Note – Please take our quiz ‘Quiz 6 – Accounting Abbreviations – Beginner’ on this page before going through the below answers. Only the top 3% of our audience score 10/10 in all of them.
- Name – Quiz 6 – Accounting Abbreviations – Beginner
- Topic – Accounting Abbreviations
- Answers with Explanations
Q1. Expand ‘AP’.
Ans. Accounts Payable. Accounts payable are amounts due to vendors or suppliers for goods or services received that have not yet been paid for.
Q2. COGS stands for Cost Of _____ Sold.
Ans. COGS stands for Cost Of Goods Sold. COGS refers to the direct costs of producing the goods sold by a company.
Q3. CIF stands for Cost, _____ & Freight.
Ans. CIF stands for Cost, Insurance & Freight. CIF is an expense paid by a seller to cover the costs, insurance, and freight of a buyer’s order while it is in transit.
Q4. Expand ‘EPS’.
Ans. EPS stands for Earning Per Share. It is calculated as a company’s profit divided by the outstanding shares of its common stock.
Q5. FP&A stands for Financial _____ & Analysis
Ans. FP&A stands for Financial Planning & Analysis. It is the budgeting, forecasting, and analytical processes that support an organization’s financial health and business strategy. They analyze business trends and past results, advise on how company performance can be improved, and explore potential growth scenarios.
Q6. Expand ‘FY’.
Ans. FY stands for Fiscal Year. It is a one-year period that companies and governments use for financial reporting and budgeting.
Q7. Expand ‘LOC’.
Ans. LOC stands for Line Of Credit. It is an agreement between a lender and a borrower to issue cash to the borrower as needed, not to exceed a certain predetermined amount.
Q8. What is the short form of Quarter?
Ans. The short form of Quarter is QTR. A quarter is a three-month period on a company’s financial calendar that acts as a basis for periodic financial reports and the paying of dividends.
Q9. Expand ‘LTC’.
Ans. LTC stands for Leave Travel Concession. Also known as Leave Travel Allowance, an employee can claim an exemption for expenses incurred for traveling when on leave anywhere in the country.
Q10. Expand ‘JIT’.
Ans. JIT stands for Just In Time. The JIT inventory system is a management strategy that aligns raw-material orders from suppliers directly with production schedules.
For Accounting Practice