Accounting Terminologies Quiz

Accrued Expense is an expense owing by the business to other parties, while Prepaid Expense is an expense paid in advance to a business.

Work in Progress refers to semi-finished products.

Indirect Costs/Factory Overheads are costs that cannot be directly traced to items being manufactured.

<p>A Suspense Account is a temporary account used to balance the trial balance until errors are found and corrected.</p> Signup and view all the answers

<p>Allocation is when an expense is allocated to one specific department only, while Apportionment is when an expense is divided between departments according to a specific criteria.</p> Signup and view all the answers

<p>Partnership is when 2 or more persons carry on business in common with a view of profit.</p> Signup and view all the answers