__________________ is posted in credit side of debtors account.

• A) Credit purchases
• B) Discount allowed
• C) Cash purchases
• D) Trade discount

_____________________is posted in credit side of debtors account.

• A) Sales return account
• B) Discount allowed account
• C) All of the given options
• D) Receipts from debtors

If cost of equipment is Rs. 108,000, useful life is 10 years and its residual value is Rs. 8,000. Then Deprecation for the 3rd year using straight line method is ____________.

• A) Rs. 8,000
• B) Rs. 10,000
• C) Rs. 9,800
• D) Rs. 8,820

If cost of a plant is Rs. 120,000, total estimated hours are 15,000 and residual value is Rs. 20,000. Then depreciation rate per hour is ____________.

• A) Rs. 1.33 per hour
• B) Rs. 6.67 per hour
• C) Rs. 6 per hour
• D) Rs. 8 per hour

All of the following items may appear in Trade receivable control account EXCEPT:

• A) Bad debts
• B) Cash sales
• C) Discount allowed
• D) Cash received from debtors

Expense due at the end of the period is treated as:

• A) Assets
• B) Drawings
• C) Liability
• D) Income

All of the following items may appear in Trade payable control account EXCEPT:

• A) Purchases return
• B) Cheques paid to creditors
• C) Bad debts
• D) Discount received

Income due at the end of the period is treated as:

• A) Drawings
• B) Assets
• C) Liability
• D) Expenses

__________________ is posted in the debit side of debtors account.

• A) Balance c/f of debtors
• B) Cash sales
• C) Cash purchase
• D) Balance b/f of debtors

All of the following items appear on credit side of Trade receivable control account EXCEPT:

• A) Discount allowed
• B) Cheques dishonored
• C) Bad debts
• D) Cash received from debtors

_______________ is posted in credit side of debtors account.

• A) Return outwards
• B) Return inwards
• C) Cash sales
• D) Total sales

While preparing a Debtors Control Account, Credit side posted items cause:

• A) Both increase and decrease in debtors’ balance
• B) Increase in debtors’ balance
• C) Decrease in debtors’ balance
• D) Increase in creditors’ balance

Final balance of depreciation expense a/c is closed into the ___________as an expense.

• A) Balance sheet
• B) Cash flow statement
• C) Trial balance
• D) Income statement

In case of recovery of bad debts, _____________ is debited.

• A) Bank account
• B) Bad debts recovered account
• C) Debts account
• D) Doubtful debts account

Irrecoverable debts are also known as:

• A) Long term debts
• B) Doubtful debts
• C) Short term debts
• D) Bad debts

All of the following are the deprecation methods for tangible fixed assets EXCEPT:

• A) Straight line method
• B) Sum of years digit method
• C) Indirect method
• D) Reducing balance method

________________ is posted in debit side of receivable account.

• A) Cash sales
• B) Balance b/f of receivable
• C) Balance c/f of receivable
• D) Cash purchase

Property, Plant and Equipment include:

• A) All of the given options
• B) Assets used for administrative purposes
• C) Assets to be used in selling of goods or services
• D) Assets held for production of goods or services

_____________________ is posted in credit side of debtors account.

• A) Sales return
• B) Purchase return
• C) Transportation inwards
• D) Transportation outwards

A receivables ledger control account had a closing balance of Rs.9,000. A cheque received from a debtor of Rs. 500 had been omitted to record in this control account. What should be the correct balance of receivables control account?

• A) Rs. 9,500 debit
• B) Rs. 10,000 debit
• C) Rs. 8,000 debit
• D) Rs. 8,500 debit