1. This type of income statement offers a simplified snapshot of a company’s revenues and expenses.

 
a. Multi-Step Statement of Comprehensive Income c. Cash Flow Statement
b. Statement of Financial Position d. Single-Step Statement of Comprehensive
Income
2. This is the simplest form of business organization. 
a. Partnership c. Single Proprietorship
b. Corporation d. Cooperative
3. Large banks, hospitals, real property, and manufacturers are an example of what type of business
organization.
a. Corporation c. Partnership
b. Cooperative d. Single Proprietorship
4. This type of income statement is commonly used by publicly-traded companies.
a. Single-Step Statement of Comprehensive Income c. Statement of Changes in Equity
b. Statement of Comprehensive Income d. Multi-Step Statement of Comprehensive
Income
5. To get the net income for a Statement of Comprehensive Income, you need to deduct ___________ from
the revenues earned.
a. Operating Cost and Expenses c. Salaries and Rent Expenses
b. Direct Cost of Services d. Finance Cost
6. This type of income statement presents the movement of the owner’s capital and withdrawals.
a. Statement of Financial Position c. Statement of Cash Flow
b. Statement of Changes in Equity d. Statement of Comprehensive Income
7. This is the owner’s temporary record of the whatever asset was withdrawn from the business.
a. Expenses c. Drawings
b. Cost d. Net Income
8. This type of income statement summarizes the firm’s sales, revenues, expenses incurred and the result of
the operation.
a. Statement of Comprehensive Income c. Statement of Cash Flow
b. Statement of Changes in Equity d. Statement of Financial Statement
9. The Statement of Cash Flow has three categories: Operating activities, investing activities and?
a. Sales of Good or Services c. Financing activities
b. Owner’s activities d. Inventory activities
10. This financial statement is a summary of the cash inflows and outflows in a business.
a. Cash Flow Statement c. Statement of Financial Position
b. Statement of Comprehensive Income d. Statement of Changes inEquity
 Jasmin School Supplies
Trial Balance
31 December 2018
(In Peso Amount)
Account Debit Credit
Sales 304,650.00
Sales Returns and Allowances 2,800.00
Sales Discount 3,500.00
Merchandise Inventory, Beginning 173,800.00
Purchases 76,010.00
Freight-In 1,105.00
Purchase Discount 1,550.00
Purchase Returns and Allowances 3,000.00
Merchandise Inventory, End 60,865.00
Rent 52,000.00
Commission Expense 14,500.00
Salaries 43,230.00
Utilities 1,770.00
Gas and Oil 300.00
Repairs and Maintenance 4,255.00
Interest Income 1,305.00
Interest Expense 5,000.00
Taxes and Licenses 3,000.00
Total 442,135.00 310,505.00
 Statement of Projected Statement of
Comprehensive Income Comprehensive Income
31 December 2022 for 2022
Sales 450,000.00
Operating Cost 1500,000.00
Depreciation Expense 50,000.00
Interest Expense 45,000.00
Taxes (15%) 67,500.00
Net Income 97,000.00

Assumptions:
1. Because of the current demand of the product, the company projects an increase in sales of 30%.
2. Your company is planning to purchase new equipment at the end of the year, lowering the operating cost
by 5%.
3. Because of the new equipment, the depreciation cost will increase by 3%.
4. To purchase your new equipment, you took out a business loan, hence, increasing your interest expense
by 2%.

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