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Business Transactions

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

What two accounts are involved when you receive cash from owner as an investment?

a)

cash and capital

b)

cash and investment

c)

cash and bank

d)

cash and supplies

2.

Mikaela Mundt invested $2,000.00 of her own money in the business. What two accounts are affected?

a)

Cash and Insurance

b)

Cash and Prepaid Insurance

c)

Cash and Investment

d)

Cash and Capital

3.

Purchased supplies for $68.00 from Southern Supplies on credit. What two accounts are affected?

a)

cash and supplies

b)

supplies and creditors

c)

cash and creditors

d)

cash and check

4.

Wrote an $800.00 check to the owner as a withdrawal for personal use. What two accounts are affected?

a)

Cash and Capital

b)

Cash and Drawings

c)

Cash and creditors

d)

Drawings and Bank

5.

Identify which type of account is affected: Paid liabilities worth $53,000?

a)

Assets and Liabilities

b)

Assets and Capital

c)

Owner's Equity

d)

Assets

6.

Identify which type of account is affected: The business purchase office supplies on account?

a)

Assets and Liabilities

b)

Assets and Capital

c)

Capital and Supplies

d)

Assets and Purchasing

7.

Identify which type of account is affected: Purchased equipment at $20,000 for cash.

a)

Assets and Liabilities

b)

Assets and Capital

c)

Owner's Equity

d)

Assets

8.

Identify which type of account is affected: The owner withdrew supplies worth $5,000.

a)

Assets and Liabilities

b)

Assets and Capital

c)

Capital and Liability

d)

Liability and Capital

9.

Identify which type of account is affected: Paid $340 cash for this month’s utility bill.

a)

Assets and Liabilities

b)

Assets and Capital

c)

Assets and Cash Account

d)

Capital and Liabilities

10.

The purchase of a desk on account will increase Office Furniture and will also increase?

a)

Cash in Bank

b)

Creditors

c)

Debtors

d)

Capital