Double Entry Starter

Double Entry Starter

Aim: To record financial transactions using double entry

• Recall the meaning of key terms such as: assets, expenses, drawings, liabilities, income and capital.

• Explain the effects of various transaction on financial statements (accounting equation)

      

• Analyse transactions and record them using double entry

      

• Classify accounts into expenses, assets, drawing, liabilities, income and capital

Multiple Choice

The left side of a T account is the

• Positive Side

• Credit Side (Cr)

• Negative Side

• Debit Side (Dr)

Open Ended

DEAD CLIC is short for

Multiple Choice

Which of the following will not appear on the debit side of a trial balance?

• Purchases Account

• Motor Vehicle Account

• Loan

• Motor Vehicle Expenses Account

Multiple Choice

Which of the following will not appear on the credit side of a trial balance?

• Bank Overdraft

• Trade Receivables

• Trade Payables

• Mortgage

Multiple Select

Money owed by customers who buy on credit is called:

• Creditors

• Trade Payables

• Debtors

• Trade Receivables

Multiple Select

Money owed to suppliers who sell goods to us on credit is called:

• Accounts Payable

• Accounts receivable

• Payables

• Creditors

Multiple Select

Mr Khan started his business with £1000 cash. The debit and credit entries in the T accounts will be:

• Dr Business £1000

• Cr Mr Khan £1000

• Dr Cash £1000

• Dr Bank £1000

• Cr Capital £1000

Multiple Select

The business bought a motor vehicle for £5000 and paid by cheque. The debit and credit entries for this transaction will be:

• Dr Motor Vehicle Expenses £5000

• Dr Current Assets £5000

• Dr Motor Vehicles £5000

• Cr Cheque £5000

• Cr Bank £5000

Multiple Select

We sold goods for £200 to a customer who paid using a debit card. This transaction will be recorded as:

• Dr Bank £200

• Cr Customer Debit Card

• Cr Sales £200

• Cr Trade Receivables £200

• Cr Trade Payables £200

Multiple Choice

The purchases account is used to record goods (inventory) bought from suppliers, and the sales account is used to record goods (inventory) sold to customers.

• True

• False

• None of the above

• Other answer