Sophia University - ACCOUNTING 1001

Question1)Which of the following was created by the government to police financial reporting and to prevent instances of fraud and misconduct?

 

 

Accounting Cycle

 

 

Accounting System

 

 

Sarbanes-Oxley Act

 

Internal Control

 

Question 2. Which of the following accounting systems was in use in Italy in the 1500s?

 

 

Double entry

 

 

General ledger

 

 

T-accounts

 

 

Journal entry

 

 

 

 

 

Question 3. Which of the following terms best describes an entry made on the left side of a ledger?

Loss

 

 

 

 

Expense

 

 

 

 

Credit

 

 

 

 

Debit

 

 

 

 

Question 4. In which of the following locations would a decrease in an account be recorded?

 

 

On the side where credits are recorded

 

 

On the side opposite of that account’s natural balance

 

 

On the side of the account’s revenue listings

 

 

On the side where expenses are recorded

 

 

 

 

 

 

Question 5. Robin and Liz have structured their business so that they are not personally responsible for their company’s liability,

This is an example of which of the following?

 

 

LLP

 

 

LLC

 

 

INC