L2 POBC The Journal recap quiz

Barlow Ltd is a furniture manufacturer. Which one of the following will be recorded in the journal?

• Sale of furniture to a credit customer

• Cash purchase for seat covers

• Write off a trade receivable's account in receivables ledger

• Petty cash purchase of postage stamps

Which one of the following transactions will not be recorded in the journal?

• Payroll transactions

• Cash sale of goods

• Write off irrecoverable debt

• Opening entries

Which one will be recorded in the journal?

• Purchase of goods on credit

• Payroll transactions

• Goods returned by a credit customer

• Sale of goods for cash

You are asked by your manager to write off £560 plus VAT for a credit customer Fitz Ltd. Which journal entries will be recorded in the general ledger?

• Debit irrecoverable debts 560, credit VAT 112, credit RLCA 672

• Debit irrecoverable debts 560, debit VAT 112, credit RLCA 672

• Debit irrecoverable debts 672, debit VAT 112, credit RLCA 560

• Credit irrecoverable debts 560, credit VAT 112, Debit RLCA 672

Is Capital a debit or credit in the GL?

• Debit

• Credit

How do you calculate the Wages Expense in payroll?

• HMRC + pension liabilities

• Net wages + NI

• Gross Wages - Employer's contributions

• Gross Wages + Employer's contributions

What is the journal to record the wages expense in the accounts?

• Debit Wages expense, Credit wages control

• Debit wages control, credit wages expense

How do you calculate the HMRC liability in payroll?

• Income Tax + NI contributions (employer only)

• Income Tax + NI contributions (employer and employee)

• Income Tax + NI contributions (employee only)

• Income tax only

How do you record the pension liability in the journal?

• Credit wages control, debit pension fund

• Debit wages control, credit pension fund

How do you calculate the net wages paid to employees?

• Gross wages minus all employee's deductions

• Gross wages minus all employer's deductions