Accounting and Finance MCQs Test 5

True Tamplin

Written by True Tamplin, BSc, CEPF®
Updated on March 25, 2022

About This Quiz:

  • Chapter: Accounting and Finance
  • Quiz Type: Multiple choice questions (MCQs)
  • Number of MCQs: 40
  • Total Points: 40
  • Approximate Time Required: 10 – 15 minutes

Accounting and Finance MCQs test

Frequently Asked Questions

What is a Credit Note?

A Credit Note is a document that indicates that a customer has already made payment in full or in part for an invoice. A Credit Note may either cancel the original invoice or indicate a reduction in the amount owed.

What is a credit balance?

A debit note, or a debit memo, is an official record of the amount owed by one party to another. You’ll commonly come across these notes in business-to-business transactions—for example, one business may supply another with goods or services before an invoice is sent. The debit note ‘makes note’ of the transaction for documentation purposes.

What is a credit balance?

What is a credit balance?

What is a Trial Balance?

A Trial Balance is a spreadsheet that lists all accounts and summarizes the activity of these accounts. A company prepares a Trial Balance at the end of every reporting period.

Is Capital Expenditure an expense or asset?

Capital Expenditures are usually recorded as assets, not expenses. They are classified as Fixed Assets and depreciated—expensed over time—in order to match their cost with the revenues they generate.

True Tamplin, BSc, CEPF®

About the Author
True Tamplin, BSc, CEPF®

True Tamplin is a published author, public speaker, CEO of UpDigital, and founder of Finance Strategists.

True is a Certified Educator in Personal Finance (CEPF®), author of The Handy Financial Ratios Guide, a member of the Society for Advancing Business Editing and Writing, contributes to his financial education site, Finance Strategists, and has spoken to various financial communities such as the CFA Institute, as well as university students like his Alma mater, Biola University, where he received a bachelor of science in business and data analytics.

To learn more about True, visit his personal website, view his author profile on Amazon, or check out his speaker profile on the CFA Institute website.

3 thoughts on "Accounting and Finance MCQs Test 5"

  1. Very nice session it was although I am not able to perform well but over all it is very good material

    1. Hi Baber,
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