(100) Fundamental Accounting
Description
Assessment of entry-level accounting principles. Members analyze, journalize, post transactions, and
prepare financial reports/statements.
Eligibility
Limited to secondary division student members who have not completed their first year of accounting.
Member may not enter Fundamental Accounting and Advanced Accounting in the same year. This
event may not be repeated.
Member must supply
Sharpened No. 2 pencils, pens, ruler
Cordless calculator: Electronic devices will be monitored according to ACT standards. See NLC
Calculator Guidelines. Members who violate this rule will be disqualified.
Published and/or unpublished non-electronic written reference materials
No equipment, supplies, or materials other than those specified for an event will be allowed in the testing area.
No previous Business Professionals of America tests and/or sample tests or facsimiles thereof (handwritten,
photocopied, or keyed) may be taken into the testing area. Violation of this rule will result in disqualification.
Competencies
• Complete and explain the purpose of the various • Prepare a trial balance
steps in the accounting cycle • Prepare and analyze financial statements
• Demonstrate an understanding of the and reports
fundamental accounting equation • Update accounts through adjusting and
• Apply generally accepted accounting principles closing entries
(GAAP) to determine the value of assets, • Differentiate between forms of business
liabilities, and owner’s equity ownership
• Define accounting terms and concepts, and • Differentiate between a service and a
explain the purpose of the accounting system merchandising business
• Analyze transactions affecting assets, liabilities, • Analyze transactions relating to the
owner’s equity, revenues, and expenses purchase and sale of merchandise
• Analyze a chart of accounts using proper • Analyze uncollectible accounts
numerical sequencing • Depreciate plant assets
• Record transactions in general journals • Record transactions in special journals
• Describe forms used to open and use a checking • Post from journals to general and subsidiary
account ledgers
• Reconcile a bank statement • Prepare schedules for subsidiary ledgers
• Journalize and post entries relating to bank • Prepare a post-closing trial balance
service charges • Find and correct errors
• Open and replenish a petty cash fund and • Demonstrate periodic inventory and cost of
journalize transactions goods sold calculations
• Analyze accruals and deferrals
Business Professionals of America Workplace Skills Assessment Program
Material contained in this publication may be reproduced for member and/or event use only.
September 13, 2024 Initial Release 1.0
Page | 129
Method of evaluation
Application and Objective Test – Reference
materials are allowed.
Entries
Each state is allowed five (5) entries
Length of event
No more than ten (10) minutes orientation
No more than ninety (90) minutes testing time
No more than ten (10) minutes wrap-up
Business Professionals of America Workplace Skills Assessment Program
Material contained in this publication may be reproduced for member and/or event use only.
September 13, 2024 Initial Release 1.0
Page | 130
