Accounting Final exam review quiz

Accounting equation - Terry started his business by transferring R206 000 cash into the business .

• Debit bank , credit capital

• Debit bank , credit capital

• Credit Capital, debit bank

Accounting equation - Issued a cheque to Nashua for R420 to pay for cell - phone chargers

• Debit bank , credit cell -phone chargers

• Debit cell - phone chargers, Debit bank

• Debit Cell - phone chargers , Debit bank

True or false

The accounting equation is assets = owner's equity + liabilities

• True

• False

Accounting equation

Received a loan of R100 000 from JK Loans

• Debit Bank credit Loans (creditors control)

• Debit loans (creditors control , credit bank

Accounting equation

Bought trading stock for R90 000 on credit from Tony wholesalers

• increase liabilities and increase assets

• Increase assets , decrease liabilities

• Increase assets , increase owner's equity

General Journal select the correct journal narration

Y. Shelley's account of R800 has been overdue for three months . Charge her R39 interest on overdue account.

• Charge interest on overdue account

• Bad debts written off

• Owner took stock for personal use

General Journal select the correct journal entry

Covert Budget stores was informed that N. Phillips had been declared insolvent . Her estate paid 40c in the rand . The balance of her account must be written off

• Debit Bad debts

  Credit Debtors control

  Bad debts written off

• Credit Bad debts

  Debit Debtors control

  Bad debts written off

• Debit Bad debts

  credit Debtors control

  Debtor declared insolvent

General Journal

The photocopier machine was repaired by Cel - Mid Technology at a total cost of R646 . The amount was posted to the equipment account . The error must be corrected

• Debit equipment

  Credit repairs

  Correction of error

• Debit repairs

  Credit equipment

  Bad debts must be written off

• Debit repairs

  Credit equipment

  Correction of error

How can one calculate net salary ?

• Gross salary minus total deductions

• Net salary plus total deductions

• Gross salary plus total deductions

• Gross salary multiply total deductions

Accounting equation

Damaged stock returned by a debtor

• stock increase , debtors control decreases

• Stock decreases , debtors control decreases