Font size
WorksheetsChapter 6 & 7
Total questions: 15
Worksheet time: 7mins
A statement of account is a
list of all the goods sold to a customer
summary of all transactions over a period
refund of an overcharge made
letter advising customers that have not paid their accounts
If a customer receives a credit note from a supplier, this means
their account is no longer in credit
they need to make a further payment
they have been overcharged by the seller
they have been undercharged by the seller
After the supplier agrees to supply the order, the goods
are delivered with an _______________ showing the cost of the order.
invoice
statement of account
debit note
credit note
Credit notes are issued for which of the following reasons
when goods are returned to the seller
when there was an overcharge on the goods
when there was an undercharge
when faulty goods are returned to the seller
A document sent monthly, summarises orders made, payments and credits on a customers account
voucher
Statement of Account
Receipt
Invoice
Proof of purchase and payment
Invoice
Cheque
Receipt
Cheque counterfoil
What could the effect be if a receipt is missing?
The customer will not receive a proper refund
The customer will not be able to tell the supplier which items are damaged
The business couldn't prove that goods had been paid for
The customer would not know how much to pay for goods
What could be the effect if a credit note contains mistakes?
The customer will not receive a proper refund
The customer will not be able to see which items are damaged
The business would not receive any profits
The business could not prove goods had been paid for
A system of recording and reporting financial activity is called
Financing
Accounting
Auditing
Budgeting
Which business documents are used to write up the sales returns journal?
credit notes issued to customers
credit notes received from suppliers
invoices issued to customers
invoices received from suppliers
What is another name for a copy of a customer’s account in the sales ledger when it is
sent to the customer?
credit note
debit note
Invoice
Statement of account
Which document is used to write up the purchases returns journal?
credit note issued
credit note received
debit note issued
debit note received
Which statements about trade discount is correct?
A. It is an allowance for buying in bulk.
B. It is allowance for prompt payment.
C. It is shown as a deduction on an invoice.
D. It is shown as an expense in an income statement.
A only
B only
A and C
B and D
On 1 June, Sammi sold goods on credit to Ammie. Some of the goods were returned on 8 June. In what order would Sammi and Ammie exchange documents in June?
credit note, debit note, invoice
debit note, credit note, invoice
invoice, credit note, debit note
invoice, debit note, credit note
Harry's sales returns journal shows the following:
March 31 total for month
Goods $ 4 400
Trade discount $ 880
Net price $ 3 520
What entry would be made in the sales returns account on 31 March?
credit $ 3 520
credit $ 4 400
debit $ 3 520
debit $ 4 400
