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Year10G - Other Receivables and Payables

Total questions: 10

Worksheet time: 10mins

Name
Class
Date
1.

Which of the following is an example of an other receivable?

a)

Accrued expense

b)

Prepaid expense

c)

Accrued income

d)

Both (b) and (c)

2.

Which of the following is an other payable?

a)

Accrued expense

b)

Prepaid expense

c)

Prepaid income

d)

Accrued income

3.

When a business pays rent in advance, it should be treated as:

a)

Other payable

b)

Other receivable

c)

Liability

d)

Expense

4.

Accrued expenses appear in the financial statements as:

a)

Asset in the Statement of Financial Position

b)

Liability in the Statement of Financial Position

c)

Income in the Profit or Loss Account

d)

Deduction from capital

5.

Prepaid income represents:

a)

Income already received for next period

b)

Income earned but not received

c)

Expense paid in advance

d)

Expense still outstanding

6.

Wages owing at the end of the year amount to $2,000. State the adjusting journal entry.

4 lines
7.

Why is it important to record accrued income?

4 lines
8.

A business received $800 for services to be provided next year. The correct entry is:

a)

Dr Cash $800

Cr Income $800

b)

Dr Cash $800

Cr Prepaid Income $800

c)

Dr Income $800

Cr Cash $800

d)

Dr Prepaid Expense $800

Cr Cash $800

9.

Explain how “other receivables” and “other payables” ensure accuracy in financial reporting.

4 lines
10.

In your own words, explain the difference between other receivables and other payables and give one example of each.

4 lines