Accounting Quiz (2)

Which one is an accounting professional body in Malaysia?

• MICPA

• CIMA

• ANAN

• ACCA

What is the meaning of MICPA?

• Malaysian Institute of Certified Public Accountants

• Malaysian Institute of Accountants

• Malaysian Institute of Public Accountants

• Chartered Institute of Management Accountants

Select a term that means “a business or an organization and its owners are treated as two separately identifiable parties’.

• Going concern

• Economic entity

• Cost

• Time period

Managerial accountants would be responsible for providing information regarding

• tax reports

• audit reports

• cost accounting

• none of the above

The monetary unit assumption

• is only used in the financial statements of manufacturing companies

• is not important when applying the cost principle

• requires that different units be used for assets and liabilities

• requires that economic data be reported in yen in Japan or dollars in the United States

Accounting reports should contain:

1) Significant financial information

2) Reliable financial information

3) Relevant financial information

• All statements are correct.

• (1) and (2) is correct

• Only (1) is correct

• (2) and (3) is correct

does the Income Statement indicate about a business?

• The value of its assets and liabilities at a point in time

• The amount of cash available for operations

• Its revenues and expenses, resulting in profit or loss

• The contributions made by owners and investors

The business expects that it will make a large profit from the disposal of its non-current assets. However, this is not disclosed in the current financial statement. Which of the following conventions is NOT being applied?

• Historical cost

• Consistency

• Full disclosure

• Objectivity

Which of the following best describe the accounting cycle?

• The accounting cycle is a process consisting of a number of steps to record accounting and business events and preparing the financial statements.

• The accounting cycle is a process of identifying economic events and summarizing them into various documents.

• The accounting cycle is a process starting from source documents, journalizing, posting, balancing of accounts, extracting of account balances and finally leading to the preparation of financial statements.

• The accounting cycle is the process of preparing the financial accounts for various users of accounting and financial data.

The form of business in which the owners are personally liable for the debts of the business is __________

• sole proprietorship

• limited liability partnership

• private company

• public company