Income Statement Practice Questions With Solutions

Green as at 31 march 2015.

Income statement practice questions with solutions. Workbook has 88 questions and exercises starting from the accounting equation and basic concepts to journal entries t accounts the trial balance financial statements the cash flow statement. The following trial balance is prepared after preparation of income statement for f. Choose your answers to the questions and click next to see the next set of questions. Prepare balance sheet for f.

If there are no other equity transactions what is the net income for the year. R1 400 000 fixed assets land buildings plant equipment. The income statement format above is a basic one what is known as a single step income statement meaning just one category of income and one category of expenses and prepared specifically for a service business. Assets a liabilities l shareholders equity e.

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. Income statement questions and answers test your understanding with practice problems and step by step solutions. The solution answers 40 multiple choice questions related to balance sheet income statement perpetual invenotyr system periodic inventory system bank reconciliation etc. Preparing the income statement chapter exam instructions.

Question the following figures were taken from the statements of foreign developers. At the end of its first year a company estimates its end of year balances to be. For fill in the blank questions press or click on the blank space provided. For multiple choice and true false questions simply press or click on what you think is the correct answer.

R600 000 15 interest current liabilities creditors plus overdraft. Questions and answers balance sheet income statement example 1. Preparation of balance sheet horizontal and vertical style. 2 19 add solution to cart remove from cart.

For each transaction please note which of the following balance sheet and income statement categories are affected. Green as at 31 march 2015 in both horizontal and vertical style. R1 200 000 long term loans. Practice income statement solutions exercise 5 practice income statement solutions exercise 1 construct journal entries for each of the following hypothetical transactions during the first quarter of 2014.

If you have difficulty answering the following questions learn more about this topic by reading our income statement explanation. Browse through all study tools.