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Grade 8 EMS Quiz 08.08.2025 (TVM)

Total questions: 40

Worksheet time: 20mins

Name
Class
Date
1.

The accounting cycle begins with:

a)

Preparing financial statements

b)

Recording transactions

c)

Closing accounts

d)

Posting to the ledger

2.

Which source document is used when a customer pays cash for a service?

a)

Cash slip

b)

Invoice

c)

Debit note

d)

Cheque counterfoil

3.

In a service business, the main source of income is from:

a)

Selling goods

b)

Interest on savings

c)

Providing services

d)

Buying assets

4.

Which is not a stage in the accounting cycle?

a)

Analyzing transactions

b)

Posting to ledger accounts

c)

Taking stock inventory

d)

Preparing trial balance

5.

The Cash Receipts Journal records:

a)

All money paid out

b)

All credit transactions

c)

All money received

d)

All purchases made

6.

In the CRJ, the folio column:

a)

Records the page number from the general ledger

b)

Shows the total bank balance

c)

Contains details of the transaction

d)

Shows the source document number

7.

The factor of production that refers to human effort is:

a)

Labour

b)

Capital

c)

Land

d)

Entrepreneurship

8.

Capital as a factor of production refers to:

a)

Tools and machinery

b)

Land and buildings

c)

Business profits

d)

Natural resources

9.

Which market is where goods and services are exchanged for money?

a)

Labour market

b)

Goods market

c)

Capital market

d)

Factor market

10.

In the accounting cycle, posting to the ledger comes immediately after:

a)

Preparing source documents

b)

Recording in the journals

c)

Balancing the trial balance

d)

Calculating profit or loss

11.

Which form of ownership is owned by one person?

a)

Close corporation

b)

Partnership

c)

Sole proprietorship

d)

Private company

12.

The main advantage of a partnership is:

a)

Unlimited liability

b)

Shared workload and resources

c)

Difficult decision-making

d)

Higher taxes

13.

A business owned by shareholders is called a:

a)

Public company

b)

Sole trader

c)

Cooperative

d)

Partnership

14.

In the CRJ, the analysis of receipts column is used to:

a)

Summarize daily cash expenses

b)

Record the source document numbers

c)

Categorize different types of income

d)

Show cash received for capital

15.

Which market deals with the buying and selling of labour?

a)

Capital market

b)

Goods market

c)

Labour market

d)

Foreign exchange market

16.

The role of the entrepreneur is to:

a)

Provide raw materials

b)

Take risks and manage the business

c)

Supply labour

d)

Produce goods personally

17.

Non-renewable resources used as capital include:

a)

Wind turbines

b)

Coal-fired power stations

c)

Solar panels

d)

Hydroelectric dams

18.

Which statement is correct about the trial balance?

a)

It shows the financial performance

b)

It lists accounts and their balances

c)

It replaces the income statement

d)

It records daily transactions

19.

An example of a source document for a CRJ entry is:

a)

Invoice issued to customer

b)

Bank deposit slip

c)

Order form

d)

Goods returned note

20.

A private company’s name must end with:

a)

Ltd

b)

Pty Ltd

c)

Inc

d)

CC

21.

The goods market includes:

a)

Only goods produced locally

b)

Only imported goods

c)

Both goods and services bought and sold

d)

Only wholesale goods

22.

Which factor of production is fixed in supply?

a)

Land

b)

Labour

c)

Capital

d)

Entrepreneurship

23.

The first step in the accounting cycle is:

a)

Preparing journals

b)

Recording in the ledger

c)

Identifying transactions from source documents

d)

Preparing trial balance

24.

The accounting equation is:

a)

Income = Assets + Liabilities

b)

Assets = Owner’s Equity + Liabilities

c)

Liabilities = Assets – Income

d)

Owner’s Equity = Assets + Liabilities

25.

The CRJ is summarized and posted to the:

a)

Bank statement

b)

General ledger

c)

Income statement

d)

Balance sheet

26.

Which is an example of land as a factor of production?

a)

A machine

b)

An office building

c)

A wheat farm

d)

A truck

27.

Sole proprietors:

a)

Have limited liability

b)

Are easy to set up

c)

Must have a board of directors

d)

Are owned by two or more people

28.

The capital market deals with:

a)

Goods

b)

Services

c)

Money and investments

d)

Natural resources

29.

Which form of ownership has unlimited liability?

a)

Partnership

b)

Public company

c)

Private company

d)

Close corporation

30.

The main purpose of the accounting cycle is to:

a)

Increase sales

b)

Organize financial information

c)

Pay taxes

d)

Sell goods

31.

A CRJ entry for R5 000 received from a customer will be:

a)

Debit Bank, Credit Service Income

b)

Debit Service Income, Credit Bank

c)

Debit Bank, Credit Debtors Control

d)

Debit Bank, Credit Capital

32.

Which factor of production earns wages?

a)

Land

b)

Labour

c)

Capital

d)

Entrepreneurship

33.

An open market is where:

a)

Only one seller controls the price

b)

Government sets all prices

c)

Buyers and sellers freely trade

d)

Only foreign goods are sold

34.

In the accounting cycle, the final step is:

a)

Preparing journals

b)

Closing the books

c)

Preparing financial statements

d)

Posting to the ledger

35.

A source document for capital contribution is:

a)

Bank deposit slip

b)

Cash slip

c)

Invoice

d)

Cheque counterfoil

36.

The labour market deals with:

a)

Buying goods

b)

Buying machinery

c)

Hiring workers

d)

Selling property

37.

The CRJ records all:

a)

Money received by the business

b)

Money paid by the business

c)

Credit sales only

d)

Cash purchases only

38.

Partnerships share:

a)

Profits and losses

b)

Only profits

c)

Only decision-making

d)

Only liabilities

39.

The entrepreneur’s reward for risk-taking is:

a)

Wages

b)

Rent

c)

Profit

d)

Interest

40.

In the accounting equation, if assets are R50 000 and liabilities are R20 000, owner’s equity is:

a)

R30 000

b)

R70 000

c)

R20 000

d)

R50 000