MINDANAO MISSION ACADEMY

Manticao, Misamis Oriental

First Mid-term Examination
BUSINESS FINANCE-Gold 12

Name: ___________________________________ Score:________________

“One who is faithful in very little is also faithful in much, and one who is dishonest in very little is also dishonest in much.” Luke 16:10.

I. Directions : Write TRUE when the statement is true and write FALSE when the statement is false.

_______1. Companies prepare interim and annual financial statements.

_______2. Gross income is simply the difference between revenue and expense.
_______3. A business entity is separate from the personal affairs of its owners.
_______4. Assisting other departments in hiring of employees is the work of VP-Academics
_______5. Assets are economic resources that are owned by the business.
_______6. The ending balance in the shareholders’ equity account is computed and then reported on
the balance sheet
_______7. Maximizing shareholder’s wealth motivates members of the top management to develop a
longer perspective for the company that they manage.
_______8. Shares of stuck represent form of ownership in a corporation.
_______9. The president cannot manage the company on his own, especially when the corporation has
become too big.
_______10. One thing to consider in managing a company is the non-compliance with the regulatory
government.

II. Directions: Identify the following roles and indicate whether it represents the:
 BOD – Board of Directors  VPA – Vice President for Administration
 VPSM – VP for Sales and Marketing  VPF – Vice President for finance
 P - President  VPP – Vice for President Production

_______1. Determines how much cash dividends a company declares.

_______2. Ensuring production meets customer demands.
_______3. Providing assistance in payroll preparation.
_______4. Directing and coordinating company sales.
_______5. Representing the company in professional, social, and civic activities.
_______6. Identifying adequate and competitively priced raw material suppliers.
_______7. Determining top management’s compensation.
_______8. Approving company’s strategies, goals, and budgets.
_______9. Performing market and competitor analysis.
_______10. Performing all areas of management.

Trust in the Lord with all your heart and lean not on your own understanding in all your ways acknowledge Him, and he will make your path straight. Proverbs 3: 5-6
III. Enumeration:

1. Enumerate the steps of the accounting cycle. (In-order)

2. Enumerate the basic Financial Statements

a.
b.
c.
d.
e.

Trust in the Lord with all your heart and lean not on your own understanding in all your ways acknowledge Him, and he will make your path straight. Proverbs 3: 5-6
IV. Draw the organizational chart for JRS Company

Kezia is the vice president for production, while Diego is the president of JRS Company. The Board of
Directors determines the compensation of each position from president to the managers of each
department. Mecha is the manager for Brach B of the Sales and marketing department while Mandy is
the vice president. Leni reports to Kezia the number of material used and units produced. Evelyn reports
to Diego all the Financing, Investing, Operating, and Dividend policies of the company.

Rubrics for organizational chart:

1 2 3 4
Exceptional
Incorrect or little Some facts are Substantial amount
Accurate detail amount of
facts, hardly any accurate, some of facts, good
and depth facts, vivid
detail. detail amount of detail
descriptions
Highly
Some focus, but not Well organized and
Clear Focus Vague and unclear organized and
organized enough clearly presented
easy to follow
Exceptional
Simple design, but
Little to no layout Attractive and design and
Design layout could be
and design Invites the viewer outstanding
more organized
visual appeal

(Draw your organizational chart here)

Trust in the Lord with all your heart and lean not on your own understanding in all your ways acknowledge Him, and he will make your path straight. Proverbs 3: 5-6