The Rules of Accounting
Depreciation
AJEs
Mixed Bag
Bank Recs
100
These are the international rules of accounting.
What is IFRS.
100
The two methods commonly used.
What are straight line and declining balance.
100
Why we prepare AJEs.
What is to make the financial statements more precise and accurate.
100
A statement that shows you the results of a period.
What is an income statement.
100
When a cheque has been written but not yet cashed, it is called this.
What is an outstanding cheque.
200
This is what the rules of accounting USED to be called in Canada.
What is GAAP.
200
Which method uses the formula, (Cost - Salvage) / Number of Years?
What is Straight line.
200
This account is credited when a customer prepays us for seasons tickets.
What is deferred revenue. (or unearned revenue)
200
A snapshot of a business at a point in time.
What is a balance sheet.
200
When doing a bank rec, we are attempting to ensure balance per bank is consistent with what?
What is balance per book.
300
This is the rule that states the sales should be recorded when you do the work - not necessarily when you get paid.
What is Revenue (IFRS) or Revenue Recognition (GAAP).
300
This rule is dictated by Canada Revenue Agency and is meant to compensate for the purchase of an asset midway through the year.
What is the 50% rule.
300
This balance indicates how many supplies we've used during the period.
What is Supplies Expense.
300
One course that is very important to take if you're planning on going into business at college or university.
What is (are) Accounting, Economics, Maths...
300
In order to mitigate the risk of accounting error and theft of cash.
What is the reason why we do bank recs.
400
The rule that states assets are recorded at the of cash paid at the time of purchase.
What is the Cost Principle (GAAP) or Measurement (IFRS).
400
In straight-line, what we do if the asset was purchased midway through the year.
What is pro-rate the yearly depreciation.
400
This is the base for the calculation of deprecation expense using declining balance.
What is net book value.
400
The owner of the Arcade in Bookkeeping Bonanza.
Who is Archie.
400
This item would show as a positive under "balance per bank".
What is deposit in transit.
500
Financial statements would be useless b/c the information could not be trusted.
What is what would happen if there were no rules of accounting.
500
The total of all depreciation taken on an asset over its entire life.
What is its accumulated deprecation.
500
This is the type of AJE we make when our paydate is not the same as the date of our period-end.
What is accrued salaries.
500
The leaders of this company were jailed for their involvement in one of the largest corporate frauds in history.
What is Enron.
500
This should be true of 'adjusted balance per bank' and 'adjusted balance per books'.
What is they should be EQUAL.
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