The closing balance of the petty cash book is considered as ___________________ Select one: A. income B. liability C. expense D. asset

Q: The cash account in the company's ledger is a(n) a.liability with a normal credit balance…

A: All expenses have a debit balance and income have a credit balance. All assets such as cash,…

Q: Which of the following statements regarding selling fixed assets for cash is NOT true?

A: Meaning of Fixed Assets Fixed assets are those assets which are used for a long term and are cannot…

Q: d. Trade receivables, current assets (after deducting the related allowance) b. Trade receivables,…

A: “Since you have posted a question with many sub-parts, we will solve three sub-parts for you. To get…

Q: 2. Unearned or deferred revenue can occur when a. services provided prior to receipt of cash b.…

A: Answer: concept : Deferred revenue or unearned revenue refers to the money received by an…

Q: The time between cash disbursement and cash collection is which of the following? A- accounts…

A: Solution-              The cash to cash cycle is the fundamental quantity between once a business…

Q: Under which basis of accounting are revenues and expenses reported in the income statement in the…

A: Accrual Accounting - Under Accrual Basis of accounting revenue is recorded only if earned and…

Q: Which one of the following affects cash during a period? Recording depreciation expense.…

A: The current asset and the most liquid asset is cash. It is used for monetary transactions. The…

Q: True Or False?  The entry to record a cash receipt from a customer when the service is to be…

A: The assets are debited and liabilities are credited.

Q: Which of the following is not a Current Asset? O a. Closing inventory O b. Accounts Receivable O c.…

A: Introduction: Current Assets: The property or things which are owned by business for short term use…

Q: Accounting The account "Net-Assets: Resources Released from Restriction" is used to: A) Reduce…

A: Correct option with proper explanation are as follows

Q: 1. The revenue recognition concept a. Determines when revenue is credited to a revenue account. b.…

A: Accounting principle:   These are the guidelines which are to be applied while preparing the…

Q: is the amount of goods remaining unsold in a particular period a. Cash O b. Accounts receivable O C.…

A: Goods are the items that the entity purchase from the supplier to sell to the customer and earn…

Q: TRUE or FALSE Revenue should be recorded in the period it is earned, regardless of the time the cash…

A: It is true or false questions.

Q: Which of the following asset will be called as Non-Current Asset of a Merchandise business? a.…

A: Introduction: Current Asset: The Assets which can be consumed or which can be converted in to cash…

Q: Which of the following statements about cash received prior to the recognition of revenue in the fi…

A: Cash received prior to the recognition of revenue in financial statement is prepaid income for which…

Q: Where should the following items be shown on the balance sheet, if shown at all?(a) Allowance for…

A: Balance sheet: This financial statement reports a company’s resources (assets) and claims of…

Q: The beginning balance of the cash and cash equivalents will be deducted from the increase or…

A: The cash flow statement is prepared to record the cash flow from various activities during the…

Q: Which of the following transaction is not recorded in the general journal? Select one: A. All of…

A: Correct option is A i.e.  All of the above

Q: The current assets are :- a - ending raw materials inventory. b - account receivable. c - notes…

A: Current assets are assets that are in cash form or that can be converted into cash in short period…

Q: Choose the incorrect statement below:

A: The answer for the multiple choice question on choosing the incorrect statement and relevant…

Q: For each of the following items, identify whether the item is considered current or noncurrent, and…

A: When the item is with the organisation for the 12 months or less than one accounting period then it…

Q: Which of the following is correct regarding cash basis of accounting? a. Sales include cash sales…

A: Under cash accounting, the incomes and expenses are recognised when they are received or paid and…

Q: receipt of cash from customers in payment for products or services

A: First option is wrong because the prepaid expense is the expense paid in advance. A credit to…

Q: Question 36 is used to settle an obligation arising from purchase of goods or services as a…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: a. Current assets are long term assets b. Current assets are not recorded inside the balance sheet…

A: The right answer  is option c . Account receivable & cash are current assets

Q: hich of the following accounts ordinarily would not appear in the post-closing trial balance?  Hint:…

A: Temporary accounts are the accounts which has been closed and their balance has been moved to…

Q: he time between the acquisition of inventory and the collection of cash from receivables is which of…

A: The operating cycle(OC) is the time from the beginning of production process to collection of cash…

Q: Matching Type A. Intangible Assets B. Contra asset C. Allowance for doubtful Accounts D. Current…

A: Solution:- Accounting is the process of recording financial transactions along with classification ,…

Q: Which of the following accounts are characterized as a "contra" account? (Select ALL tha apply) O…

A: Contra account: Contra effect of the transaction recorded on the opposite side

Q: Revenues may be generated by: Select one: a. having a liability forgiven. b. holding and disposing…

A: Solution: Revenue may be generated by the following: 1. Having a liability foregive, it results…

Q: Choose the letter of correct answer:   A loss on sale of machinery is presented in a statement of…

A: SOLUTION- LOSS ON SALE OF MACHINERY= A NON OPERATING ITEM RESULTING FROM THE SALE OF THIS LONG TERM…

Q: Which of the following assets would not be included as a quick asset? a.Merchandise inventory b.Cash…

A: We first need to understand the meaning of quick asset. Quick assets are the assets which is…

Q: Return inward appearing in trial balance is deducted from Select one: a. Asset O b. Purchases c.…

A: Introduction: Trial balance: After posting all the balances to ledger accounts trial balance is…

Q: At the time of dissolution of the which one of the following account has to be prepared for…

A: As per Indian Partnership Act, 1932 : "Dissolution of firm means termination of partnership among…

Q: 6. Under the accrual basis of accounting, cash receipts and disbursements may _____ the period in…

A: At the purpose once exchanges area unit recorded within the books of records as they happen despite…

Q: eposits held as compensating balances   a. if legally restricted and held against long-term credit…

A: Answer: Deposits held as compensating balances are the amount that are held by lender on account for…

Q: Under the cash basis of accounting: a. Accounts receivable would appear on the statement of…

A: The correct option with proper explanation are as follows.

Q: Identify which type of adjustme A. Rent paid in advance for us B. Cash received in advance f C.…

A: The following transactions are categorized with the appropriate answer

Q: Which of the Tollowing is an asset exchange transaction? O a. Issued common stock. b. Accrued salary…

A: When just asset accounts are involved in a transaction, it is called an asset exchange transaction.

Q: In which section of the statement of financial position should cash that is restricted for the…

A: Financial Position: The statement of financial position represents the financial information about a…

Cash Book

So, before coming to the topic of cash books, I will let you briefly explain about the cash so that you all can be familiar with the word cash. Cash comes under the category of the current asset which is used as a medium of exchange for all the financial transactions in the firm. Cash is something that is universally accepted as a mode of payment. So, now comes to the topic i.e., cash book.