ACCOUNTING QUIZ

BOWL
(2 Year – 3 Year)
nd rd
EASY
(10 seconds to answer)
1. These are the events that affect the entity
and in which other entities participate.

a. Internal events
b. External events
c. Current events
d. Obligating events
10 Seconds Timer

Answer:

B. External events
2. What is the accounting concept that justifies
the usage of accruals and deferrals?

a. Going concern
b. Materiality
c. Consistency
d. Stable monetary unit
 
10 Seconds Timer

Answer:

A. Going concern
3. A company has been ordering more than the
economic order quantity. This would result in:

a. More frequent order points.

b. Carrying costs greater than ordering costs.
c. Equal safety stock costs and carrying costs.
d. Carrying costs less than ordering costs.
 
10 Seconds Timer

Answer:

B. Carrying costs greater than

ordering costs.
4. The materials control method that is based
on the premise that the quantities of most stock
items are subject to definable limits is the:

a. Min-max method.
b. Cycle review method.
c. Two-bin method.
d. ABC plan.
10 Seconds Timer

Answer:

A. Min-max method.
5. Which of the following measurement bases
is currently used in financial statements?

a. Present value
b. Present value and settlement value
c. Settlement value and fair value
d. Present value, settlement value, and fair
value.
10 Seconds Timer

Answer:

D. Present value, settlement

value, and fair value.
6. Which item is not a current liability?

a. Unearned revenue
b. Stock dividend payable
c. The currently maturing portion of long-term debt
d. Trade accounts payable
 
10 Seconds Timer

Answer:

B. Stock dividend payable

7. In cost terminology, conversion costs consists of:

a. Direct and indirect labor

b. Direct labor and direct materials
c. Direct labor and factory overhead
d. Indirect labor and variable factory overhead
 
10 Seconds Timer

Answer:

C. Direct labor and factory

overhead
8. This system accumulates costs without attempting to
allocate them during the accounting period to specific
units of goods being manufactured.

a. Job Order Cost System

b. Dual System
c. Process Cost System
d. Accounting System
10 Seconds Timer

Answer:

C. Process Cost System

9. A written authorization to the supplier to ship the
specified materials.

a. Purchase order
b. Purchase requisition
c. Disbursement voucher
d. Bill of materials.
10 Seconds Timer

Answer:

A. Purchase order
10. The term “deficit” refers to

a. An excess of current assets over current liabilities

b. An excess of current liabilities over current assets
c. A debit balance in retained earnings
d. A prior period error
10 Seconds Timer

Answer:

C. A debit balance in retained

earnings
AVERAGE
(20 seconds for theories and 30
seconds for problem to answer)
1. Dell Company provided the following information for
the current year:

Purchases 5,300,000
Purchase discount 100,000
Beginning inventory 1,600,000
Ending inventory 2,150,000
Freight out 400,000
 
What is the cost of goods sold for the current year?
a. 4,650,000
b. 4,750,000
c. 5,050,000
d. 5,850,000
30 Second Timer Answer:

a. 4,650,000

Solution:
Beginning inventory 1,600,000
Purchases 5,300,000
Purchase Discount (100,000)
Goods Available for Sale 6,800,000
Ending Inventory (2,150,000)
Cost of Goods Sold 4,650,000
2. Sky Company reported the following data for the current year:
 
Income from continuing operations 450,000
Net Income 405,000
Selling and Administrative expenses 2,250,000
Income before income tax 900,000
 
What amount should be reported as income or loss from
discontinued operations?
 
a. 450,000 income
b. 360,000 income
c. 90,000 loss
d. 45,000 loss
30 Second Timer

Answer:

d. 45,000 loss

Solution:
Income from continuing operations 450,000
Loss from discontinued operations (SQUEEZE) (45,000)
Net Income 405,000
 
3. Venus Manufacturing Company uses 1,000 units of Chip
annually in its production. Order costs consist of P10 for placing
a long-distance call to make the order and P40 for delivering the
order by tuck to the company warehouse. Each Chip costs P100
and the carrying costs are estimated at P15.625
 
What is the economic order quantity for Chip?
a. 90
b. 50
c. 80
d. 70
30 Second Timer
Answer:
c. 80

 Solution:

EOQ =

= 80
4. This happened when the creditor make a demand and the
obligor fails to deliver the thing.
 
a. Negligence
b. Mora solvendi
c. Mora accipiendi
d. Compensatio morae
20 Second Timer

Answer:

b. Mora solvendi
5. This takes place when something is received when there is no
right to demand it, and it was unduly delivered thru mistake.

a. Solutio indebiti
b. Negotiorum Gestio
c. Vinculum juris
d. Prestation
 
20 Second Timer

Answer:

a. Solutio indebiti
6. The primary basis for the classification of assets and liabilities
in the balance sheet is:

a. Profitability
b. Tangibility
c. Liquidity
d. Degree of Risk
20 Second Timer

Answer:

c. Liquidity
7. If credit purchases are 100,000 determine the cash paid for the
purchase of inventory for 2019.
 
Beginning accounts payable 30,000
Ending accounts payable 42,000
 
a. 88,000
b. 112,000
c. 130,000
d. 142,000
30 Second Timer
Answer:

d. 88,000

Solution:
Credit Purchases 100,000
Beginning Accounts Payable 30,000
Total Accounts Payable 130,000
Less: Cash paid (SQUEEZE) (88,000)
Ending Accounts Payable 42,000
8. Cardo Dalisay worked 48 hours in one week at a rate of P58 an
hour. He is paid one and three fourth times the regular rate for
hours worked in excess of 40.
 
What is the gross earnings of Cardo Dalisay?
 
a. 2,205
b. 3,123
c. 2,025
d. 3,132
30 Second Timer
Answer:

d. 3,132

Solution:
In excess of 40 hours,
8 (58 x 1. 75) = 812
Hour x Rate,
40 x 58 = 2,320
Total Gross earnings = 3,132
9. Mill Company’s allowance for doubtful accounts was
P1,000,000 at the end of 2019 and P900, 000 at the end of 2018.
For the year ended December 31, 2019, the entity reported
doubtful accounts expenses of P160, 000 in the income
statement. What amount was debited to the appropriate account
in 2019 to write off uncollectible accounts?
 
a. 60, 000
b. 100, 000
c. 160,000
d. 260, 000
30 Second Timer
Answer:

a. 60, 000

Solution:

Allowance for doubtful accounts – 12/31/2018 900,000

Doubtful accounts expense 160,000
Total 1,060,000
Accounts written off (SQUEEZE) (60,000)
Allowance for doubtful Accounts – 12/31/2019 1,000,000
 
10. It causes the extinguishment or loss of rights already
acquired upon the fulfillment of the condition, that is, the
happening of the events which constitute the condition. In other
words, the fulfillment of which will extinguish an obligation (or
right) already existing.
 
a. Condition subsequent
b. Suspensive condition
c. Facultative condition
d. Positive condition
 
20 Second Timer

Answer:

a. Condition subsequent
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