Which of the following is a debit entry in debtors control account?
Discount allowed
Return inwards
Credit sales
Cash from debtors
Correct answer is C
The debtors' control account is an account in the GL that shows the total of all transactions with debtors. Entries must still be made using the double entry method (credit/debit), but the following totals are entered: The sales journal totals, or the total amount of credit extended.
In a bank reconciliation statement, Dishonoured cheques is added to
Unpresented cheques
Uncredited cheques
Statement of account
Aggregate balanace as per cash book
Correct answer is B
Dishonoured cheques are those which are refused payment by the bank because they are not in order or there is insufficient fund in the drawer's account. They are added to uncredited cheques just like standing order and bank charges.
The ledger entries to be made if cash sales is banked is debit
Cash, credit sales
Sales, credit cash
Bank, credit cash
Bank, credit sales
Correct answer is D
Debit Bank Account and Credit sales - this highlights that you have taken the cash “out of your pocket” and put it in to your bank account.
N9, N1740; N120
N90, N990
N90, N870; N120
N80, N750
Correct answer is C
No explanation has been provided for this answer.
Using LIFO method of stock valuation, analyze the issue quantities and their prices
260 units at N1.50
700 units at N1.50
200 units at N1.50 and 500 units at N1.00
350 units at N1.50 and 350 units at N1.00
Correct answer is A
Given that a maximum of 260 units can be taken from the last receipt, the balance of 440 units (700-260) would be issued at N 1.00 which would be taken from the first materials received (100 units)