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Chapter 10: Accounting for Sales and Cash Receipts

Total questions: 15

Worksheet time: 15mins

Name
Class
Date
1.

Selling merchandise on account will be recorded in the

a)

Sales Journal

b)

Cash Receipts Journal

c)

Cash Payment Journal

d)

Purchases Journal

2.

When a transaction is recorded within the sales journal, which account is not affected?

a)

Sales Tax Payable Account

b)

Sales Account

c)

Accounts Receivable Account

d)

Cash Account

3.

What is the cash receipts journal used for?

a)

Journalize the receipt of an accounts receivable

b)

journalize the payment of an accounts payable

c)

journalizing supplies expense

d)

journalize the payment for insurance

4.

What is the controlling account for a company's customers?

a)

Subsidiary ledger

b)

General Ledger

c)

Accounts Receivable

d)

Markup Ledger

5.

At the end of the month, which of the following will you complete first within the special journal?

a)

Posting

b)

Totaling

c)

Proving

d)

Ruling

6.

Within Accounting, POS refers to

a)

Piece of Schedules

b)

Point of Signal

c)

Place of Sale

d)

Point of Sale

7.

Which journal is used to record cash and credit card sales?

a)

Purchases Journal

b)

Sales Journal

c)

Cash Payment Journal

d)

Cash Receipts Journal

8.

When recording cash and credit card sales, what do you enter in the account title column?

a)

Company name

b)

Customer name

c)

Check mark

d)

Question mark

9.

What is created at the end of the month to match the controlling account to its subsidiary accounts?

a)

Schedule of Accounts Payable

b)

Schedule of Accounts Receivable

c)

Schedule of Customer Receipts

d)

Schedule of Net Sales

10.

What is the source document for all sale on account transactions?

a)

Purchases invoice

b)

Receipt

c)

Sales invoice

d)

Memorandum

11.

Every business collecting a sales tax needs accurate records of what two amounts?

a)

Total sales and total sales tax

b)

Total sales and total sales discounts

c)

Total sales discounts and total sales tax

d)

Total cash and total sales discounts

12.

What is the source document for cash and credit card sales of a merchandising business?

a)

Calculator tape

b)

Receipt

c)

Terminal summary

d)

Memorandum

13.

What is the source document when cash is received on account?

a)

Receipt

b)

Sales invoice

c)

Memorandum

d)

Terminal summary

14.

The account Sales Discount is classified as a(n) __ with a normal balance side of a __.

a)

Contra Asset; debit

b)

Contra Sales; debit

c)

Contra Sales; credit

d)

Contra Asset; credit

15.

When proving cash, where is the beginning balance of the Cash account found?

a)

Cash debit column total of the Cash Receipts Journal

b)

Cash credit column of the Cash Payments Journal

c)

On the last check stub in the checkbook

d)

From the Cash account balance is the General Ledger at the start of the month