Accounts & Financial Institutions

What symbol is used to identify a contra entry?

• PL

• GL

• C

• SL

What does a contra entry means as it relates to cashbook?

• This is when an item is sold for cash

• This is when an item is bought with cash

• This is when an entry affects both cash and bank accounts

• This is when an item was sold and returned for cash

Cash sales. What would be the effect in the cash book?

• Debit Sales with Cash

• Credit Sales with cash

A petty cash book is not an example of a type of cash book:

• True

• False

Paid rent with cheque. What is the entry in the cash book?

• Debit Rent account with bank

• Credit Rent account with Bank

• Debits Rent account with Cash

• Credit Rent account with Cash

Paid Cash in Bank. How would the entry be affected?

• Debit the Cash Account; Credit the Bank Account

• Debit the Bank Account; Credit the Cash Account

• Debit the Cash Account; Debit the Bank Account

• Credit the Cash Account; Credit the Bank Account

Which of the following is not a heading in the two column cash book?

• Date

• Folio

• Discount Received

• Details

What would be the effect on a discount received and discount allowed?

• Debit Discount Received: Credit Discount Allowed

• Credit Discount Received: Debit Discount Allowed

• Debit Discount Received: Debit Discount Allowed

• Credit Discount Received: Credit Discount Allowed

Which cheque contains two parallel lines at the top left or right?

• Stale Dated

• Post-Dated

• Crossed

• Counter

Which of the following is an Advantages of using a

Cash Book?

• Reduces the number of entries in the ledger

  book.

• It is used to enter cash and credit transactions.

• It gives the Total Debtors details