QUIZ
SECTION A
1. Accounts:
a) do reflect money.
b) are not used by entities that manufacture products.
c) are not records of increases and decreases in individual financial statement items.
d) are only used by large entities with many transactions.
2. Which of the following accounts is an asset account?
a) salaries expenses
b) drawing
c) Accounts payable.
d) cash
3. Which of the following accounts is an alibility account?
a) Account payable.
b) Insurance
c) capital
d) cash
4. A credit may signify a
a) decrease in assets
b) decrease in liability
c) decrease in capital
d) decrease in revenue.
5. Which is the correct sequence for recording transactions and preparing financial statements?
a) Journal, ledger, trial balance, financial statements
b) Ledger, trial balance, journal, financial statements
c) Financial statements, trial balance, ledger, journal
d) Ledger, journal, trial balance, financial statements
6. In a double-entry accounting system
a) a debit entry is recorded on the left side of a T-account.
b) half of all the accounts have a normal credit balance.
c) liabilities, owners’ equity, and revenue accounts all have normal debit balances.
d) both a and c are correct
QUIZ
SECTION B
1. Mr. David started a business with cash at bank RM 20 000 and office furniture RM 2 000.
2. Bought goods from Well Shine Traders on credit RM 2 000.
3. Bought office furniture and paid by cheque RM 3 000
4. Sold goods for cash RM 8 000.
5. Sold goods to Sohan Traders on credit RM 10 000
6. Paid office rent by cheque RM 1 000
7. Paid wages RM 3 000 by cheque
8. Cheque received from Sohan Traders for the amount due
9. Paid a cheque RM 1 800 to Well Shine Traders in full settlement of their account.
10. David withdrew from business bank account RM 800 for personal use.
Prepare :
a) Journal entry
