Financial Accounting Quiz and Test

For multiple-choice and true/false questions, simply press or click on what you think is the correct answer. For fill-in-the-blank questions, press or click on the blank space provided.

If you have difficulty answering the following questions, read our In-Depth Explanation for this topic.

Financial accounting is focused on the __________ financial statements of a company.

External

Internal

Financial statements report the fair market value of a company.

True

False

Large corporations must follow the __________ basis of accounting.

Corporations whose stock is publicly traded must have their financial statements __________ by independent certified public accountants.

The U.S. government agency with authority over the financial reporting requirements of publicly traded corporations is the __________.

AICPA

FASB

IRS

SEC

The non-government organization that researches and develops new accounting standards is the __________.

AICPA

FASB

IRS

SEC

The acronym for the common rules and standards that companies must follow when preparing its external financial statements is __________.

SEC is the acronym for __________.

FASB is the acronym for __________.

10.

GAAP is the acronym for __________.

11.

__________-entry bookkeeping will result in at least two accounts being involved in every transaction.

12.

Every transaction will have one account being credited and one account being __________.

13.

The accounting equation is Assets = __________ + Stockholders' (or Owner's) Equity.

14.

Matching, cost, and full disclosure are examples of the fundamental or basic accounting __________.

15.

The profitability of a company for a specified period of time is reported on the __________ statement.

16.

The main components or elements of the income statement are __________, expenses, gains, and losses.

17.

Prepaid insurance is reported as an __________ on a company's balance sheet.

18.

The word "__________" is often in the title of liability accounts.

19.

The statement of cash flows explains the changes in cash and cash __________ during the specified time interval.

20.

The first section of the statement of cash flows pertains to __________ activities.

Access 1,800+ Premium Test Questions

Receive instant access to our entire collection of premium materials, including our 1,800+ test questions.

View All PRO Features

Mark the Quiz as Complete

Lifetime Access (One-Time Fee)

Explanations

Quizzes

Q&A

Dictionary

Bookkeeping Video Training

Financial Statements Video Training

Visual Tutorials

Quick Tests

Quick Tests with Coaching

Cheat Sheets

Flashcards

Crossword Puzzles

Word Scrambles with Coaching

Bookkeeping Study Guide

Managerial and Cost Accounting Study Guide

Certificates of Achievement

Bookkeeping Certificate of Excellence

Business Forms

Printable PDF Files

Progress Tracking

Motivational Badges and Points

Motivational Medal Rankings

Motivational Activity Streaks

Public Profile Page of Achievements

Financial Accounting (Practice Quiz)

Financial Accounting Outline

About the Author

Financial Accounting (Practice Quiz)

Financial Accounting Outline

About the Author

Get $20 Off PRO