Bookkeeping Certification Mock Exam | 40 Practice Questions & Answers (Full Prep)

Master your bookkeeping certification exam with this 40-question mock exam and study guide. This tutorial covers core accounting topics including Accounting Fundamentals, Asset Classification, Depreciation, Accrual Accounting, Payroll Basics, Bank Reconciliations, and Financial Statement Analysis. Timestamps 0:00 - Introduction & Exam Overview 0:45 - Questions 1–10: Accounting Fundamentals & Accounting Equation 10:15 - Questions 11–20: Asset Classification & Depreciation 20:30 - Questions 21–30: Accrual Accounting, Matching Principle & Payroll 30:45 - Questions 31–40: Bank Reconciliations & Financial RatiosKey Concepts Covered The Accounting Equation ($Assets = Liabilities + Owner's Equity$) Straight-Line Depreciation ($Depreciation = \frac{Cost - Salvage Value}{Useful Life}$) Accrual Accounting & The Matching Principle Bank Reconciliation Adjustments & Financial Ratios ($Current\ Ratio$, $Debt-to-Equity$) Disclaimer: This study guide contains original practice scenarios, rephrased numerical examples, and independent educational content created for learning purposes. It is not affiliated with, endorsed by, or licensed by any specific certification body or software vendor. #bookkeeping #AccountingBasics #BookkeeperExam #AccountingTutorial #BookkeepingCertification #financeeducation Section 1: Fundamentals 1. B — Cash decreases by $8,000 and Equipment increases by $8,000 (net asset change = $0) 2. A — Supplies (Asset) increases; Accounts Payable (Liability) increases 3 .B — Cash (Asset) increases; Capital (Equity) increases 4 .B — Liabilities increase; Equity is unaffected until sold/expensed 5. A — Cash (Asset) decreases; Accounts Payable (Liability) decreases 6 .B — Net Income adds directly to Retained Earnings 7.C — $Liabilities = Assets - Equity = \$150,000 - \$90,000 = \$60,000$ 8. A — Cash (Asset) decreases; Owner's Drawing (Equity) decreases 9. A — Revenue increases assets/lowers liabilities and raises equity 10. B — Cash (Asset) increases; Unearned Revenue (Liability) increases. Section 2: Assets & Depreciation 11. B — Land is not depreciated. 12. B — Accounts Receivable is a current asset. 13. B — $\frac{\$35,000 - \$5,000}{5} = \$6,000/\text{year}$. 14. A — Accumulated Depreciation is a contra-asset with a credit balance. 15. C — Operating land is neither depreciated nor amortized. 16. C — $\$60,000 - \$22,000 = \$38,000$. 17. C — Debit Depreciation Expense, Credit Accumulated Depreciation. 18. B — Prepaid items are current assets (or prepaid expenses), not PPE. 19. B — Direct costs of building an asset are capitalized. 20. C — Intangible assets use amortization. Section 3: Accrual, Matching & Payroll 21. B — Record in November 2025 when earned (matching principle). 22. B — Child support withholding is a payroll cash transaction/remittance. 23. C — Revenue is recognized when performance obligations are met. 24. B — $\$24,000 / 12 = \$2,000$ per month. 25. B — Cash-basis does not track formal A/R and A/P ledgers. 26. B — Debit Wages Expense, Credit Wages Payable. 27. B — FUTA is employer-funded only. 28. B — Advances are Unearned Revenue (Current Liability). 29. A — Prepayments create a Prepaid Expense asset. 30. B — Match expenses to the period of the revenues generated. Section 4: Reconciliations & Ratios 31. A — Book balance calculation:$$\text{Adjusted Book Balance} = \$6,200 + \$100 \text{ (Interest)} - \$50 \text{ (Fees)} = \$6,250$$ 32. B — Deposit slips verify deposits in transit. 33. B — Credit Card Payable reconciles against external statements. 34. B — Clearing transactions is an intermediate step; adjusting entries and matching zero differences complete the reconciliation. 35. B — $\text{Debt-to-Equity} = \frac{\$50,000}{\$100,000} = 0.5$. 36. B — Year 3 dropped to $4,000, so it was not a consistent increase. 37. B — Deducted from the ending bank statement balance. 38. B — $\text{Current Ratio} = \frac{\$80,000}{\$40,000} = 2.0$. 39. C — Deducted from the company's book balance. 40. B — Ensures physical stock and ledger valuations align.