Grade 8 Economic and Management Sciences Quiz

What is the first step in the accounting cycle?

• Trial balance

• Source documents

• Transactions took place

• Financial statements

Which document is used to record cash received?

• Duplicate receipt

• Bank statement

• EFT reference number

• General ledger

What must be true about the debit and credit columns in a trial balance?

• Debit column must equal credit column

• Debit must be greater than credit

• Credit must be greater than debit

• They can be unequal

What is the effect on the accounting equation when cash is received for services rendered?

• Assets decrease, Owners' equity remains the same

• Assets increase, Owners' equity increases

• Assets decrease, Owners' equity decreases

• Assets remain the same, Owners' equity increases

Which of the following is an example of a source document?

• Cash register roll

• Trial balance

• General ledger

• Bank statement

If Cullen Clever deposits R160,000 as a capital contribution, what is the effect on the bank account?

• It increases by R3,600

• It increases by R160,000

• It decreases by R160,000

• It remains the same

What is the purpose of the cash receipts journal?

• To prepare financial statements

• To record cash transactions

• To close off accounts

• To record all expenses

What is the total amount received from J Mazibuko for rent in the example provided?

• R6,500

• R3,200

• R12,500

• R100,000

In the trial balance, which section includes 'Wages'?

• Balance Sheet accounts section

• Nominal accounts section

• Current Assets section

• Owners' equity section

What is the effect on the accounting equation when a duplicate receipt is issued for rent received?

• Assets increase, Owners' equity decreases

• Assets decrease, Owners' equity increases

• Assets increase, Owners' equity increases

• Assets remain the same, Owners' equity decreases