Matric Accounting

Question 1

What is the basic accounting equation?

Accepted Answer

Assets = Owner's Equity + Liabilities

Answer

The accounting equation states that Assets = Owner's Equity + Liabilities, and it must always balance.

Question 2

A business buys equipment for cash. How are the accounts affected?

Accepted Answer

One asset increases and another asset decreases

Answer

Equipment (asset) increases while Bank (asset) decreases by the same amount, so total assets are unchanged.

Question 3

Which document is issued to a debtor when goods are returned to the business?

Accepted Answer

Credit note

Answer

A credit note is issued by the seller to a debtor (customer) to record goods returned, reducing the amount owed.

Question 4

In which financial statement would you find the net profit of a business?

Accepted Answer

Statement of Comprehensive Income (Income Statement)

Answer

Net profit is calculated in the Statement of Comprehensive Income (Income Statement) as income less expenses.

Question 5

What is the term for the decrease in value of a non-current asset over its useful life?

Accepted Answer

Depreciation

Answer

Depreciation is the systematic allocation of the cost of a tangible asset over its useful life.

Matric (NSC) Exam Practice Practice Test