Final Accounts Quiz by Shubhrata Shrestha | Aug 28, 2025 | 0 comments Final Accounts Quiz 1. Which of the following is NOT a stakeholder interested in final accounts? a) Shareholders b) Employees c) Competitors d) Lenders None 2. The profit and loss account separates: a) Assets and liabilities b) Cost of sales and expenses c) Current and non-current assets d) Equity and retained earnings None 3. In non-profit entities, the term “profit” is replaced with: a) Revenue b) Retained earnings c) Surplus d) Dividends None 4. Which financial statement is also called the “snapshot” of a business at a point in time? a) Balance sheet b) Cash flow statement c) Profit and loss account d) Trial balance None 5. The accounting equation is: a) Assets + Liabilities = Equity b) Assets = Liabilities + Equity c) Assets = Liabilities – Equity d) Assets – Liabilities = Equity – Reserves None 6. Which of the following is an intangible asset? a) Inventory b) Machinery c) Trademark d) Land None 7. The depreciation method best suited for machinery based on actual usage is: a) Straight line method b) Units of production method c) Declining balance method d) Cash basis method None 8. Straight-line depreciation is most appropriate for: a) Equipment with fluctuating use b) Machinery tied to production levels c) Buildings and office furniture d) Assets with unpredictable lifespans None 9. Which of the following is a weakness of the straight-line method? a) It is too complex b) It requires detailed production records c) It ignores varying usage levels d) It does not show residual value None 10. Insider trading is an unethical practice because it: a) Overstates profit b) Uses confidential information for personal gain c) Leads to depreciation errors d) Increases liabilities None Time's up Submit a Comment Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Save my name, email, and website in this browser for the next time I comment. Δ
