Republic of the Philippines

Department of Education
Caraga Administrative Region
Division of Dinagat Islands
CAGDIANAO NATIONAL HIGH SCHOOL
Cagdianao, Dinagat Islands

FUNDAMENTALS OF ABM1
Summative Test- Quarter 3 – Week 3 to 4 (2ND SEM)

Name: _________________________________________ Yr. Level &Section:_________________

I-MULTIPLE CHOICE
Directions: Read and understand the statement. Write the letter of the correct
answer from the given choices on a separate sheet of paper.

1. If the beginning capital was P50,000 and at the end of the year it became P70,000, assuming
no additional investment was made, what could be the reason for the increase?
a. asset b. liability c. income d. expenses
2. Mr. Abad invested P100,000 in Abad Barber Shop. He bought equipment on account for
P200,000 giving a 50% down payment. The asset of Abad Barber Shop is :
a. P100,000 b. P300,000 c. P200,000 d. P500,000
3. Mrs. Jeta Jones bought a new furniture for her business for P50,000 on account. She put her
old furniture for use in the business costing P50,000 but with a fair market value of P20,000.
How much is the total cost of furniture of the business?
a. P50,000 b. P70,000 c. P100,000 d. P20,000
4. If the ending balance is P130,000 net income is P60,000; no drawing, the beginning balance of
capital must be:
a. P130,000 b. P60,000 c. P70,000 d. P190,000
5. If the ending capital is P50,000; gross income is P130,000; expenses P10,000; drawing,
P1,000, beginning capital must be:
a. P80,000 b. P90,000 c. P69,000 d. P50,000
6. If you invested P100,000 and you have liabilities of P60,000, how much is your beginning
capital?
a. P40,000 b. P100,000 c. P60,000 d. Zero
7. Which of the following is NOT considered as revenue?
a. ticket sales b. rent c. interest d. deferred
8. Cash equivalents are not short-term and highly liquid investments that are
a. Classified as year long securities
b. Always convertible into cash and acquired two years before maturity
c. Always convertible into cash and acquired six months before maturity
d. Readily convertible into cash and acquired three months before maturity
9. The principal classification of liabilities are
a. current and noncurrent liabilities c. current, noncurrent and other noncurrent
b. noncurrent and deferred liabilities d. current and deferred liabilities
10. When all bonds mature on a single date, they are called
a. term bonds b. due-date bonds c. serial bonds d. convertible bonds
11. What is the difference if the selling price is greater than carrying amount ?
a. Net Loss b. Net Profit c. Gain d. Loss
12. How do you call a group of all accounts showing its outstanding balances?
a. book of final entry c. general journal
b. general ledger d. subsidiary ledger
13. It is the left blank during the journalizing process and is filled out during posting.
a. Debit b. Credit c. Ref Code d. Account title
14. What is the next step after journalizing the business transactions?
a. Grouping b. Posting c. Crediting d. Debiting
15. It is a chronological record of all company’s transactions listed by date.
 a. Journal b. Ledger c. Special Journal d. General Ledger
16. What is used as an expansion of the general ledger?
a. Subsidiary Ledger c. General Journal
b. Special Journal d. General Ledger
17. It is a recording of financial information into the journal
a. Posting c. Debiting
b. Journalizing d. Crediting
18. How many columns has the journal?
a. four b. five c. three d. six
19. How many columns has the ledger?
a. four b. five c. three d. six
20. These will be posted to the general ledger rather than the individual entries
a. Debit c. Totals
b. Credit d. Balances
21. What is used to track the individual account balances of the customers?
a. Purchase journal c. Sales Journal
b. Accts. Receivables ledger d. Accts. Payable ledger
22. They have both the same format
a. ledger and journal c. receivables and payables
b. Accts. Receivable subsidiary ledger d. general and subsidiary ledger
23. Where are amounts owed by the customers for credit purchases found?
a. sales journal c. cash payments journal
b. general ledger d. accts. Receivable subsidiary ledger
24. What is the firm’s payment to a supplier for merchandise inventory recorded?
a. sales journal c. cash payments journal
b. cash receipts journal d. purchases journal
25. A transaction is first recorded in a record called a ____________
a. Journal b. T-account c. Ledger d. Chart of Accounts
26. After transactions have been recorded in the proper journals, they are transferred to
a. General Ledger c. Trial Balance
b. Worksheet d. General Journal
27. Where would a debit posted to accounts payable in the general ledger come from?
a. Purchases Journal c. Cash Receipts journal
b. Cash Disbursements Journal d. Sales journal
28. The following are the parts of a general ledger, EXCEPT
a. Date c. Reference Number
b. Invoice Number d. Explanation of business transaction
29. An example of of an account that would normally have a subsidiary ledger associated with it
is _________
a. Cash c. Accounts Payable
b. Professional fees d. Accounts Receivable
30. Which of the following is an information normally provided by an Accounts Receivable
Subsidiary Ledger?
a. Amounts Owed by each Customer
b. Amounts Invoiced to Each Customer
c. Amounts Paid By Each Customer
d. Amounts Owed By Each Supplier
III- MULTIPLE CHOICE

Direction: The following are basic standard phraseologies to welcome and greet
guests. Choose the letter of the proper and correct phraseologies. Write the
letter on the space provided before each number.

____1. A. Good morning Ma’am, welcome to Bliss Restaurant! How may I help you?
B.Ma’am, come in to our Bliss Restaurant! Find some table there.

____2. A. We have prepared a nice table for you Mrs. Benitez. This way please.
B. We have prepared a nice table for you Mrs. Longos. Let’s go there, please.

____3. A. Do you mind waiting at the lounge for about 5 min. and I will call you the
moment we have a table available for you?
B.Do you mind to wait or not? Please stay at the lounge if you wait.

____4. A. I’m sorry Ma’am, we have an unexpected excess in the number of guests and
all seats are already occupied. However, our staff is already preparing
additional tables and chairs. May we request you to wait at the lounge for a
while and I will call you when your tables are ready
B. I’m sorry Ma’am, we are really full and all seats are already occupied. However,
 our staff maybe preparing additional tables and chairs. Do you want to wait at
the lounge for a while and I will call you when your tables are ready.

____5. A. You may go there. (Pointing tables)

____6. A. Will this table be alright for you?

____7. A. Welcome back Ms. Alvarez. We are glad that you come back.
B.Welcome back Ms. Alvarez. We are glad to see you again sir.

____8. A. How many are we expecting in the party, Ma’am?

____9. A. May I help you?

___10. A. What do you want, smoking or non-smoking area?