Final Round 2 - Accounting Knowledge Test

Which type of business organization has the following characteristics?

• is owned by 2 to 20 person
• has unlimited liability
• has no legal obligation to audit the accounts

• sole trader

• partnership

• company

• none of above

Which type of business organization has a separate legal entity from its owners, and the owners are not liable for debts of business?

• Sole trader

• Partnership

• Limited Company

• None of the above

Which of the following are the types of financial statements

1.Statement of Cash Flow

2.Statement of Comprehensive Income

3.Statement of Financial Position

4. Trial balance

• 1, 2, 3 and 4

• 1, 2 and 3

• 2 and 4

• 2, 3 and 4

Which type of business organisation has the following characteristics?

- conducts business separate from its owners

- the owners have limited liability

- the organisation is a taxable entity

• Sole trader

• Partnership

• Company/corporation

• None of the above

Which of the following business has unlimited liability

• Sole trader

• Limited Liability Partnership

• Private Limited Company

• Public Limited Company

Which of the following statement is true?

• Bookkeeping is recording all the business transaction and owner's own transaction

• Bookkeeping deals with record-keeping and is one only aspect of accounting

• Bookkeeping and accounting are one and the same since the bookkeeping function is includes in accounting process

• None of the above