Accounting is a wide field which entails grasping of numerous small concepts over time. Studying accounting is different from studying a novel. Answering accounting questions and problems is the best way of gauging your understanding of accounting concepts. Accounting practice provide students with an opportunity to put into practice concepts learned and review their understanding. We provide you with an opportunity to test your skills in different accounting topics, some of which include:
Accounting basics practice problems
Accounting basics practice problems comprises of introduction to accounting terminologies, principles and concepts. The aim of accounting basics is to prepare you understand and have a broad picture while tackling preceding accounting topics. Some of important accounting basic concepts include; assets, liabilities, capital, revenue, expenses, balance sheet, income statement and statement of cash flows. Visit our website today to exercise on accounting basics practice problems with answers.
Debits and credits practice problems
Debit and credit forms the basis of double entry rule and is a must understand concept for every student taking accounting course. A debit is a record of a transaction associated with an increase in asset or expense account or a decrease in liability or equity account. On the other hand, a credit refer to a record of a transaction associated with an increase in liability or equity account or decrease in asset or expense. Visit the site below to view solved debits and credits accounting practice problems.
Accounting equation practice problems
Accounting equation provides a fundamental relationship between assets, liabilities and owners’ equity. The accounting equation states that for any business that operates on a going concern basis, the assets should be equal to summation of owners’ equity and liabilities. Accounting equation practice problem will help you build a good foundation. It also help in the understanding of the balance sheet and solving for missing figures the above given relationship.
Accounting principles practice problems
These accounting principles stipulates regulations on business entities when it comes to preparation of financial statements and issuing financial reports. It aims at providing a legal basis on which a third party can rely on in case a company provides misleading financial reports leading to financial loss on the side of a third party. Get to understand more on different provisions under Generally Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS) by reading accounting principles practice problems on our website.
Financial statement practice problems
Financial statement is a general term meaning the recording and presentation of business transactions in an organized and structured manner in order to arrive at a key conclusion. The objective of a financial statement is thus to reflect the true and fair financial position of a company. Two basic financial statements that are common include the statement of financial position (balance sheet) and income statement. Other financial statements include the cash flow statement and statement of changes in equity. Exercise today on preparation of different financial statements by going through financial statement practice problems on our website.
Nonprofit accounting practice problems
The nonprofit organizations like charities, hospitals and government entities have a different accounting procedures compared to ordinary business entities. Nonprofit entities strive to achieve primary objectives as opposed to profit maximization. The accounting procedures of such entities are thus different. This is due to difference in its primary business functions which is not profit maximization. Learn more about nonprofit accounting practice problems by visiting our website today.