I DIRECTIONS:

Read the questions/statements carefully. Write the letter of the correct answer on the space provided before each number.

1. Which is known as the historical cost principle and the historical cost concept?.

A. Financial records
B. Cost principle
C. Liabilities
D. Investments

2. is the difference between how much an item costs you, and how much you sell that item.

A. Production Cost
B. Selling Price
C. Mark up
D. Percentage markup

3. To calculate your percent markup based on selling price, you have to divide the peso markup by the

A. Peso mark up
B. Mark up percentage
C. Selling Price
D. Cost

4. The cost principle is an accounting principle that requires assets, liabilities, and equity investments to be recorded on records at their original cost.

A. Financial
B. Personal
C.Daily
D. Legal

5. To calculate percent markup based on cost you have to divide the by the cost.

A. Mark up Percentage
B. Peso mark up
C. Selling Price
D. Cost

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