Chapter 2: Double entry book-keeping (Definition)

Transaction is a ..................... activity or event.​ (a)  

• financial
• business
• recording
• trading

Cash transactions are financial activities involving the .............. use of .................​ (a)  

• immediate, money
• immediate, cash at hand
• immediate, cash at bank
• later, money
• later, cash at hand

Credit transactions are financial activities when the payment or receipt of money is ....................​ (a)  

• on delivery
• on credit term
• immediate
• delayed

A trader is a business organisation that aims to make profit from the buying and selling of ................ No ................ takes place.​ ​ (a)  

• goods; production
• service; production
• goods; service
• goods; reselling

A T-Account is a ...................... form used to record transactions affecting a particular aspect of a business's financial activities .​ ​ ​ (a)  

• two-sided
• written
• business
• account

Debit is the ................. side of an account .​ ​ ​ ​ (a)  

• left-hand
• right-hand
• receiving
• giving

Credit is the ................. side of an account .​ ​ ​ ​ (a)  

• left-hand
• right-hand
• receiving
• giving

Double entry is the process of making two .............. for every transaction. ​ (a)   ​ ​ ​

• entries
• records
• sides
• financial

Double entry book-keeping is the process of making a ............... entry and a .............. entry for each transaction. ​ (a)   ​ ​ ​

• debit; credit
• left; right
• buying; selling
• giving; receiving

An account is a record in ledgers, used to collect and store .............. and ............. amounts relating to an asset, a liability, capital, an ............... or an .................. . For example, every transaction that involves machinery will be recorded in the machinery account. ​ ​ ​ ​ ​ (a)  

• debit; credit; income; expense
• receiving; giving; income; expense
• debit; credit; owner equity; income
• receiving; giving; owner equity; expense