Preparation of Financial Statements for Companies (Grade 12 NSC Matric Accounting): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
ShowHide
Practise the questions
10 questions from this quiz
What is a pre-adjustment trial balance?
What is a pre-adjustment trial balance?
Initial balance before year-end adjustments
What is Step 2 in preparing financial statements?
What is Step 2 in preparing financial statements?
Process each adjustment
How are outstanding/accrued amounts treated in adjustments?
How are outstanding/accrued amounts treated in adjustments?
They are added (+) to original figures
Where does the unused portion of prepaid expenses appear?
Where does the unused portion of prepaid expenses appear?
As a current asset on the balance sheet
What are accrued expenses?
What are accrued expenses?
Expenses incurred but not yet paid/recorded
How is income received in advance classified?
How is income received in advance classified?
As a liability
What is the typical depreciation rate for vehicles?
What is the typical depreciation rate for vehicles?
10% per annum at cost price
What percentage is usually used for provision for bad debts?
What percentage is usually used for provision for bad debts?
5% of total debtors
What is the dual effect principle in adjustments?
What is the dual effect principle in adjustments?
Every adjustment impacts both statements
Where does accrued income appear on the balance sheet?
Where does accrued income appear on the balance sheet?
As an asset