FA Flashcards
Cash-inflow Costs
Performance Expenses
Income Expenditures
Receipts Cash-outflow
Cash-inflow Cash-outflow
Performance Costs
Income Expenses
Receipts Expenditures
Receipts & Expenditures
Profit
Income & Expenses
Financial balance
Cash-inflow & Cash-outflow
Operating result
Performance & Costs
Payment balance
Receipts & Expenditures
Financial balance
Income & Expenses
Profit
Cash-inflow & Cash-outflow
Payment balance
Performance & Costs
Operating result
Operating profit
Cost accounting
Change of cash and cash equivalents
Present values
Net income/loss
Financial planning
Investment planning
Financial accounting
Operating profit
Cost accounting
Change of cash and cash equivalents
Financial planning
Net income/loss
Financial accounting
Investment planning
Present values
___ are ___ periodised and net income affecting, whereas ___ represent the monetary value of a company`s ___ economic goods within a period.
expenditures delivered cost cash-outflows expenses acquired
expenses are expenditures periodised and net income affecting, whereas expenditures represent the monetary value of a company`s acquired economic goods within a period.
Assign the individual terms to the corresponding targets of a company!
Offer of certain services
___target
Increase in market share
___target
Profit maximization
___target
Risk reduction
___target
Offer of certain services
Antwort 1
Performance target
Increase in market share
Antwort 2
Success target
Profit maximization
Antwort 3
Success target
Risk reduction
Antwort 4
Safety target
Assign the individual terms to the type of accounting!
Financial statements → ____ accounting,
Financial planning → ____ accounting,
Bookkeeping → ____ accounting,
Investment planning → ____ accounting
Financial statements → Financial accounting,
Financial planning → Budgetary accounting,
Bookkeeping → Financial accounting,
Investment planning → Budgetary accounting
Assign the individual statements to the corresponding types of accounting!
Information for decisions makers outside the company → ____ accounting,
Representing a company`s important financial and operational processes → ____ accounting,
No formal requirements → ____ accounting,
Representing a company`s net assets, financial situation and result of operations → ____ accounting
Information for decisions makers outside the company → Financial accounting,
Representing a company`s important financial and operational processes → Management accounting,
No formal requirements → Management accounting,
Representing a company`s net assets, financial situation and result of operations → Financial accounting
Which types of accounting deliver the answer to these questions?
How beneficial are individual measures in the short-run? → ___,
How successful has the company performed within the last period? → ___,
Is the future solvency secured? → ___,
Are the planned or realized investments profitable? → ___
How beneficial are individual measures in the short-run? → Cost accounting,
How successful has the company performed within the last period? → Financial accounting,
Is the future solvency secured? → Financial planning,
Are the planned or realized investments profitable? → Investment planning
Consumption of raw materials that have been purchased within the same period →
Accrual of provisions →
Depreciation of a machine that was purchased within a prior period →
Purchase of raw material that will be used and paid within a future period →
Expense, Expense & Expenditure, Expenditure, Expense
Consumption of raw materials that have been purchased within the same period → Expense & Expenditure,
Accrual of provisions → Expense,
Depreciation of a machine that was purchased within a prior period → Expense,
Purchase of raw material that will be used and paid within a future period → Expenditure
Delivery of goods that have been paid within a prior period →
Paying an invoice concerning the delivery of raw materials from a prior period →
Prepayments for raw materials that will be delivered within a future period →
Purchase of goods on credit →
Cash purchase of raw materials →
Cash-outflow & Expenditure, Expenditure, Cash-outflow, Cash-outflow, Expenditure,
Delivery of goods that have been paid within a prior period → Expenditure,
Paying an invoice concerning the delivery of raw materials from a prior period → Cash-outflow,
Prepayments for raw materials that will be delivered within a future period → Cash-outflow,
Purchase of goods on credit → Expenditure,
Cash purchase of raw materials → Cash-outflow & Expenditure
Additional costs → ___ costs,
Operating expenses → ___ costs,
Different calculated costs → ____ costs
Additional costs → Imputed costs,
Operating expenses → Basic costs,
Different calculated costs → Imputed costs
Payment of goods sold in a prior period →
Sale of goods on credit →
Sale of goods that have been paid in a prior period →
Receiving a pre-payment on a sale of goods in the subsequent period →
Cash sale of goods →
Cash-inflow, Receipts, Receipts, Cash-inflow, Receipts & Cash-inflow
Payment of goods sold in a prior period → Cash-inflow,
Sale of goods on credit → Receipts,
Sale of goods that have been paid in a prior period → Receipts,
Receiving a pre-payment on a sale of goods in the subsequent period → Cash-inflow,
Cash sale of goods → Receipts & Cash-inflow
Production of finished goods for stock →
Sale of goods that have been produced within the same period →
Sale of a facility at book value on credit →
Construction of facilities for company`s own usage →
Receipts & Income, Income, Receipts, Income
Production of finished goods for stock → Income,
Sale of goods that have been produced within the same period → Receipts & Income,
Sale of a facility at book value on credit → Receipts,
Construction of facilities for company`s own usage → Income
Different calculated performance →
Operating income →
Additional performance →
Basic performance, Imputed performance
Different calculated performance → Imputed performance,
Operating income → Basic performance,
Additional performance → Imputed performance
What are the main purposes (roles) of accounting?
(one or more answers might be correct)
a. Stewardship role
b. Contracting role
c. Management role
d. Valuation role
Valuation role,
Stewardship role,
Contracting role
Choose possible incentives which might cause earnings management!
a. Raising capital
b. Meet/beat targets
c. Performance-based compensation
d. Quite life
Raising capital,
Meet/beat targets,
Performance-based compensation,
Quite life
As what can the following business transaction be identified:
“Purchase of goods on credit”
(one or more answers might be correct!)
a. Receipts
b. Expense
c. Cash-outflow
d. Cash-inflow
e. Expenditure
f. Income
Expenditure
As what can the following business transaction be identified from the point of view of the company:
“A customer pays for a service received by the company 2.000€ in cash”
(one or more answers might be correct!)
a. Cash-inflow
b. Income
c. Cash-outflow
d. Expenditure
e. Receipts
f. Expenses
Income,
Receipts,
Cash-inflow
As what can the following business transaction be identified from the point of view of the company:
“Purchase of a company car for 60.000€ via bank transfer”
(one or more answers might be correct!)
a. Income
b. Expense
c. Expenditure
d. Cash-inflow
e. Cash-outflow
f. Receipts
Expenditure,
Cash-outflow
Arrange the following work steps in the correct chronological order of their creation.
Record payment receipts Disposition Order intake Withdrawal from warehouse Order processing Create an invoice
Order intake Disposition Order processing Withdrawal from warehouse Create an invoice Record payment receipts
Make your choice: Which of the following assets represent what type of assets?
production machinery
raw material
Office building
trade receivable
cash
current asset or fixed asset
production machinery
fixed asset
raw material
current asset
Office building
fixed asset
trade receivable
current asset
cash
current asset
Please assign the right effect of the following business transactions to assets, equity and/or liabilities.
Building is destroyed by a fire
Bank grants a bank loan.
Owner buys a car for his private use.
Company buys raw material
assets change; no commercial reference; assets increase, liabilities increase; assets decrease, equity decreases
Building is destroyed by a fire
assets decrease, equity decreases
Bank grants a bank loan.
assets increase, liabilities increase
Owner buys a car for his private use
no commercial reference
Company buys raw material
assets change
Assign the right answer to the statements
Liabilities-side accounts increase
Liabilities-side accounts decrease
Asset-side accounts increase
Asset-side accounts decrease
on the equity side
on the debit side
on the debit side
on the credit side
Liabilities-side accounts increase
on the debit side
Liabilities-side accounts decrease
on the credit side
Asset-side accounts increase
on the debit side
Asset-side accounts decrease
on the equity side
A ___ is an event, which changes the company`s financial situation. The ___ describes the condition of all assets and ____ of a company. This includes both the assets and the ____. A business transaction has to be expressed in ____ and always has ___ impacts from a commercial point of view.
monetary value ; two; financial situation; liabilities; dollar; business; transaction; capital; commercial situation; four; money transaction
A business transaction
is an event, which changes the company`s financial situation. The financial situation describes the condition of all assets and liabilities of a company. This includes both the assets and the capital. A business transaction has to be expressed in monetary value and always has two impacts from a commercial point of view.
If the ____ are in total value higher than the _____ , than there is a debit balance on the _____ . If the ___ are in value higher than the ____ , than there is a credit balance on _____.
credit side; the debit side; credit postings; debit postings
If the debit postings are in total value higher than credit postings, than there is a debit balance on the credit side. If the credit postings are in value higher than the debit postings , than there is a credit balance on the debit side.
A company is ____ oriented if equity instruments or bonds are traded on an organized market.
A company is ____ if equity instruments are traded on an organized market.
capital market; oriented listed; capitalized
A company is capital market oriented if equity instruments or bonds are traded on an organized market.
A company is listed if equity instruments are traded on an organized market.
The accounting equation is as follows:
____ = _____ + _____
The accounting equation is as follows:
assets = liabilities + equity
In the ____ all journal entries are listed in chronological order.
The ____ comprises all accounts of the company (permanent and temporary accounts).
In additions there are ______ to split accounts furter outside the accounting system.
general ledger; subsidiary books of account; income statement; journal; balance sheet
In the journal all journal entries are listed in chronological order.
The general ledger comprises all accounts of the company (permanent and temporary accounts).
In additions there are subsidiary books of account to split accounts furter outside the accounting system.
Equity capital →
Debt capital →
provided by owner, provided by creditor
Equity capital → provided by owner,
Debt capital → provided by creditor
Assign the right term to the statement.
Assets that should serve the company for a longer term →
Assets that should serve the company for a short term →
fixed assets; current assets
Assets that should serve the company for a longer term → fixed assets,
Assets that should serve the company for a short term → current assets
Separation of company assets and partners →
only management board has power of representation →
Each partner has power of representation →
Partners bear liability personally and unlimited for the company`s liabilities →
KG →
AG →
partnership, capital companies
Separation of company assets and partners → capital companies,
only management board has power of representation → capital companies,
Each partner has power of representation → partnership,
Partners bear liability personally and unlimited for the company`s liabilities → partnership,
KG → partnership,
AG → capital companies
Assign the statements to the right term!
Balance sheet accounts
Right side of the balance sheet
Income statement accounts
Left side of the balance sheet
liabilities-side, temporary accounts, permanent accounts, asset-side
Balance sheet accounts → permanent accounts,
Right side of the balance sheet → liabilities-side,
Income statement accounts → temporary accounts,
Left side of the balance sheet → asset-side
Which company is required to prepare obligatory consolidated financial statements under IFRS?
a. Capital market oriented companies
b. non-capital market oriented parent companies
c. capital market oriented parent companies
d. all company
capital market oriented parent companies
Which of the following principles represent accruals principles?
(one or more answers might be correct!)
a. Imparity principle
b. Realization principle
c. Accuracy
d. Going concern
Realization principle,
Imparity principle
Which of the following principles represent prudence principles?
(one or more answers might be correct!)
a. Imparity principle
b. Realization principle
c. Completeness
d. Consistency
Realization principle,
Imparity principle
Which of the following principles represent framework principles?
(one or more answers might be correct!)
a. Consistency
b. Neutrality
c. Completeness
d. Understandability
Neutrality,
Understandability,
Completeness
Which of the following principles represent complementary principles?
(one or more answers might be correct!)
a. Accuracy
b. Consistency
c. Going concern
d. Single-asset valuation
Going concern,
Single-asset valuation,
Consistency
Which are the obligatory components of consolidated financial statements in accordance with IFRS?
a. Statement of financial position
b. Segment reporting
c. Statement of comprehensive income
d. Management report
e. Statement of changes in equity
f. Notes to the financial statements
g. Statement of cash flows
Statement of financial position, Statement of comprehensive income, Statement of changes in equity, Statement of cash flows, Notes to the financial statements
Please identify possible unperiodic mandatory disclosures in the following list.
(one or more answers might be correct)
a. Ad-hoc reports
b. Semi-annual reports
c. Quarterly reports
d. Press releases
Ad-hoc reports
Put the terms / activities mentioned in the correct chronological order.
Preparation of financial statements Audit of the financial statements Fixing the financial statements Postings based on transactions Disclosure of the financial statements
Postings based on transactions Preparation of financial statements Audit of the financial statements Fixing the financial statements Disclosure of the financial statements
Decide whether the mentioned statements are true or false!
Liabilities-side accounts: increase in CREDIT, decrease in DEBIT
Asset-side accounts: increase in CREDIT, decrease in DEBIT
Asset-side accounts: increase in DEBIT, decrease in CREDIT
Liabilities-side accounts: increase in DEBIT, decrease in CREDIT
true
false
true
false
Decide whether the mentioned statements are true or false!
Expense account: increase in CREDIT, decrease in DEBIT
Income account: increase in DEBIT, decrease in CREDIT
Expense account: increase in DEBIT, decrease in CREDIT
Income account: increase in CREDIT, decrease in DEBIT
true
false
false
true
Assign the right technical term for the effect to the balance sheet by the mentioned business transactions:
Increase of provisions
consumption of raw material
Buying a machinery on credit
Repayment of debt with additional equity
balance extension
balance shortening
assets swap
liabilities swap
Increase of provisions
liabilities swap
consumption of raw material
balance shortening
Buying a machinery on credit
balance extension
Repayment of debt with additional equity
liabilities swap
Decide under which requirements deferred income/charges or other liabilities/assets have to be accounted for.
Cash inflow during the following period and income during the reporting period
Cash outflow during the reporting period and expense during the following period
Cash inflow during the reporting period and income during the following period
Cash outflow during the following period and expense during the reporting period
other assets
other liabilities
deferred income
deferred charges
Cash inflow during the following period and income during the reporting period
other assets
Cash outflow during the reporting period and expense during the following period
deferred charges
Cash inflow during the reporting period and income during the following period
deferred income
Cash outflow during the following period and expense during the reporting period
other liabilities
What do the following addressees of annual financial statements focus on most?
Suppliers
Shareholders
Employees
Creditors
Financial stability
Profitability
Corporate Governance
Suppliers
Financial stability
Shareholders
Profitability
Employees
Financial stability
Creditors
Financial stability
Assign the right type of relative key figures to the following key figures:
Current assets/Non-current assets
Non-current assets/Total assets
Stock indices
Index figures
Breakdown figures Other metrics Absolute figures Relationship figures Index figures
Current assets/Non-current assets
Other metrics
Non-current assets/Total assets
Breakdown figures
Stock indices
Index figures
Gross profit/Revenues
Relationship figures
Find the right pairs!
Horizontal structural analysis
Asset structure
Financing analysis
period-of-time-orientated
Static liquidity analysis
Capital structure ratios
Investment analysis
Dynamic liquidity analysis
Horizontal structural analysis
Static liquidity analysis
Asset structure
Investment analysis
Financing analysis
Capital structure ratios
period-of-time-orientated
Dynamic liquidity analysis
Find the right pairs!
Analysis of earnings sources
Investment analysis
Liquidity analysis
Financing analysis
Income statement
Cash flow statement
asset-side
liabilities-side
Analysis of earnings sources
Income statement
Investment analysis
asset-side
Liquidity analysis
Cash flow statement
Financing analysis
liabilities-side
Find the right pairs!
Provisions
Trade payables
Trade receivables
Property, plant and equipment
Liabilities-side account Asset-side account Current assets Equity Current liabilities Temporary account
Provisions
Liabilities-side account
Trade payables
Current liabilities
Trade receivables
Current assets
Property, plant and equipment
Asset-side account
A company sold a machine for 100€ cash on 1st Januar at the beginning of the accounting period; the carrying amout of the machine was 80€;
How are the following cash flows affected/corrected by this transaction? Assign the corresponding amounts to the cash flows!
Cash flow from investing activities
Cash flow from operating activities
Cash flow from financing activities
0; + 20; - 80; + 100; - 20; + 80
Cash flow from investing activities
+ 100
Cash flow from operating activities
- 20
Cash flow from financing activities
0
Assign the right technical term for the mentioned changes in the balance sheet structure:
Changes in assets structure and constant the total sum
Changes in assets and liabilities structure and increasing total sum
Changes in assets and liabilities structure and decreasing total sum
Changes in liabilities structure and constant the total sum
Liabilities swap; Balance shortening; Balance extension; Asset swap;
Changes in assets structure and constant the total sum → Asset swap,
Changes in assets and liabilities structure and increasing total sum → Balance extension,
Changes in assets and liabilities structure and decreasing total sum → Balance shortening,
Changes in liabilities structure and constant the total sum → Liabilities swap
The financial-based analysis is mainly concerned with the analysis of the …
a. Income statement
b. Asset-side
c. Cash flow statement
d. Liabilities-side
Asset-side,
Liabilities-side,
Cash flow statement
Which are the three sub-cash flows in a statement of cash flows under IFRS?
a. Cash flow from selling activities
b. Cash flow from operating activities
c. Cash flow from financing activities
d. Cash flow from business activities
e. Cash flow from investing activities
Cash flow from operating activities,
Cash flow from investing activities,
Cash flow from financing activities
What effects can the equity capital be changed according to IFRS?
a. Asset swap
b. Transactions with the shareholders
c. Other comprehensive income
d. Liabilities swap
e. Profit or Loss
Profit or Loss,
Other comprehensive income,
Transactions with the shareholders
An increase in annual depreciation has a negative effect on which of the following earning figures?
a. EBT
b. EBIT
c. Net profit
d. Gross profit
e. EBITDA
f. Revenues
Net profit,
EBIT,
EBT
A company purchased a building for 300.000 € cash. This transaction would be reported on the statement of cash flows as …
a. a use of cash in the financing activities section
b. a decrease in net income
c. a use of cash in the investing activities section
d. a use of cash in the operating activities section
a use of cash in the investing activities section
Which type of financial statements is in Germany the legal base for profit distribution?
a. Consolidated financial statements in accordance with IFRS
b. Individual financial statements in accordance with IFRS
c. Individual financial statements in accordance with HGB
d. Consolidated financial statements in accordance with HGB (German commercial law)
Individual financial statements in accordance with HGB
What are the 5 components of an IFRS Financial Statements in accordance with IFRS?
a. Management report
b. Statement of financial position
c. Statement of changes in equity
d. Notes
e. Statement of profit or loss and other comprehensive income
f. Segment reporting
g.
Statement of cash flows
Statement of profit or loss and other comprehensive income, Statement of financial position, Statement of cash flows, Statement of changes in equity, Notes
Put the terms/activities mentioned in the correct chronological order.
Voucher Business transaction Do these accounts increase or decrease? Which two accounts are affected? What type of accounts are affected? Posting to the T-accounts Are the increases / decreases in debit or credit? Creating a journal entry
Business transaction Voucher Which two accounts are affected? What type of accounts are affected? Do these accounts increase or decrease? Are the increases / decreases in debit or credit? Creating a journal entry Posting to the T-accounts
Arrange the following terms of the statement of profit or loss in the correct order - starting with the “Top line” to the “Bottom line”
Revenues Gross profit EBIT Cost of Sales Net profit or loss EBT
Revenues Cost of Sales Gross profit EBIT EBT Net profit or loss
The financial-based analysis is mainly concerned with the analysis of the …
a. Asset-side
b. Cash flow statement
c. Income statement
d. Liabilities-side
Asset-side,
Liabilities-side,
Cash flow statement
