AAMI ACCOUNTING ONE ACTUAL EXAM
PAPER 2026 QUESTIONS WITH ANSWERS
GRADED A+
● How do you decrease an asset account? - Credit
● How do you increase a liability account? - Credit
● How do you decrease a liability account? - debit
● How do you increase revenue? - Credit
● How do you increase expenses? - debit
● What is the accounting equation? - Assets=Liabilities+Owner's Equity
● Cash is a(n): - Asset
● Revenue is a(n): - Owner's Equity
,● Accounts Receivable is a(n): - Asset
● Mortgage Payable is a(n): - Liability
● Accounts Payable is a(n): - Liability
● Office Equipment is a(n): - Asset
● Capital is a(n): - Owner's Equity
● Automotive Equipment is a(n): - Asset
● The book of original entry is - The Journal
● What account would you credit if you did a funeral and received cash?
- Revenue
● What account would you debit if you did a funeral for cash? - Cash
● What account would you credit if you did a funeral and did not receive
the funds from the family but are owed on account? - Revenue
,● What account would you debit if you did a funeral and did not receive
the funds from the family but are owed on account? - Cash
● What account would you debit if you invested cash in your business? -
Cash
● What account would you credit if you invested cash in your business?
- Capital
● Accounting is based on the theory of: - basis and fundamental ideas, or
assumptions, underlying the practice of financial accounting
● A journal entry involving more than two accounts is referred to as - A
COMPOUND JOURNAL ENTRY
● Which of the following are considered temporary owner's equity
accounts? - REVENUE AN EXPENSES
● Cash is an - asset
● Capital is a - liability account.
● Accounts Receivable is an - asset.
, ● Mortgage Payable is an - liabilities
● Capital is an - owners equity
● A book of transactions is a: - Journal
● A book of accounts is a: - Ledger
● The language of business is (a): - Ledger
● How you increase an account is the type of balance it has. - True
● The following are debit balance accounts - Assets and expenses
● The following are credit balance accounts: - Liabilities - Owner's
equity - Revenue
● Cash has a credit balance - False
● Mortgage Payable has a credit balance. - False
● Accounts Receivable has a debit balance - False
PAPER 2026 QUESTIONS WITH ANSWERS
GRADED A+
● How do you decrease an asset account? - Credit
● How do you increase a liability account? - Credit
● How do you decrease a liability account? - debit
● How do you increase revenue? - Credit
● How do you increase expenses? - debit
● What is the accounting equation? - Assets=Liabilities+Owner's Equity
● Cash is a(n): - Asset
● Revenue is a(n): - Owner's Equity
,● Accounts Receivable is a(n): - Asset
● Mortgage Payable is a(n): - Liability
● Accounts Payable is a(n): - Liability
● Office Equipment is a(n): - Asset
● Capital is a(n): - Owner's Equity
● Automotive Equipment is a(n): - Asset
● The book of original entry is - The Journal
● What account would you credit if you did a funeral and received cash?
- Revenue
● What account would you debit if you did a funeral for cash? - Cash
● What account would you credit if you did a funeral and did not receive
the funds from the family but are owed on account? - Revenue
,● What account would you debit if you did a funeral and did not receive
the funds from the family but are owed on account? - Cash
● What account would you debit if you invested cash in your business? -
Cash
● What account would you credit if you invested cash in your business?
- Capital
● Accounting is based on the theory of: - basis and fundamental ideas, or
assumptions, underlying the practice of financial accounting
● A journal entry involving more than two accounts is referred to as - A
COMPOUND JOURNAL ENTRY
● Which of the following are considered temporary owner's equity
accounts? - REVENUE AN EXPENSES
● Cash is an - asset
● Capital is a - liability account.
● Accounts Receivable is an - asset.
, ● Mortgage Payable is an - liabilities
● Capital is an - owners equity
● A book of transactions is a: - Journal
● A book of accounts is a: - Ledger
● The language of business is (a): - Ledger
● How you increase an account is the type of balance it has. - True
● The following are debit balance accounts - Assets and expenses
● The following are credit balance accounts: - Liabilities - Owner's
equity - Revenue
● Cash has a credit balance - False
● Mortgage Payable has a credit balance. - False
● Accounts Receivable has a debit balance - False
