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Credit transactions

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

a transaction in which goods and services are provided now and paid later is a ....

a)

cash transaction

b)

credit transaction

c)

illegal transaction

d)

theft

2.

The source document for a credit transaction is ...

a)

a receipt

b)

a cheque

c)

a memorandum

d)

an invoice

3.

Customers that owe a business money are called

a)

accounts payable

b)

accounts receivable

c)

assets

d)

Liabilites

4.

Accounts payable are treated as ....

a)

assets

b)

liabilities

c)

current assets

d)

current liabilities

5.

Suppliers that a business owes money are called ...

a)

accounts receivable

b)

accounts payable

c)

liabilites

d)

assets

6.

Accounts receivable are treated as....

a)

assets

b)

liabilities

c)

current assets

d)

current liabilities

7.

Source documents are vital in ensuring....

a)

relevance

b)

verifiability

c)

faithful representation

d)

comparability

8.

A sales invoice verifies ....

a)

cash sale

b)

cash purchase

c)

credit purchase

d)

credit sale

9.

A purchase invoice involves a

a)

cash purchase

b)

cash sale

c)

credit purchase

d)

credit sale

10.

One of the most important items on an Invoice is the ....

a)

amount

b)

date

c)

terms

d)

GST

11.

Additional accounting records used to keep track of accounts payable and accounts receivable is know as ...

a)

a Balance Sheet

b)

a schedule

c)

a subsidiary record

d)

a journal

12.

An accounting record that summarises all transactions involving the purchase of materials/supplies on credit is....

a)

Cash receipts Journal

b)

Purchases Journal

c)

Sales Journal

d)

Cash Payments Journal

13.

An accounting record that summarises all transactions involving the sale/performing services on credit is called...

a)

Purchases Journal

b)

Cash Payments Journal

c)

Sales Journal

d)

CAsh REceipts Journal

14.

A list of all amounts owing by you ...

a)

an accounts payable schedule

b)

an acounts recievable schedule

15.

A list of all amounts owed to you is ....

a)

accounts receivable schedule

b)

accounts payable schedule