TUMOG NATIONAL AGRICULTURAL TRADE AND HIGH SCHOOL

FUNDAMENTALS OF ACCOUNTING, BUSINESS AND MANAGEMENT 1

SECOND SEMESTER S.Y 2018-2019

Name:____________________________ Grade & Section:_________________ Score:___________

Direction: For items 1-5, choose the BEST answer from the given choices below.
A. Normal B. Debit C. Credit D. Credit E. Credited
1. Asset accounts normally have ________ balances. An increase in asset is recorded as ________ while a decrease
in asset is recorded as a ______.
2. Liabilities accounts normally have ________ balances. An increase in liability is recorded by a ________ and a
decrease is entered as a ______.
3. The owner’s capital accounts normally has a ________ balance. This account increases on the ________ side
and decrease on the______ side.
4. Income accounts normally have ________ balances. This accounts increase on the ________ side and decrease
on the ______ side.
5. Expense accounts normally have ________ balances. This accounts increase on the ________ side and decrease
on the ______ side.
6. What is the resources owned by the business?
A. Asset B. Owner’s Equity C. Liabilities D. Income
7. What do you call the basic tool of accounting?
A. Accounting Equation C. Charts of Accounts
B. Accounts D. Financial Statements
8. Amounts owed by a business are referred to as ______.
A. Assets B. Liabilities C. Equities D. Expenses
9. Which of the following equations is the fundamental accounting equation?
A. Assets - Liabilities = Owner’s Equity
B. Assets + Liabilities = Owner’s Equity
C. Assets – Owner’s Equity= Liabilities
D. Assets=Owner’s Equity – Liabilities
10. Another way of stating the accounting equation is:
A. Assets – Liabilities = Owner’s Equity
B. Assets = Liabilities – Owner’s Equity
C. Assets – Liabilities = Owner’s Equity
D. Assets = Owner’s Equity – Liabilities
11. Which of the following equation is CORRECT?
A. Assets + Owner’s Equity = Liabilities C. Owner’s Equity = Assets + Liabilities
B. Liabilities – Owner’s Equity = Assets D. Owner’s Equity = Assets – Liabilities
12. Which of the following is CORRECT?
Assets Liabilities Owner’s Equity
A. PhP 7,850 1,250 6,600
B. PhP 8,200 2,800 11,000
C. PhP 9,550 1,100 8,200
D. PhP 5,420 6,540 1,120
13. Using the concept of accounting equation, compute the missing figure from the given data.
Asset = Liabilities + Owner’s Equity
Php 50,000 20,000 _____________

A. PhP50,000 B. PhP30,000 C. PhP 20,000 D. Php70,000

14. Fely Monarca Dance has assets of PhP 624,000 and liabilities of PhP 237,000. Compute for the owner’s equity
if its income at the end of the year is PhP 76,500.
 A. PhP 367,000 B. PhP 341,000 C. PhP 861,000 D. PhP 387,050
15. The liabilities of Ana D. Malasin Company equal one-fourth of the total assets, and the owner’s equity is PhP
500,000. What is the amount of the Liabilities?
A. PhP 666,666.67 C. PhP 167, 767.66
B. PhP 66,696.67 D. PhP 166, 666.67

“Good Luck and GOD Bless!!!”

Prepared by: Checked by:

REIZEL JANE PASCUA JOAN C. AGUBO

Subject Teacher Master Teacher 1

Noted by:

LEAH A. DOMINGO
Teacher-In-Charge