1)Which of the following accounts would be listed on the credit side of a trial balance? 答案及選項: A. Rent and rates B. Returns inwards C. Cash D. Returns outwards2)Which of the following accounts can be in debit balances on a trial balance?(1) Investment(2) James Lee(3) Bank(4) Returns inwards 答案及選項: A. (1) and (2) only B. (1), (2), (3) and (4) C. (1), (3) and (4) only D. (3) and (4) only3)Mandy operates a trading business. Her business does not have liabilities. In the trial balance of her business, 答案及選項: A. only the capital account would have a credit balance. B. office equipment would not be shown. C. There would be an bank overdraft D. there would be no trade payables.4)Tom's flower shop purchased 35 pots of flowers valued at $30,000. Tom's flower shop was required to pay the debt in three weeks. Which of the following double entries is correct? 答案及選項: A. Debit trade payable account……Credit purchases account B. Debit purchases account……Credit cash account C. Debit cash account……Credit purchases account D. Debit purchases account……Credit trade payable account5)The proprietor of a business withdrew cash for his personal use. The double entry should be: 答案及選項: A. Debit cash account……Credit bank account B. Debit cash account……Credit drawings account C. Debit drawings account……Credit cash account D. Debit bank account……Credit cash account
Question
1)Which of the following accounts would be listed on the credit side of a trial balance? 答案及選項: A. Rent and rates B. Returns inwards C. Cash D. Returns outwards2)Which of the following accounts can be in debit balances on a trial balance?(1) Investment(2) James Lee(3) Bank(4) Returns inwards 答案及選項: A. (1) and (2) only B. (1), (2), (3) and (4) C. (1), (3) and (4) only D. (3) and (4) only3)Mandy operates a trading business. Her business does not have liabilities. In the trial balance of her business, 答案及選項: A. only the capital account would have a credit balance. B. office equipment would not be shown. C. There would be an bank overdraft D. there would be no trade payables.4)Tom's flower shop purchased 35 pots of flowers valued at $30,000. Tom's flower shop was required to pay the debt in three weeks. Which of the following double entries is correct? 答案及選項: A. Debit trade payable account……Credit purchases account B. Debit purchases account……Credit cash account C. Debit cash account……Credit purchases account D. Debit purchases account……Credit trade payable account5)The proprietor of a business withdrew cash for his personal use. The double entry should be: 答案及選項: A. Debit cash account……Credit bank account B. Debit cash account……Credit drawings account C. Debit drawings account……Credit cash account D. Debit bank account……Credit cash account
Solution
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The accounts that would be listed on the credit side of a trial balance are those that have a credit balance. In this case, the correct answer is B. Returns inwards. This is because returns inwards, also known as sales returns, are a deduction from sales, which are normally a credit balance.
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The accounts that can be in debit balances on a trial balance are those that normally have a debit balance. These include assets and expenses. In this case, the correct answer is B. (1), (2), (3) and (4). This is because investments and bank are assets, and returns inwards is an expense. James Lee could be a debtor, which is also an asset.
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If Mandy's business does not have liabilities, then the correct answer is D. there would be no trade payables. This is because trade payables are a liability. If there are no liabilities, then there would be no trade payables.
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When Tom's flower shop purchases flowers on credit, the correct double entry is D. Debit purchases account……Credit trade payable account. This is because the purchase increases the purchases account (an expense, which is a debit) and increases the trade payable account (a liability, which is a credit).
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When the proprietor of a business withdraws cash for his personal use, the correct double entry is C. Debit drawings account……Credit cash account. This is because the withdrawal decreases the cash account (an asset, which is a credit) and increases the drawings account (a reduction of owner's equity, which is a debit).
Similar Questions
Sales account and return outwards account usually have a balance and Balance respectively. 答案及選項: A. credit……debit B. credit……credit C. debit……debit D. debit……credit8)A business received commission revenue of $50,000 in cash. Which of the following double entries is correct? 答案及選項: A. Debit commission revenue account……Credit cash account B. Debit cash account……Credit commission revenue account C. Debit commission revenue account……Credit bank account D. Debit bank account……Credit commission revenue account9)Which of the following statements is incorrect? 答案及選項: A. An increase in capital account is recorded by a credit entry. B. A decrease in liability account is recorded by a debit entry. C. An increase in asset account is recorded by a debit entry. D. An increase in expense account is recorded by a credit entry.10)Which of the following is an asset of a firm? 答案及選項: A. The capital of the firm B. The loss made by the firm C. Premise owned by the firm D. Money owed by the firm to a bank11)Which of the following is a liability of a firm? 答案及選項: A. Money lent to the firm by a bank B. Money lent by the firm to a customer C. The capital of the firm D. Premises owned by the firm12)Which of the following accounts of a firm should be credited when there is an increase in the amount?(1) Debtors(2) Capital(3) Customer deposits(4) Bank loans(5) Furniture and fixtures 答案及選項: A. (1), (4) and (5) only B. (2), (4) and (5) only C. (2), (3) and (4) only D. (1), (2) and (3) only13)Which of the following double entries are incorrect?(1) The owner contributed furniture: Dr Furniture Cr Capital(2) Bought computers on credit from Maxi Computers Ltd: Dr Maxi Computers Ltd Cr Computers(3) Paid rates by cheque: Dr Bank Cr Rates(4) Received cash from a debtor: Dr Cash Cr Debtors 答案及選項: A. (2) and (3) only B. (1) and (3) only C. (3) and (4) only D. (3) only14)Leo paid cash for $5,000 worth of furniture from NY Furniture for business use. The double entry for this transaction would be: 答案及選項: A. Dr Furniture $5,000 Cr NY Furniture $5,000 B. Dr Cash $5,000 Cr NY Furniture $5,000 C. Dr NY Furniture $5,000 Cr Cash $5,000 D. Dr Furniture $5,000 Cr Cash $5,00015)Both Amy Co and Betty Co are furniture retailers. Amy Co bought $5,000 worth of furniture from Betty Co on credit for business use. In Betty Co's books, how should this transaction be recorded? 答案及選項: A. Dr Furniture $5,000 Cr Betty Co $5,000 B. Dr Betty Co $5,000 Cr Furniture $5,000 C. Dr Amy Co $5,000 Cr Sales $5,000 D. Dr Amy Co $5,000 Cr Furniture $5,00016)Which of the following are correct?(1) Both assets and capital will increase when the owner injects capital into the business.(2) Both capital and liabilities will increase when a business borrows money from a bank.(3) Both assets and liabilities will increase when a business purchases a machine on credit.(4) Both assets and liabilities will increase when a business purchases a computer on credit. 答案及選項: A. (1) and (2) only B. (2), (3) and (4) only C. (1), (3) and (4) only D. (1) and (4) only
Which of the following statements about the trial balance is incorrect?a.It is a list of balances from the ledger accountsb.It provides a useful check on the accuracy of the ledger accountsc.It calculates the profit or loss achieved by the businessd.The total value of debits must equal the total value of credits
Which one of the following is not a part of an account? Group of answer choices Credit side Trial balance Debit side Title
Which of the following items is NOT found on the debit column of a trial balance? A. Postage and stationary B. Motor vehicle C. Rent and rates D. Capital E. Salaries and wages
The post-closing trial balance includes which of the following accounts?*a. Permanent (real) accountsb. Temporary (nominal) accountsc. Accounts shown in the income statementd. None of the above.
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