Accounting Basic business terms

Question 1

Which of these is NOT an accounting assumption?

Accepted Answer

Profit or loss

Question 2

Businesses that spend more money than they earn operate at a ...

Accepted Answer

Loss

Question 3

Company is owned by one person, usually the founder of the business

Accepted Answer

Sole proprietorship

Question 4

Owners have unlimited liability if the company goes bankrupt or gets sued

Accepted Answer

Sole proprietorship, Partnership

Question 5

Money that investors, banks, or business owners supply is called....

Accepted Answer

Capital

Question 6

These are types of business organizations

Accepted Answer

All answers correct

Question 7

An example of this is a hair salon

Accepted Answer

Service Business

Question 8

An accountant who has met certain educational requirements and has passed a national exam

Accepted Answer

Certified Public Accountant

Question 9

Company is owned by shareholders, has a board of directors and is professionally managed

Accepted Answer

Corporation

Question 10

An example of this is a bakery

Accepted Answer

Manufacturing Business

Question 11

An entrepreneur is ...

Accepted Answer

a person who transforms ideas into real world businesses

Question 12

Rules issued by the Financial Accounting Standards Board

Accepted Answer

GAAP

Question 13

GAAP stands for

Accepted Answer

Generally Accepted Accounting Principles

Question 14

An organization which operates to earn money for the owners

Accepted Answer

For-profit business

Question 15

Should you consider your lifestyle goals & personality traits when you search for a career?

Accepted Answer

YES

Questions 15