I Like Accounting

Practice Accounting Questions

(More exercises added regularly! Check back soon -- and send some suggestions!)

Accounts

  • Account Types - The six basic types of accounts
  • Accounting Equation - A high-level understanding of a company's value
  • Chart Of Accounts - Organize your accounts like a pro
  • Debits and Credits - The two most important words in accounting

    Bad Debt

  • Aging Method for Estimating Uncollectable Accounts
  • Percentage of Sales Method for Estimating Bad Debt Expense

    Bonds

  • Bonds at a Premium or Discount - How do we compensate for a difference in interest rates?
  • Journal Entries for Bonds at Par
  • Present Value of Bonds - How much is a bond really worth?

    Cash and Cash Flow

  • Annuities - What's the value of a stream of payments?
  • Bank Reconciliation - Do your books match your bank's records?
  • Cash and Cash Equivalents - Two types of assets
  • Cash Flow From Operating Activities: Indirect Method - How do transactions affect the cash flow from operations when using the indirect method?
  • Time Value of Money

    Depreciation

  • Double-Declining-Balance Depreciation
  • Straight-Line Depreciation
  • Sum-of-Years-Digits Depreciation
  • Units of Production Depreciation

    Government Accounting

  • Government Forms - The most common SEC and IRS forms
  • Governmental Funds

    Inventory

  • Cost of Goods Sold - Learn to calculate COGS (cost of goods sold)
  • Free on Board - When does title transfer?
  • Inventory Errors - Is it fraud? Is it a mistake? Well, it has to be fixed...
  • Lower of Cost or Market
  • Lower of Cost or Net Realizable Value

    Leases

  • Finance or Operating Lease?

    Managerial Accounting

  • Break-Even Analysis
  • Fixed or Variable Costs
  • Labor Efficiency Variance

    Misc

  • Common Stock Classifications - issued, outstanding, and treasury
  • Financial Ratios
  • Financial Statements - We have problems. Which financial statement will help?
  • Sales Discounts - Gross method and net method
  • Subsequent Events

    Tax

  • Deferred Tax Assets and Liabilities
  • IRS Tax Forms
  • States without Income Tax
  • States without Sales Tax

    Valuation

  • Equity Method - A 20-50% ownership stake
  • Fair Value - Principal markets and most advantageous markets
  • Fair Value Hierarchy - How much is this website worth?
  • Fair Value Method - A <20% ownership stake