Debit and Credit Quiz

The acroynm A.L.I.C.E does NOT include:

• Assets

• Credit

• Income

• Expenses

Which of the following is a Liability?

• Debtors

• Accounts Receivable

• Discount Allowed

• Creditors

D.E.A.D. stands for Debit Expenses, Assets and...

• Debtors

• Drawings

• Discount Allowed

• Discount Received

ALL are examples of Income EXCEPT:

• Rent Received

• Discount Allowed

• Sales

• Discount Received

When Assets INCREASE, you must:

• DEBIT

• CREDIT

When Liabilities INCREASE, you must:

• DEBIT

• CREDIT

ALL of the following are expenses EXCEPT:

• Insurance

• Salaries

• Bank Overdraft

• Bad Debts

Drawings have a CREDIT balance

• TRUE

• FALSE

When we PURCHASE by cheque, we CREDIT Bank

• TRUE

• FALSE

DEBTORS are people WE OWE money to

• TRUE

• FALSE