WorksheetsCSEC Principles of Accounts
Total questions: 15
Worksheet time: 8mins
Which one of the following entries correctly records the purchase of a vehicle on credit from Burkes Motors?
Debit: Vehicle, Credit: Bank
Debit: Purchases, Credit: Burkes Motors
Debit: Burkes Motors, Credit: Vehicle
Debit: Vehicle, Credit: Burkes Motors
Which of the following is incorrect about the balance sheet equation?
Assets $18270 Liabilities $5290 Capital $12980
Assets $9340 Liabilities $3120 Capital $6220
Assets $15160 Liabilities $6380 Capital $7780
Assets $12230 Liabilities $1390 Capital $10840
Which of the following statement is correct?
Sold goods on credit (- Stock +Creditor)
J. Charles lent us $1000 (+ Cash + Loan form Charles)
We paid a creditor/payable by cheque. (- Bank -Debtor/Receivables)
Bought goods paying by cheque. (- Bank - Creditors/Payables)
Which of the following is incorrect?
To record an increase in liabilities - Debit the liabilities account.
To record an increase in assets - Debit the assets account.
To record an increase in capital - Credit the capital account.
To record a decrease in liabilities - Debit the liabilities account.
Which of the following BEST describes the meaning of 'Sales'?
Items sold for cash on credit.
Assets sold on credit
The sale of items bought previously.
Sale of items previously included in 'Purchases'
Which of the following BEST describes a trial balance?
Is the final account in the books.
Shows all assets balances.
Is a list of balances on the books.
Discloses the financial position of a business.
When should the trial balance totals differ?
Only when it is drawn up by the accountant.
When drawn up before the profit and loss account is prepared
If drawn up halfway through the financial year.
Never.
The balance sheet heading will specify a
Period Of Time
Point In Time
A sale of goods to TJ Williams totalling $400 is subject to 25% trade discount if paid within a month. How much will be debited to TJ Williams' account?
$280
$285
$300
$400
What is the purpose of an income statement?
calculate the bank balance
calculate net assets
calculate sales
calculate net profit
Owner's Equity =
Assets - Liabilities
Liabilities - Assets
Accounts Payable goes on the
Income Statement
Balance Sheet
Which of the following steps in the accounting cycle should follow the recording of transactions in subsidiary books?
Prepare an income statement
Prepare a trial balance
Extract source document information
Post information to ledger accounts
Which one of the following should not be recorded in the general journal?
Cancellation of a cash discount
Entries to open new books of account
Purchases of a non-current asset for cash
Transfer of operating expenses account to the profit and loss account
Which of the following would you expect to be included in the duties of an accountant?
i. preparing budgets
ii. working with auditors
iii. analysing financial statement
i. and ii. only
i. and iii. only
ii. and iii. only
i. ii. and iii. only
