WorksheetsMCQ Chapter 1,2
Total questions: 55
Worksheet time: 27mins
A debit is used to record an/a
decrease in asset
decrease in liability
decrease in expense
increase in income
The business owner, Jack invested $9000 into the business bank account. What is the double entry to record this transaction?
Debit Bank and Credit Capital
Debit Capital and Credit Bank
Debit Capital and Credit Jack
Debit Jack and Credit Bank
Sold equipment by cash $700. What is the double entry to record this transaction?
Debit Cash and Credit Sales
Debit Cash and Credit Equipment
Debit Equipment and Credit Cash
Debit Sales and Credit Equipment
Bought a computer by cash $2500. What is the double entry to record this transaction?
Debit Computer and Credit Cash
Debit Cash and Credit Computer
Debit Cash and Credit Purchases
Debit Purchases and Credit Cash
Jack withdrew goods worth $500 from the business for his personal use. What is the double entry to record this transaction?
Debit Goods and Credit Jack
Debit Jack and Credit Drawings
Debit Drawings and Credt Purchases
Debit Purchases and Credit Drawings
Paid the wages for the month $400 by cheque. What is the double entry to record this transaction?
Debit Cheque and Credit Wages
Debit Wages and Credit Bank
Debit Wages and Credit Cheque
Debit Bank and Credit Wages
Rent received by cheque $500. What is the double entry to record this transaction?
Debit Rent and Credit Cheque
Debit Bank and Credit Rent received
Debit Cheque and Debit Rent
Debit Rent received and Credit Bank
Started a business with $25000 cash
Debit Cash /Credit Capital
Credit Capital/Debit Cash
Bought office furniture by cheque $1500
Credit Bank / Debit Office Furniture
Debit Office Furniture/Credit Bank
Bought machinery $7500 on credit for Planer Ltd.
Debit Planer Ltd./ Credit Machinery
Debit Machinery/ Credit Planer
Bought more machinery by cheque $2800
Debit Bank/Credit Machinery
Debit Machinery/Credit Bank
Took $500 out of the bank and put it into the cash till.
Debit Cash/Credit Bank
Debit Bank/Credit Cash
Sold office machinery for cash
Debit Cash/Credit Office Machinery
Debit Office Machinery/Credit Cash
Put 14000 cash into the bank.
Debit Cash/Credit Bank
Debit Bank/Credit Cash
A decrease to Accounts Payable is a
debit
credit
An asset account is increased with a _________.
debit
credit
An increase to Utilities Expense is a ____________.
debit
credit
The normal balance for Building is a __________.
debit
credit
An increase to a revenue account is a ____________.
debit
credit
The Right-hand side of a "T" account is called _______.
debit
credit
The accounting equation is defined as _______.
ASSETS + LIABILITIES = CAPITAL
ASSETS - LIABILITIES = CAPITAL
ASSETS = LIABILITIES + CAPITAL
ASSETS = LIABILITIES - CAPITAL
X keeps a full set of books of account. Where will the Sales account appear?
general journal
general ledger
sales journal
sales ledger
Which of the following is the accounting equation?
Assets + Capital = Liabilities
Liabilities – Capital = Assets
Capital = Assets + Liabilities
Capital = Assets – Liabilities
Which of the following is an asset?
Bank whom the firm took the loan from.
Machinery bought from ABC Enterprise
Owing to ABC Enterprise
Owner's contribution of cash.
Payment with cash should be recorded as
Debit cash account.
Credit cash account.
Debit bank account.
Credit bank account.
Owner contributed cash for the business, is recorded as
Debit Cash, Credit Capital
Debit Capital, Credit Cash
Debit Bank, Credit Capital
Debit Capital, Credit Bank
Accounts receivable is firm's
customers or assets.
suppliers or liabilities.
customers or liabilities.
suppliers or assets.
Purchase good should be recorded as
Debit Purchases account.
Debit Goods account.
Credit Goods account.
Credit Purchases account.
Asset account shares the same normal balance with
revenue and capital account.
expense and drawing account.
liability and expense account.
capital and expense account.
Double entry system requires that each transaction must be recorded
In at least two different accounts.
In a trial balance
In two sets of books of accounts.
In a journal and in a ledger
The effect of buying an office equipment on credit is decrease in asset and increase in liability.
TRUE
FALSE
Which of the following is the double entry for cash purchase of goods to Ezatee Enterprise?
Debit sales account Credit Cash account
Debit Purchase account Credit Cash account
Debit Purchase account Credit Ezatee Enterprise
Debit Ezatee Enterprise Credit Sales account
Zehraa Salon bought hair care product amounted to RM12,000 from Shishedo Sdn Bhd on credit. What is the double entry for this transaction?
Debit Return Inwards Credit Cash
Debit Purchase Credit Cash
Debit Cash Credit Purchase
Debit Purchase Credit Shishedo Sdn Bhd
Sold goods to customer RM350 by cash
Debit Sales Credit Cash
Debit Cash Credit Sales
Debit goods Credit Cash
Debit Sales Credit Bank
The business returns goods to the creditors Izara Sdn. Bhd. amounted to
RM600
Debit Return Outwards Credit Izara Sdn Bhd
Debit Izara Sdn Bhd Credit Return Inwards
Debit Izara Sdn Bhd Credit Return Outwards
Debit Return Inwards Credit Izara Sdn Bhd Credit Bank
Paid salaries expenses by cheque
Debit Salaries Expenses Credit Cash
Debit Bank Credit Salaries Expenses
Debit Salaries Expenses Credit Bank
Debit Cash Credit Salaries Expenses
J. Gibson started a business with $70,000 which was deposited into the business' bank account. The two accounts being affected are bank and (a)
G. Hobbs bought goods from us on credit and therefore owes us money. In our books we will _____ G. Hobbs' account
Debit
Credit
Accounts Receivable refer to the amounts owed by customers.
True
False
a transaction in which goods and services are provided now and paid later is a ....
cash transaction
credit transaction
illegal transaction
theft
Customers that owe a business money are called
accounts payable
accounts receivable
assets
Liabilites
Accounts payable are treated as ....
assets
liabilities
current assets
current liabilities
Suppliers that a business owes money are called ...
accounts receivable
accounts payable
liabilites
assets
The date of the balance b/d is:
31 January
1 February
Returns to suppliers which were made on credit is recorded under the trade payables control account. What will the particulars be recorded as?
Sales returns
Purchase returns
Inventory
Suppliers
Which of the following item is not an asset.
Cash at Bank
Motor Vehicle
Stationery
Inventories
A Bank Loan is classified as a:
Revenue
Expense
Asset
Liability
For every transaction, both the aspects are effected.
Single entry
Double Entry
Financial accounting
Management accounting
when the owner takes money out of the business's account it is called _________?
credit
drawings
debt
borrowing
Which of the following items would not fall under the definition of an asset ?
Creditors
Debtors
Cash
Machinery
Which of the following is not an asset?
Buildings
Cash in hand
Accounts receivable
Loan
Chan withdrew goods worth RM 500 from the business for his personal use. What is the double entry to record this transaction?
Dr Goods
Cr Chan
Dr Chan
Cr Drawings
Dr Drawings
Cr Purchases
Dr Purchases
Cr Drawings
Mary Sunny began business as Sunny Law Firm on November 1. Record the following November transactions by making entries directly to the T-accounts provided.
d. Paid John Bronx $3,500 cash in partial payment of the amount owed. Choose 2 answers.
Mary Sunny began business as Sunny Law Firm on November 1. Record the following November transactions by making entries directly to the T-accounts provided.
e. Completed $4,000 of legal work for a client on credit. Choose 2 answers
Mary Sunny began business as Sunny Law Firm on November 1. Record the following November transactions by making entries directly to the T-accounts provided.
g. Received $2,500 cash as partial payment for the legal work completed for the client in (e). Choose 2 answers
