WorksheetsBORROWINGS PART 2
Total questions: 10
Worksheet time: 2mins
Name
Class
Date
1.
FIXED AMOUNT borrowed.
a)
Loan
b)
Bank overdraft
2.
When an overdraft is approved, cash at bank increase.
a)
TRUE
b)
FALSE
3.
Long term borrowings =
a)
Non-current liability
b)
Current liability
4.
CURRENT PORTION of long term borrowings
a)
Non-current liability
b)
Current liability
5.
When a LOAN is taken:
a)
DR cash at bank CR loan
b)
DR loan
CR cash at bank
6.
When LOAN is REPAID back:
a)
DR loan
CR cash at bank
b)
DR cash at bank CR loan
7.
Bank balance = $200. Withdraw $2000. Bank overdraft =
a)
$2200
b)
$2000
c)
$1800
8.
A bank overdraft reduces when I deposit cash into the bank account.
a)
TRUE
b)
FALSE
9.
Interest expense PAID.
a)
DR interest expense
CR cash at bank
b)
DR cash at bank CR interest expense
10.
interest expense INCURRED BUT NOT PAID yet.
a)
DR interest expense
CR interest expense PAYABLE
b)
DR interest expense PAYABLE CR interest expense
100 %
