Grade 8 Revision

What can drawings be classified as...?

• Asset

• Owner's Equity

• Liability

• Income

What can Land be classified as...?

• Asset

• Expense

• Liability

What can bank overdraft be classified as...?

• Liability

• Asset

• Income

• Owner's Equity

What can Rent Income be classified as...?

• Owner's Equity

• Asset

• Expense

What can capital be classified as...?

• Liability

• Expense

• Owner's Equity

What type of income is received when services are rendered?

• Sales

• Rent Income

• Current Income

True or False...

Sales is the type of income received in a trading business when goods are traded in exchange for money.

• TRUE

• FALSE

Mr J Jacob, the owner deposited R20 000 into the business bank account as a form of capital contribution. Identify the two accounts affected:

• BANK

• DRAWINGS

• SALES

• CAPITAL

Cash received, R10 000, for services rendered. Which two accounts are being affected...?

• BANK OVERDRAFT

• CURRENT INCOME

• BANK

• RENT INCOME

Paid R7000 cash for water and electricity provided by the Municipality. Which two accounts are affected?

• COST OF SALES

• BANK

• WATER AND ELECTRICTY

• REPAIRS