Control Accounts

Which of the following is another term for creditors control account?

• purchases account

• payables account

• debtors control account

• purchases ledger control account

Which of the following is another term for debtors control account?

• Receivable account

• Sales account

• Sales ledger control account

• Creditor control account

A debtor was charged with the interest of $500, but no entry was made in the debtor control account. What would be the adjustment in the debtor control account?

• $500 will be credited in the debtor control a/c

• $500 will be debited in the debtor control a/c

• $1000 will be credited in the debtor control a/c

• $1000 will be debited in the debtor control a/c

The total of purchases return is entered on which side of a creditor control account?

• Debit side

• Credit side

• No accounting required

• None

Discount received is entered on which side of a creditor control account?

• Debit side

• Credit side

• No accounting required

• None

Which of the following would not appear in the Sales Ledger Control Account

• Credit Sales

• Cash sales

• Receipts from credit customers

• Bad debts

Which of the following will not appear in the Purchases Ledger Control Account

• Payments to trade creditors

• Credit purchases

• Discount allowed

• Returns outwards

Offset by contra is recorded by:

• A debit in the Purchases Ledger control and a credit in the Sales Ledger control accounts.

• A debit and a credit respectively in the account of the particular customer appearing in the Sales Ledger and in the Purchase Ledger

• A debit in the Sales Ledger Control and a credit in the Purchase Ledger Control accounts

• A combinations of entries in (a) above as well as in (d) below

At the beginning of an accounting period a firm owed it creditors $15,000. During the period, the firm’s credit purchases amounted to $87,000 and it paid $94,000 to its creditors. Assuming there were no other transactions relating to creditors, at the end of the accounting period the firm owed its creditors.

• $7,000

• $8,000

• $14,000

• $22,000

At the beginning of the accounting period, a firm is owed $900 by its debtors. At the end of the same accounting period the firm’s debtors owed $1,500. During the period, a bad debt of $100 was written off and $5,000 was received from debtors. The total of the firm’s credit sales for the period was:

• $3,700

• $4,200

• $5,700

• $5,900