WorksheetsPOA - May 9, 2020
Total questions: 50
Worksheet time: 25mins
The value of TOTAL fixed assets is
$12,000
$14,600
$15,350
$19,650
The summarised position of Foster and Scott at 6 March 2015 was: What was the capital of Foster and Scott Limited at 6 March 2015?
$40,000
$90,000
$150,000
$190,000
From the information listed here, Mr. Jones' capital amount is
$405
$450
$850
$975
A firm sold items at $80 each. Of these, 9 items were returned. Which of the following will the firm issue in respect of the items returned?
Debit note for $720
Credit note for $720
Receipt for $720
Invoice for $720
From the following information above, what is the correct closing total for the Sales Account?
$47,000
$49,000
$55,000
$59,000
The ABC Company deposited a cheque for $300 received from Mr. Murray. How should this transaction be recorded in ABC's books?
I. Debit the Cash Account
II. Debit the Bank Account
III. Credit Murray;s Account
I and II only
I and III only
II and III only
I, II and III
When money is taken from cash and paid into a bank account, the recording is referred to as:
The imprest
A Contra Entry
Cash takings
Personal drawings
Mr. K. Trucking company received a cheque from Ms. Henry. How must this transaction be recorded in M.K. Trucking's books?
I and III only
I and IV only
II and III only
II and IV only
Use the information provided to answer questions 20 & 21.
20. What is the working capital?
$20,000
$25,000
$50,000
$70,000
If $2,000 worth of stock is sold on credit at cost, what would be the new working capital?
$16,000
$25,000
$50,000
$70,000
Classify this account: Accrued Utilities
Expense
Current Asset
Current Liability
Classify this account: Accrued Salaries
Current Liability
Expense
Current Asset
Classify this account: Commission Income Received in Advance
Income
Current Liability
Current Asset
Classify this account: Rent Income Received in Advance
Income
Current Liability
Current Asset
Classify this account: Service Fees Income Received in Advance
Current Asset
Income
Current Liability
Classify this account: Discount Received
Income
Current Liability
Current Asset
Classify this account: Advertising
Expense
Income
Current Asset
Classify this account: Bank Charges
Income
Expense
Current Liability
Classify this account: Discount Allowed
Expense
Income
contra-Net Current Asset
Which of the following groups monitors a company's financial statements to discover a desirable rate of return on capital?
Investors
Suppliers
Customers
Employees
Which of the following terms describes a report which indicates whether the business has made a profit or loss?
Ledger
Trial Balance
Income Statement
Balance Sheet
Which statement BEST explains the term 'consistency' as used in accounting?
Procedures in accounting are subject to change each year
Firms can choose different methods each year to reflect the best financial results
Separate methods of depreciation can be used in determining profits for taxation purposes
The accounting treatment for depreciation, once fixed must be treated in the same way thereafter
Which of the following lists of activities shows the stages of the accounting cycle in the correct order?
Posting to Ledger, Journalising, Trial Balance, Final Accounts
Posting to ledger, Trial Balance, Journalising, Final Accounts
Journalising, Posting to ledger, Trial Balance, Final accounts
Journalising, Trial Balance, Posting to Ledger, Final Accounts
A statement of the balances of the accounts taken from the ledger and arranged under assets and liabilities is called
A Trial Balance
A Balance Sheet
An Income Statement
A Statement of Account
A businessman offers a discount for prompt payment for goods purchased. Under which column in his three-column cash book would this discount be entered?
Bank
Cash
Discount Allowed
Discount Received
Which of the following accounts are usually transferred to the Trading and Profit and Loss Account
Rent, Premises, Drawings
Drawings, Rent, Purchases
Commission Received, Rent, Purchases
Purchasing a new building
30.The formula for working capital is?
Total assets less total liabilities
Fixed assets less current assets
Fixed assets less current liabilities
Current Asset less Current Liabilities
The working capital of A. Young ans Sons is $15,500. The total amount of current assets is $16,500. What is the total amount of current liabilites?
$1,000
$15,500
$16,500
$32,000
Which of the following entries are NOT shown on the debit side of the Trial balance?
Purchases, Drawings, Cash
Sales returns, furniture & fixtures, office equipment
Purchases returns, accounts payable, bank overdraft
Accounts receivable, wages expense, Stock/Inventory
Which of the following accounts should be entered in the credit column of a Trial Balance?
Drawings
Cash in hand
Accounts Receivable
Bank overdraft
The listing prepared by accounts personnel to determine the arithmetical accuracy of double entry postings is known as the
Balance Sheet
Control Account
Trial Balance
Income Statement
The annual rent of a business is $6 000. The business paid $5 000 during the present year and recorded $5 000 in its income statement. Which accounting concept was breached?
Separate entity
Consistency
Prudence
Accrual
The MAIN internal users of accounting information are
managers
competitors
governments
local communities
Which of the following BEST describes the 'double entry' system of accounting?
A ledger account must have two sides.
An account must be written twice in the ledger.
Each transaction must be written in two subsidiary books.
Each transaction must have a debit entry and a credit entry.
In Mr. Chin's ledger, an entry on the debit side of the drawings account, followed by an entry on the credit side of the bank account means that Mr. Chin
puts money in the business' bank account.
withdraws money from the bank for use in the business.
uses money from his business' bank account for his personal use.
withdraws money from his personal account for his personal use.
A trial balance is prepared by using balances from the
ledger
journal
sales book
purchases book
