Accounting Quiz

A credit would not result in which of the following?

• Increase in a liability

• Increase in an asset

• Increase in capital

• Increase in income

A credit balance in a ledger account would normally be shown where in the following accounts.
(i) An asset account

(ii) A liability account

(iii) A capital account

(iv) An income account

(v) An expense account

• (ii) and (iv) only

• (i), (iii) and (v) only

• (ii), (iii) and (iv) only

• (ii), (iii) and (v) only

Which of the following could be represented by a debit entry?

• An increase in drawings for a sole trader

• An increase in a liability

• An increase of income

• A decrease in an asset

You are a trainee accountant at KLS Ltd and have discovered that the following items were omitted from the books: • Cash sale of $50 • Purchase of office chairs for $1,000 • Credit sales of $450 Prepare the double entry to account for the cash sale omitted from the books.

ou are a trainee accountant at KLS Ltd and have discovered that the following items were omitted from the books: • Cash sale of $50 • Purchase of office chairs for $1,000 • Credit sales of $450,Prepare the double entry to account for the purchase of office chairs omitted from the books.

ou are a trainee accountant at KLS Ltd and have discovered that the following items were omitted from the books: • Cash sale of $50 • Purchase of office chairs for $1,000 • Credit sales of $450 including vat of 10%,Prepare the double entry to account for the credit sale omitted from the books.

A business has the following extract from its trial balance: $ Tradereceivables 5,000 Bank overdraft 2,000 Trade payables 7,000 Inventory 4,500 What is the figure for capital ?

• $9,500

• $7,000

• $11,500

• $500

Which THREE of the following sets of items all appear on the same side of the trial balance?
1. Sales, interest received and capital

2. Trade receivables, drawings and bank loan

3. Non-current assets, cost of sales and carriage outwards

4. Capital, trade payables and other operating expenses

5. Sundry expenses, petty cash and purchases

• 1, 4 and 5

• 1, 3 and 5

• 1, 2 and 3

• 3, 4 and 5

Find the movement of this account

• 2655

• 2562

• 2558

• 2563

What is the main purpose of accounting?