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TO DEBIT OR CREDIT?

Total questions: 15

Worksheet time: 30mins

Name
Class
Date
1.

Purchase office equipment on credit from Taylor Sweet. There will be an increase in ASSET and increase in LIABILITY. Which account should the business debit?

a)

Office Equipment

b)

Receivable -A Trading

c)

Purchases

d)

Payable - A Trading

2.

The business sold goods to Amy Search on credit. Amy returned damaged goods of RM100 the next day. The effect of the return is there is a decrease in REVENUE and there is decrease in Liability. Which account should the business credit?

a)

Payable -Amy

b)

Sales Return

c)

Receivable-Amy

d)

Sales

3.

Started business with RM12,000 cash. Which account to be credited?

a)

Capital

b)

Cash

c)

Bank

d)

Payable

4.

Sold some equipment for cash. Which account does it credit?

a)

Cash

b)

Purchases

c)

Office Equipment

d)

Sales

5.

Took RM500 out of the bank and added to cash in hand. Which account does it debit?

a)

Bank

b)

Cash

6.

Made cash purchase to Aina Ab. Is the entry to Purchase account a debit or credit?

a)

Debit

b)

Credit

7.

Paid rent amounting to RM200 by cheque. Is the entry to the Rent account a debit or credit?

a)

Debit

b)

Credit

8.

The owner withdrew cash for his personal use. Is the entry to the Drawing account a debit or a credit?

a)

Debit

b)

Credit

9.

Bought goods from Shah Rukh Man on credit. Returned some damaged goods to Shah Rukh Man. Is the entry to the Purchase return account a debit or a credit?

a)

Debit

b)

Credit

10.

The owner took goods worth RM100 from the business for his family use. Is the entry to the Purchase account a debit or credit?

a)

Debit

b)

Credit

11.

Deposited RM3,500 of cash in a bank account. The business will debit the Cash account.

a)

TRUE

b)

FALSE

12.

Received a cheque for RM10,000 being Loan from BTS. The business will credit Loan account.

a)

TRUE

b)

FALSE

13.

Received a cheque for RM250 being rental received from tenant. Which account should be credited?

a)

Bank

b)

Payable

c)

Rental expense

d)

Rental income

14.

Purchased from Lalisa on credit on 13/1. On 25/1, sent cheque to Lalisa being full settlement of the amount owed. The business will debit payable account for 25/1 transaction.

a)

TRUE

b)

FALSE

15.

Brought personal office equipment into the business. Which account should be credited?

a)

Office equipment

b)

Capital

c)

Bank

d)

Payable