Keywords p1

Question 1

Asset

Answer 1

Something we own

Question 2

Liability

Answer 2

Something we owe

Question 3

Fixed asset

Answer 3

Something the business owns

Question 4

What does current asset consist of

Answer 4

Cash, receivable, prepaid, expenses and other assets

Question 5

What is in the current liability

Answer 5

Creditors and bank od

Question 6

What are current liabilities

Answer 6

Liabilities that have been paid in cash within a year

Question 7

What is the the financed by section

Answer 7

Authorised share capital
Issued share capital
Loans
Add reserves

Question 8

What is the rule for:

• expense due
• expense pp
• income due
• income pp

Answer 8

Cl
Ca
Ca
Cl

Question 9

What are receipts for a business?

Answer 9

Money in

Question 10

How do you find the net profit

Answer 10

Gross profit + income - expenses

Question 11

Actuary

Answer 11

A person who studies statistics and works out the risk of an accident happening

Question 12

Dividend

Answer 12

Percentage of share capital

Question 13

Shop steward

Answer 13

Worker elected by fellow workers to represent a trade union in the work place

Question 14

Paypath

Answer 14

An electron mean of transferring an employees wages from employees bank account to the employees

Question 15

CPI

Answer 15

Consumer price index

Question 16

*remember for document question…

Answer 16

Total - discount + VAT

Question 17

Irelands measure of inflation is…

Answer 17

CPI

Question 18

What is the first figure in an income and expenditure account

Answer 18

Profit/ bar surplus

Question 19

Depreciation

Answer 19

Is an expense

Question 20

Revenue

Answer 20

Income for a business e.g. Receipts

Question 21

What to remember about ACB and ledger

Answer 21

• figures in ledger go on the same side in the retrial balance, except bank goes on DR

Question 22

What is total net debtors

Answer 22

Sales book

Question 23

Sales book

Answer 23

CR CR DR

Question 24

Purchases book

Answer 24

DR DR CR

Question 25

Inflation

Answer 25

The increase in the general price of goods over a period of time

Question 26

False economy

Answer 26

Saves money at the beginning, but over longer period of time, results in more money being spent

Question 27

Insurance interest

Answer 27

You must suffer a loss when the insured item is damaged

Question 28

Collateral/security

Answer 28

An asset that a borrower offers as a way to pay back a loan

Question 29

Mixed economic system

Answer 29

An economy consisting of a mixture of public and private ownership

Question 30

GNP

Answer 30

GDP less the profits sent out by foreign owned companies

Question 31

What are the factors of production

Answer 31

Land Labour Capital Enterprise

Question 32

What is the formula for inflation

Answer 32

Increase in the prices in yr 2 >>divided<< by level of prices in yr 1

Question 33

What is in a business document

Answer 33

``` Letter of enquiry Quotation Order Invoice Delivery note Credit/ debit note ```

Question 34

What is credit

Answer 34

Asset for business

Question 35

Bad debt

Answer 35

A debt that cannot be recovered

Question 36

Market research

Answer 36

The ways businesses gather info about consumers

Question 37

What is the formula for compensation

Answer 37

Damage caused x insured ------- Building

Question 38

Debit card

Answer 38

Allows to transfers money electronically form consumers bank account when making a purchase

Question 39

Credit card

Answer 39

Allows the sonsumer to purchase goods on credit

Question 40

What is income and expenditure

Answer 40

Account of revenue income

Question 41

What is a receipts and payment account

Answer 41

Summerized statement of all cash transactions for the accounting year

Question 42

What are the cause of inflation

Answer 42

- Demand for goods and services - Riding wages - Higher taxes

Question 43

What are the benefits of being an EU member

Answer 43

- Strongest economic area in the world | - Free trade - reduced the costs and prices for consumers

Question 44

Effects of brexit on Ireland

Answer 44

- boarder controls | - currency