business implementation

Question 1

someone who owns an unincorporated business by themselves. If you are the sole member of a domestic limited liability company (LLC) and elect to treat the LLC as a corporation, you are not a sole proprietor.

Answer 1

Sole proprietor

Question 2

the relationship between two or more people to do trade or business. Each person contributes money, property, labor or skill, and shares in the profits and losses of the business

Answer 2

partnership

Question 3

prospective shareholders exchange money, property, or both, for the its capital stock. A ___ generally takes the same deductions as a sole proprietorship to figure its taxable income

Answer 3

corporation

Question 4

is able to buy and sell property, sue and be sued, and protect its owners from liability

Answer 4

corporation

Question 5

guidelines - the entrepreneur should have a clear idea on what is his purpose of putting up his enterprise.

Answer 5

objectives

Question 6

guidelines - this means that the entrepreneur must know what the tasks are he has to perform in order that his objectives will be realized.

Answer 6

tasks

Question 7

guidelines - This means that the entrepreneur should have a timetable or a
schedule to follow every task, so that it will be accomplish on time and realize his objective

Answer 7

time allocation

Question 8

amount you gain after selling your product

Answer 8

profit

Question 9

represents the difference
between net sales and cost of sales.

Answer 9

gross profit

Question 10

formula for gross profit

Answer 10

Sales - Cost of Goods Sold = Gross Profit

Question 11

are those things that change based on the
amount of product being made and are incurred as a direct result of producing the product.

Answer 11

variable costs

Question 12

generally are more static in nature

Answer 12

fixed costs

Question 13

a document (hard copy or digital) that records business dealing with this include meeting minutes, memoranda, employment contracts, and accounting source documents

Answer 13

business record

Question 14

shows the income and
expenses of the business for a given period of time

Answer 14

income statement

Question 15

shows the assets, liabilities, and equity in the business on a given date

Answer 15

balance sheet

Question 16

the source documents, both physical and electronic, that specify transaction dates and amounts, legal agreements and private customer and business details

Answer 16

records

Question 17

the recording of financial transactions and is the part of accounting in business and other organizations

Answer 17

book keeping

Question 18

• Resources possessed by the business and expected to generate income for the business in the future.
• Have cash value or can be converted into cash

Answer 18

assets

Question 19

Obligations that are owed by the business and expected to provide assets or services to outsiders in the future

Answer 19

liabilities

Question 20

what is left in owner’s hand from the assets after liabilities have been settled

Answer 20

residual ownership

Question 21

money contributed by the owners in the business

Answer 21

contributed capital

Question 22

any amounts of surplus income that are kept for
future uses by the business

Answer 22

retained earnings

Question 23

is the money earned by the business

Answer 23

income

Question 24

is the cash that flows out from the business to pay for some item or service

Answer 24

expenses

Question 25

The whole of financial accounting is based on this

Answer 25

accounting equation

Question 26

• the process of recording business transactions in a systematic and chronological manner
• systematic because it follows procedures and principles. On the other hand, it is chronological because the transactions are recorded in order of the date of occurrence.

Answer 26

bookkeeping

Question 27

in- charge to record, maintain and update business records from all sorts of financial transactions using account title that can be found in the charts of accounts already set up by the Accountant

Answer 27

bookkeeper

Question 28

uses the Book of Accounts to record the business transactions which is to be consolidated later to help construct financial statement such as the Trial Balance, Income Statement and Balance Sheet.

Answer 28

bookkeeper

Question 29

the most basic journal which provides columns for date, ccount titles and explanations, folio or references and a separate column for debit nd credit entries.

Answer 29

general journal

Question 30

a grouping of all accounts directly traceable to chart of accounts. These accounts will be reflected in the financial statements as a summary of all financial activities that have taken place as recorded in the general journal and subsidiary ledgers.

Answer 30

general ledger

Question 31

essential part to ensure accurate recording and sound decision making. Debit is abbreviated as DR while CR for Credit

Answer 31

rules of debit and credit

Question 32

When cash or non-cash items are received, the said cash or non-cash items must be recorded in the ___ column. This means that the debit balance increased. It is called Value Received.

Answer 32

debit

Question 33

When cash or non-cash items are given, the said cash or non-cash items must be recorded in the ___ column. This means that the credit balance is increased. It is called Value Parted With.

Answer 33

credit