Bookkeeping Test | Accounting Test

Test Your Knowledge of the Balance Sheet

This is the first in a series of accounting tests. Read the article on the Balance Sheet, then take this bookkeeping test to self assess your bookkeeping skills OR the bookkeeper you are hiring.

When you have completed the bookkeeping test, submit your answers to receive the answer key.

BEFORE you click on the "Get the answer key" button, I recommend you print / save to a pdf the test with your answers ... or handwrite your answers on a piece of paper ... so you can compare your answers to the answer key.

BEFORE YOU START the test, I also recommend you have my cheat table open to assist you in answering the questions.

Accounting Test on The Balance Sheet

Please note that all fields followed by an asterisk must be filled in.

First Name*

E-Mail Address*

City*

Country*

1. What is the usual entry for an owner's draw?*

	Debit
	Credit

2. The balance sheet formula is known as the accounting equation. It is Assets = _________ + Owner's Equity*

3. Which of the following is a current asset?*

	Accounts Payable
	Accounts Receivable
	Computer Equipment

4. Assets are funded by debt, capital contributions and __________ ___________.*

5. If liabilities are $10,000 and Owner's Equity is $40,000, assets must be $_________.*

6. The balance sheet is like a video as it represents your business activity over a particular period of time?*

	True
	False

7. What will decrease prepaid insurance?*

	Debit
	Credit

8. Which of the following is a long term liability?*

	Capital Lease Obligation
	Accounts Payable
	Accounts Receivable

9. GST collected but not yet remitted to CRA is a current asset?*

	True
	False

10. Capital assets are things you own that have a life longer
than _______ _______.*

11. What is the expected balance in wages payable?*

	Debit
	Credit

12. Which account normally has a credit balance?*

	Amortization Expense
	Capital Asset Account
	Accumulated Amortization

13. Contra asset accounts and bank overdrafts normally have a debit balance?*

	True
	False

14. Your van cost $28,000 a few years ago. The accumulated depreciation is currently at $11,200. You sold the van for $19,500. What is the gain or loss?*

	$2700 loss
	$2700 gain
	$16800 gain
	$16800 loss
	$8500 gain
	$8500 loss
	none of the above

15. Your general ledger shows a bank account shows a balance of $1160 at month-end, before you perform the bank reconciliation. The bank statement shows a balance of $980. The bank reconciliation shows outstanding cheques of $156, bank service charges of $6, an overdraft charge of $5, and $325 deposit in transit. The adjusted bank statement balance is $ ______ .*

16. Using the same data as question 15, the adjusted bank account balance is $ __________.*

17. How did you find this web site?*

	Search Engine like Google, Bing or Yahoo
	Friend's Referral
	Magazine Article
	Internet Directory Listing
	Other

Please complete the challenge that you see below.

Bookkeeping Essentials › Accounting Training › Accounting Test on Balance Sheet

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