QUIZ ON JOURNAL, LEDGER AND TRIAL BALANCE

All of these are example of specialized journal EXCEPT

• Sales and purchase journal

• Sales return and purchase return journal

• Cash receipt and cash payment journal

• General journal

Businesses use special journals to record similar types of transactions. All purchases of merchandise on account (credit) are recorded in:

• Cash receipts journal

• Cash payment journal

• Purchase journal

• Sales journal

Which of the following statements about a journal is FALSE?

• It provides a chronological record of transactions

• It helps to prevent or locate errors because the debit and credit amounts for each entry can be easily compared

• I discloses in one place that complete effects of a transaction

• It is not a book of original entry

Below are the steps in preparing Trial Balance EXCEPT

• list the account titles and their balances in the appropriate debit or credit column

• total the debit and credit column

• prove the equality of the two (2) column

• transfer the total to Statement of Financial Position

During the year, the owner of an enterprise took cash RM1,000 to pay for his family expenses. The special journal used to record this transaction is

• cash payment journal

• cash receipt journal

• general journal

• return inwards journal

The discount given by the seller to the buyer for paying the amount due within the stipulated time period should be recorded in the ___________________ of the seller's book.

• sales journal

• purchases journal

• cash receipts journal

• cash payment journal

Identify the INCORRECT statement regarding the double entry rules.

• Purchase of goods on credit should be recorded as a credit entry in the AC Payable account.

• Revenue earned should be recorded as a credit entry in revenue account.

• Drawings of goods should be recorded as a debit entry in the drawing account.

• Issuance of cheque should be recorded as a debit entry in the bank account.

_____________ is referred as the book of original entry.

• Journal

• Ledger

• Trial Balance

• Financial Statement

Sales journal will be used to record _____________

• cash sales

• purchase of land on credit

• sale of goods on credit

• salary of a sales person

An invoice received from a supplier should be recorded in the _______________

• cash receipts journal

• sales return journal

• purchases journal

• sales journal