Free Printable Chapter 10 Sales and Purchases

Worksheets

Chapter 10 Sales and Purchases

Total questions: 20

Worksheet time: 25mins

Name

Class

Date

Down the River Canoe sold merchandise for cash to Low Rent Tours for $150, plus sales tax of $11. The journal entry for Down the River Canoe to record this transaction is:

debit Cash, $161; credit Sales, $150, Sales Tax Payable, $11.

debit Cash, $161; credit Accounts Receivable/Low Rent Tours, $161.

debit Accounts Receivable/Low Rent Tours, $161; credit Cash, $161.

debit Sales, $150, Sales Tax Payable, $11; credit Cash, $161.

Quick Supply sold office supplies for cash to Jet Set Travel for $45, plus sales tax of $3. The journal entry for Quick Supply to record this transaction is:

debit Sales, $45, Sales Tax Payable, $3; credit Accounts Receivable/Jet Set Travel, $48.

debit Accounts Receivable/Jet Set Travel, $48; credit Sales $45, Sales Tax Payable, $3.

debit Accounts Receivable/Jet Set Travel, $48; credit Cash, $48.

debit Cash, $48; credit Sales, $45, Sales Tax Payable, $3.

Rubber Compounds sold merchandise for cash to The Shoe Maker for $773, plus sales tax of $56. The journal entry for Rubber Compounds to record this transaction is:

debit Cash, $829; credit Sales, $773, Sales Tax Payable, $56.

debit Sales, $773, Sales Tax Payable, $56; credit Cash, $829.

debit Accounts Receivable/The Shoe Maker, $829; credit Cash, $829.

debit Cash, $829; credit Accounts Receivable/The Shoe Maker, $829.

The Hot Spot Donut Shop sold doughnuts on account to The Corner Church for $50. The journal entry for Hot Spot Donut Shop to record this transaction is:

debit Accounts Receivable/The Corner Church, $50; credit Purchases, $50.

debit Purchases, $50; credit Accounts Receivable/The Corner Church, $50.

debit Accounts Receivable/The Corner Church, $50; credit Sales $50.

debit Sales, $50; credit Accounts Receivable/The Corner Church, $50.

The Aquatic Kingdom sold Quiet Pets some newly hatched goldfish on account for $145, plus sales tax of $10. The journal entry for the Aquatic Kingdom to record this transaction is:

debit Accounts Receivable/Quiet Pets, $155; credit Sales, $145, Sales Tax Payable, $10.

debit Sales, $145, Sales Tax Payable, $10; credit Accounts Receivable/Quiet Pets, $155.

debit Accounts Receivable/Quiet Pets, $155; credit Purchases, $155.

debit Purchases, $155; credit Accounts Receivable/Quiet Pets, $155.

Tricky Ricky's Appliances sold merchandise on account to Smith Builders for $880, plus sales tax of $40. The journal entry for Tricky Ricky's Appliances to record this transaction is:

debit Accounts Payable/Smith Builders, $920; credit Sales, $880, Sales Tax Payable, $40.

debit Accounts Receivable/Smith Builders, $920; credit Sales, $880, Sales Tax Payable, $40.

debit Sales, $880, Sales Tax Payable, $40; credit Accounts Payable/Smith Builders, $920.

debit Sales, $880, Sales Tax Payable, $40; credit Accounts Receivable/Smith Builders, $920.

Sales tax is __________ to the price

subtracted

added

multiplied

divided

Mrs. Ray is buying some groceries. They total to $35.50. Sales tax is 4.5%. When she goes to pay, how much will she owe?

$1.60

$37.10

$40.00

$51.48

A listing of vendor accounts, account balances, and the total amount due to all vendors.

schedule of accounts payable

list price

terms of sale

articles of incorporation

10.

A form requesting that a vendor sell merchandise to a business.

Requisition

Terms of Sale

Purchase Order

Special Journal

11.

An account that reduces a related account on a financial statement.

Controlling Account

Contra Account

Sales Account

Property Tax Account

12.

An agreement between a buyer and a seller about payment for merchandise.

Legal Contract

Promise

Deal

Terms of Sale

13.

A reduction in the list price granted to a merchandising business.

Trade Discount

Cash Discount

Sales Discount

Discount

14.

An account in a general ledger that summarizes all accounts in a subsidiary ledger.

Contra Account

Legal Account

Controlling Account

Cash Account

15.

The total of accounts in the accounts payable subsidiary ledger equals the balance of the controlling account, Accounts Payable.

True

False

16.

The contra account Purchases Discount has a normal debit balance.

True

False

17.

Since contra accounts are offsets to their related accounts, contra account normal balances are

credits

the same as the normal balances of their related accounts

debits

opposite the normal balances of their related accounts

18.

A business that purchases and sells goods.

merchandising business

service business

wholesale business

cost of merchandise

19.

The purchases account is classified as:

an expense account

an asset account

a liability account

a cost account

20.

The entry to journalize a purchase of merchandise on account is:

debit Accounts Payable; credit Merchandise

debit Accounts Payable; credit Purchases

debit Purchases; credit Accounts Payable

debit Purchases; credit Merchandise

100 %

Chapter 10 Sales and Purchases

Total questions: 20

Worksheet time: 25mins

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