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Unit 4 Topic 2 What do you know?

Total questions: 18

Worksheet time: 14mins

Name
Class
Date
1.

Which of the following is NOT an example of a source document?

a)

bank statement

b)

business card

c)

tax invoice

d)

adjustment note

2.

What is the final step in the accounting process?

a)

reversing entries

b)

balance day adjustments

c)

end of period reports

d)

closing entries

3.

Identify the accounts in the following transaction:

Sold goods on credit $770 (GST inclusive) with a cost price of $500.

a)

Sales, GST Collected, Accounts Receivable

b)

Sales, Accounts Receivable, GST Collected, Inventories, COGS

c)

Sales, Inventories, Accounts Receivable, GST Credits Received, COGS

d)

Accounts Payable, GST Collected, Sales, Inventories, COGS

4.

List 3 types of balance day adjustments

(a)  

5.

Identify the DEBIT accounts in the following transaction:

Paid electricity $66

a)

Electricity, GST Collected

b)

Electricity

c)

Electricity, GST Credits Received

d)

Electricity, GST Credits Received, Cash

6.

Which of the following is not a form of a ledger?

a)

general ledger

b)

accounts receivable ledger

c)

stock ledger card

d)

control ledger

7.

Which is the most common inventory costing method?

a)

FIFO

b)

LIFO

c)

Weighted Average

d)

Standard Cost

8.

What is the correct entry for recording an inventory adjustment (surplus)?

a)

Inventory Adjustment DR, Inventories CR

b)

Inventories DR, Inventory Adjustment CR

c)

Inventories Expense DR, COGS

9.

Which of the following is not included when calculating straight line depreciation?

a)

original cost

b)

residual value

c)

other expenditure

d)

capital expenditure

e)

estimated life

10.

If a business has a CR balance as per bank statement, which of the following is accurate for preparing the bank reconciliation statement?

a)

add outstanding deposits, less outstanding payments

b)

less outstanding deposits, less outstanding payments

c)

less outstanding deposits, add outstanding payments

d)

add revenues, less expenses

11.

classify advertising

(a)  

12.

classify accumulated depreciation

(a)  

13.

what is the formula for showing working capital?

(a)  

14.

bad debts is classified as a

a)

expense

b)

selling expense

c)

general expense

d)

finance expense

15.

To close a revenue account, what do you do to the revenue account in the GJ?

a)

debit

b)

credit

c)

nothing

16.

To record the reversing entry for prepaid expense of rent, the entry in the GJ is:

a)

Accrued Expense DR, Rent Expense CR

b)

Prepaid Expense DR, Rent Expense CR

c)

Rent Expense DR, Prepaid Expense CR

d)

Rent Expense DR, Accrued Expense CR

17.

Calculate the GP from the following:

Sales $200 000, COGS $50 000, Rent Revenue $ 2 000 Sales Returns $1 000

a)

199 000

b)

160 000

c)

151 000

d)

149 000

18.

What is the carrying amount from the following:

Equipment $50 000 Accumulated Depreciation on Equipment $10 000, Accumulated Depreciation on Buildings $20 000

a)

30 000

b)

20 000

c)

50 000

d)

40 000