Practice Financial Statements (14.4.3) - Introduction to Financial and Management Accounting

Practice: Financial Statements

Lesson 14.4.3Introduction to Financial and Management Accounting

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10 questions

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4 cards from this section. Quick, good the night before a test.
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Quiz
4 questions · about 3 min · pass mark 70%. Hints available.
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6 sample questions

Question 1.
What does the Income Statement show?
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Look for terms related to revenue and expenses.
Question 2.
Name one type of financial statement.
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Think about reports that summarize financial information.
3Question 3.
What does the Income Statement summarize?
- Assets and liabilities
- Revenues and expenses
- Cash inflows and outflows
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Remember it deals with profits and losses.
4Question 4.
True or False: The Balance Sheet shows a company's cash flow.
- True
- False
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Think about what components are included in the Balance Sheet.
Question 5.
A company has sales of $200,000, expenses of $150,000, and depreciation of $20,000. Calculate the net profit for the Income Statement.
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Make sure to account for all expenses.
Question 6.
You are given a Balance Sheet that shows $100,000 in assets and $40,000 in liabilities. If company dividends of $10,000 are paid out, how does this affect the equity noted previously?
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Consider how payments to shareholders influence total equity.

6 more questions in this section. Enroll free to practise them all.