Income Statement Practice Questions And Answers

Income statement questions and answers test your understanding with practice problems and step by step solutions.

Income statement practice questions and answers. Practice questions multiple choice identify the choice that best completes the statement or answers the question. Questions and answers balance sheet income statement example 1. R1 200 000. Green as at 31 march 2015.

Choose your answers to the questions and click next to see the next set of questions. When you calculate a company s annual net income you have to consider the company s assets liabilities and whether cash dividends or new stock have been issued. Browse through all study tools. No frames version chapter 4.

R1 200 000 long term loans. Examples of service businesses are medical accounting or legal practices or a business that provides services such as plumbing cleaning consulting design etc. Preparing the income statement chapter exam instructions. In the absence of information about the date of repayment of a liability then it may be assumed.

Green as at 31 march 2015 in both horizontal and vertical style. Practice questions at the end of its first year a company estimates its. For multiple choice and true false questions simply press or click on what you think is the correct answer. The following trial balance is prepared after preparation of income statement for f.

R1 400 000 fixed assets land buildings plant equipment. Question the following figures were taken from the statements of foreign developers. For fill in the blank questions press or click on the blank space provided. R600 000 15 interest current liabilities creditors plus overdraft.

Prepare balance sheet for f. Is a merchandising company that uses the periodic inventory system. Selected account balances are. The following practice questions ask you to calculate annual net income with and without cash dividends.

If you want more practice with full accounting questions and answers you should get the official exercise book for this site volume 2 in the accounting basics series. Skip breadcrumb navigation home. If you have difficulty answering the following questions learn more about this topic by reading our income statement explanation.