SS1 FA

What is the main purpose of petty cash book?

• To record all financial transactions

• To record small, day to day cash expenses

• To record credit purchase

• To record large cash transactions

Which of the following is recorded in a petty cash book?

• Purchase of machinery

• Payment of electricity bill

• Sale of old furniture

• Bank loan received

The sales journal is used to record?

• All sales transactions

• Only credit sales of goods

• Both cash and credit sales

• Only cash sales

The purchase journal is used to record?

• All purchases transaction

• Credit purchase of goods only

• Both cash and credit purchases

• Cash purchases only

The trial balance is prepared to:

• Determine the financial position of the business

• Check the arithmetical accuracy of ledger accounts

• Find the profit or loss

• Record transactions

The person responsible for maintaining a petty cash book is known as :

• Cashier

• Accountant

• Petty cashier

• Auditor

If Ade bought goods worth N75,000 and he was given a trade discount of 10%,how much is Ade's trade discount?

• 7500

• 750

• 75000

• 1750

........... Is one of the reason for giving discount?

• Prompt payment

• To eradicate bad debts

• To increase sales

• All of the above

Sales returns is also known as .......

• Return inward

• Return outward

• Carriage inward

• Carriage outward

Petty cash expenses are recorded on which side of the petty cash book?

• Debit side

• Credit side

• Both sides

• None of the above