Comprehensive Income (SCI)
C. Statement of Changes in Equity/Owner’s Equity
(SCE)
D. Statement of Cash Flows (SCF)
32. C
33. What do you call the very first investment of
the owner to the company?

A. Initial investment
B. Additional investment
C. Initial deposit
D. Additional deposit
33. A
34. Which element of financial statement
provides information about the cash receipts and
cash payments of an entity during a period?

A. Statement of financial position


B. Statement of comprehensive income
C. Statement of changes in equity
D. Statement of cash flows
34. D
35. Which component of cash flow statement involves
providing services, producing and delivering goods and
the cash effects of transactions directly related to the
main revenue – producing activities of the company?

A. Operating activities
B. Investing activities
C. Financing activities
D. All of the above
35. A
36. The decrease in the value of tangible assets
such as building, furniture and equipment is
called what?

A. Accrued expense
B. Depreciation
C. Amortization
D. Mortgage
36. B
37. What do you call an amount owed to others
for unpaid expenses?

A. Accrued liabilities
B. Depreciation expense
C. Unearned revenues
D. Accounts payable
37. A
38. Payment of insurance premiums in advance
would increase the amount of which account?

A. Prepaid expense
B. Unearned income
C. Accrued income
D. Accrued expense
38. A
39. Which of the following is an example of a
financing activity?

A. Acquiring land
B. Employing workers
C. Paying off a loan
D. Selling equipment
39. C
40. The following are categorized under of
Operating Activities, EXCEPT:

A. Cash received from clients


B. Payments to suppliers
C. Payments to acquire office equipment
D. Cash payment to employees
40. C
41. What would be the effect of Payment to Settle
Note Payable to the company’s cash flow under
financing activities?

A. Decrease
B. Increase
C. No effect
D. None of the Above
41. A
42. This activity includes cash transactions
related to obtaining and selling of property and
equipment and other non - current assets.

A. Operating activity
B. Investing activity
C. Financing activity
D. Cash flow activity
42. B
43. Which of the following is an example of an
investing activity?

A. Obtaining bank loan


B. Paying taxes to the government
C. Producing goods and services
D. Purchasing a building
43. D
44. All are example of operating activity EXCEPT:

A. Receipts from sales of goods


B. Payments for taxes
C. Payments to acquire debt securities
D. Receipts from customers
44. C
45. This financial statement shows the net
increase/decrease in cash during the period and
the cash balance at the end of the period.

A. Statement of financial position


B. Statement of comprehensive income
C. Statement of changes in equity
D. Statement of cash flows
45. D
46. What do you call the element of financial
statement prepared based on information from
the income statement and the balance sheet?

A. Statement of financial position


B. Statement of comprehensive income
C. Statement of changes in equity
D. Statement of cash flows
46. D
47. Which of the following is cash outflow from
operating activities?
A. Payment for interest expense
B. Payment to acquire property and equipment
C. Payment to settle notes payable
D. Payment to owners in the form of
withdrawals
47. A
48. As per Philippine Accounting Standards (PAS)
No. 7, enterprises are encouraged to report cash
flows from operating activities using which
method?

A. Direct method
B. Indirect method
C. both a and b
D. none of the above
48. A
HUMANA JUD ^_^

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