Cash VS Profit

Credit purchase of materials would be recorded in

• Cash Payment Journal

• Cash Receipt Journal

• Purchase Journal

• Sales Journal

Drawing of inventory would lead to decrease in ( ) and ( )

Cash purchase of Equipment would be recorded in the

• Purchase Journal

• Cash Receipt Journal

• Cash Payment Journal (Sundries)

• Cash Payment Journal (Detergents and Wax)

Cash Purchase of equipment would be reported in the

• Cash Flow Statement (Operating)

• Cash Flow Statement (Investing)

• Cash Flow Statement (Financing)

• Income Statement (Expense)

Receipts from Accounts Receivable is a form of revenue

• True

• False

Payment to Accounts Payable is an expense

• True

• False

Which of the following are expenses

• Wages, rent and purchase of materials

• Insurance, rent and purchase of equipment

• Wages, rent, insurance and cost of material used

• Wages, rent and drawings

Which of the following would be reported in the Income Statement?

• Capital Contribution, Cash Fees and Credit Fees

• Cash Fees, Credit Fees and Receipt of Loan

• Credit Fees, Wages and Interest on Loan

• Loan repayment, rent and drawings

Payment to Accounts Payable would be recorded in the

• Purchase Journal

• Cash Payment Journal

• Sales Journal

• Cash Receipt Journal

Receipts from Accounts Receivable would be recorded in the

• Sales Journal

• Purchase Journal

• Cash Receipt Journal

• Cash Payment Journal