PEREGRINE EXAM WITH
QUESTIONS AND
ANSWERS[GRADED A+]
ACTUAL EXAM 100%
What is a general ledger? - ANS✔✔---A general ledger account
is an account or record used to sort, store and summarize a
company's transactions.
asset accounts such as Cash, Accounts Receivable, Inventory,
Investments, Land, and Equipment
liability accounts including Notes Payable, Accounts Payable,
Accrued Expenses Payable, and Customer Deposits
stockholders' equity accounts such as Common Stock, Retained
Earnings, Treasury Stock, and Accumulated Other
Comprehensive Income
, Accounts receivable is a current asset account in which a
company records the amounts it has a right to collect from
customers who received goods or services on credit.
What is the difference between accounts payable and accounts
receivable? - ANS✔✔---Accounts payable is a current liability
account in which a company records the amounts it owes to
suppliers or vendors for goods or services that it received on
credit.
What is owner's equity? - ANS✔✔---Owner's equity is one of
the three main sections of a sole proprietorship's balance sheet
and one of the components of the accounting equation: Assets =
Liabilities + Owner's Equity.
What is the cost of goods sold? - ANS✔✔---The cost of goods
sold is the cost of the products that a retailer, distributor, or
manufacturer has sold.
What is equity? - ANS✔✔---Equity can indicate an ownership
interest in a business, such as stockholders' equity or owner's
equity.
Equity can mean an owner's interest in a personal asset. For
example, the owner of a $200,000 house that has a mortgage
loan of $75,000 is said to have $125,000 of equity in the house.
QUESTIONS AND
ANSWERS[GRADED A+]
ACTUAL EXAM 100%
What is a general ledger? - ANS✔✔---A general ledger account
is an account or record used to sort, store and summarize a
company's transactions.
asset accounts such as Cash, Accounts Receivable, Inventory,
Investments, Land, and Equipment
liability accounts including Notes Payable, Accounts Payable,
Accrued Expenses Payable, and Customer Deposits
stockholders' equity accounts such as Common Stock, Retained
Earnings, Treasury Stock, and Accumulated Other
Comprehensive Income
, Accounts receivable is a current asset account in which a
company records the amounts it has a right to collect from
customers who received goods or services on credit.
What is the difference between accounts payable and accounts
receivable? - ANS✔✔---Accounts payable is a current liability
account in which a company records the amounts it owes to
suppliers or vendors for goods or services that it received on
credit.
What is owner's equity? - ANS✔✔---Owner's equity is one of
the three main sections of a sole proprietorship's balance sheet
and one of the components of the accounting equation: Assets =
Liabilities + Owner's Equity.
What is the cost of goods sold? - ANS✔✔---The cost of goods
sold is the cost of the products that a retailer, distributor, or
manufacturer has sold.
What is equity? - ANS✔✔---Equity can indicate an ownership
interest in a business, such as stockholders' equity or owner's
equity.
Equity can mean an owner's interest in a personal asset. For
example, the owner of a $200,000 house that has a mortgage
loan of $75,000 is said to have $125,000 of equity in the house.
