Q1. Underline/highlight the correct answer. 1. Where are the accounts of credit suppliers found? a. Purchases Journal b. Receivables Ledger c. Payables Ledger d. Sales Journal 2. What is the correct treatment of a sale on credit? a. Debit Cash & Credit Sales b. Credit Sales & Debit Cash c. Credit Sales & Debit Customer d. Debit Customer & Credit Sales 3. In which book do we record a credit note sent to a customer? a. Purchases returns daybook b. Sales daybook c. Sales returns daybook d. None of the above 4. Which one of the following accounts normally has a credit balance? a. Return inwards account b. Machinery account c. Sales account d. Cash account 5. Which will appear on the credit side of the Trial Balance? a. Purchases b. Revenue returns c. Purchase returns d. Discount allowed

Q1. Underline/highlight the correct answer. 1. Where are the accounts of credit suppliers found? a. Purchases Journal b. Receivables Ledger c. Payables Ledger d. Sales Journal 2. What is the correct treatment of a sale on credit? a. Debit Cash & Credit Sales b. Credit Sales & Debit Cash c. Credit Sales & Debit Customer d. Debit Customer & Credit Sales 3. In which book do we record a credit note sent to a customer? a. Purchases returns daybook b. Sales daybook c. Sales returns daybook d. None of the above 4. Which one of the following accounts normally has a credit balance? a. Return inwards account b. Machinery account c. Sales account d. Cash account 5. Which will appear on the credit side of the Trial Balance? a. Purchases b. Revenue returns c. Purchase returns d. Discount allowed

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 3MC: If a customer pays with a credit card and the service has been provided, which of the following...

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If a customer pays with a credit card and the service has been provided, which of the following accounts will be used to record the sales entry for this transaction? A. Cost of Goods Sold, Merchandise Inventory, Sales Revenue B. Sales Revenue, Credit Card Expense, Accounts Receivable C. Accounts Receivable, Merchandise Inventory, Credit Card Expense D. Cost of Goods Sold, Credit Card Expense, Sales Revenue
Identify whether each of the following transactions, which are related to revenue recognition, are accrual, deferral, or neither. A. sold goods to customers on credit B. collected cash from customer accounts C. sold goods to customers for cash D. collected cash in advance for goods to be delivered later
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Which of the following accounts are used when recording the sales entry of a sale on credit? A. merchandise inventory, cash B. accounts receivable, merchandise inventory C. accounts receivable, sales D. sales, cost of goods sold