POA Q1

The first step in the recording process is to

• prepare financial statements.

• analyze each transaction for its effect on the accounts.

• post to a journal.

• prepare a trial balance.

After transaction information has been recorded in the journal, it is transferred to the

• trial balance.

• income statement.

• book of original entry.

• ledger.

A debit is not the normal balance for which of the following?

• Asset account

• Drawings account

• Expense account

• Capital account

The purchase journal is

• used only to record credit purchases

• used only to record cash purchases

• used to record all purchases

• all of the above

The left side of an account is

• blank.

• a description of the account.

• the debit side.

• the balance of the account.

A trial balance is a listing of

• transactions in a journal.

• the chart of accounts.

• general ledger accounts and balances.

• the totals from the journal pages.

Issued by the seller when receive payments from the buyer.

• Purchase Order

• Payment Voucher

• Debit Notes

• Credit Notes

• Receipt

Issued by the seller to the buyer in the event of a credit transaction.

• Invoice

• Delivery Notes

• Debit Notes

• Credit Notes

• Purchase Order

Issued by the bank to the account holder at the end of the month.

• Receipt

• Payment Voucher

• Cheque Stubs

• Bank Slip

• Bank Statement

The owner invests personal cash in business.

• Asset (I)
• Liabilties (I)
• Equity (NE)