ACC102 Email: bbcnoun@gmail.com Whatsapp: 08131667008 The two components of cost are: Answer: quantity used and price. The word YYCapitalYY is associated with items that appear in the Statement of Financial position, while YYrevenueYY is an item that appears in the Answer: comprehensive income Which of the following is not posted to the control account? Answer: trade discount The net resources of an entity is analized into assets and Answer: liabilities A summary of customers and suppliers ledger in total is known as Answer: control account What is the relationship between an entityVs closing inventories and its reported profit? Answer: the higher the value of closing inventory the higher the profit. The process of making the balances in the cash and bank columns of the cash book to agree with the bank statement balance is known as Answer: bank reconciliation. is prepared to check the mathematical accuracy of postings in the ledger. Answer: trial balance Payments and receipts of cash in respects of reimbursement of employee expenses are recorded in the Answer: petty cash book What is the determinant of an entityVs method of valuing inventory? Answer: its accounting policy A transaction where payment is made or received sometime after delivery is known as Answer: credit transaction The point of intersection between total sales and total expences is known as Answer: breakeven point. A resource owned or controlled by an accounting entity and which is expected to generate future economic benefits is called Answer: asset Which of the following cannot be a reporting entity? Answer: a cost object A reserve set aside/retained in compliance with certain laws is known as Answer: capital reserve The value of goods meant for sale that are available at the beginning of the accounting year is called Answer: opening stock Purchases give rise to inventories when the goods purchased are not Answer: fully sold in the period Which of the following information needs not be shown on the face of a cheque? Answer: drawee\'s signature The initial investment of the business owner in a company is known as Answer: owner\'s equity Units of closing inventory is determined as Answer: total units purchased less units sold The two components of cost are: Answer: quantity used and price. Email: bbcnoun@gmail.com Whatsapp: 08131667008