4th Quarter Summative Test

What is the account credited? Borrowed cash on accounts.

• accounts payable

• cash

• notes payable

• supplies

What is the account credited? Paid liability on account.

• accounts payable

• cash

• notes payable

• supplies

What is the account debited? Paid liability on note.

• accounts payable

• cash

• notes payable

• supplies

What is the account credited? Paid liability on account.

• accounts payable

• cash

• notes payable

• supplies

What happens to account payable when liability is paid?

• decreases

• no effect

• increases

• none of the above

What happens to cash when liability is paid?

• decreases

• increases

• no effect

• none of the above

Where does accounts payable is recorded when it decreases?

• credit side

• debit side

• both A and B

• none of the above

Where does notes payable is recorded when it decreases?

• credit side

• debit side

• both A and B

• none of the above

Where does cash account is recorded when the liability is paid?

• credit side

• debit side

• both debit and credit

• none of the above

Where does cash account is recorded when payment is received?

• credit side

• debit side

• both debit and credit

• none of the above