Financial Statements Quiz
11 multiple-choice questions with answers and explanations · 6 easy, 4 medium, 1 hard
What each financial statement shows, how they link together, who uses them, and how items are presented and classified.
- 1Balance Sheet or Income Statement: Where Does Accounts Payable Go?On which financial statement does Accounts Payable appear?easy
- 2Balance Sheet or Income Statement: Which Item Is on the Income Statement?Which of the following items appears on the INCOME STATEMENT?easy
- 3Order in Which the Financial Statements Are PreparedWhich financial statement is prepared FIRST, because its result is needed for the others?easy
- 4Users of Financial Statements: Who Is an External User?Which of the following is an EXTERNAL user of a company’s financial statements?easy
- 5Balance Sheet or Income Statement: Where Do the Owner's Drawings Appear?In the financial statements of a sole proprietorship, the owner’s drawings for the year are reported:medium
- 6How the Income Statement Links to the Balance SheetNet profit for the year is carried from the income statement to the balance sheet by:medium
- 7Balance Sheet Classification: Accruals, Prepayments and Unearned RevenueWhich pair of items are BOTH current liabilities?medium
- 8Notes to the Financial Statements: What Are They For?The notes to the financial statements are best described as:medium
- 9Financial Statement TypesWhich financial statement presents information at a specific point in time rather than over a period?easy
- 10Current Portion of Long-Term DebtThe principal repayments of a long-term loan that fall due within the next 12 months are presented as:easy
- 11IAS 1 — Other Comprehensive IncomeWhich of the following items is reported in Other Comprehensive Income (OCI) rather than profit or loss?hard