The standing order is a payment instruction given by a?
Customer to the bank
Bank to the customer
Bank to an employee
Customer to a fellow customer
Correct answer is A
Standing order is an instruction to a bank by an account holder or customer to make regular fixed payments to a particular person or organization on their behalf.
Cash discount is often recorded on?
The debit side of the cash book
The credit side of the cash book
The folio column of the cash book
Both credit and debit side of the cash book
Correct answer is D
A cash discount is a deduction allowed by some sellers of goods or by some providers of services in order to motivate customers to pay within a specified time. It will be recorded on the debit and credit side of the cash book. Recall the three column cashbook has the cash, bank and discount columns. The debit side of the discount will record cash discount received while the credit side will record discount allowed.
Use the information below to answer the following questions
| Period 1 | N |
| Cash to petty cashier | 1000 |
| Petty cashier pays out | 780 |
| Period 2 | |
| Petty cashier pays out | 840 |
What is the balance of cash with the petty cashier at the end of period 1?
220
780
980
1780
Correct answer is A
Period one income =
N1,000- N780 pay out = N220 balance
160
840
1000
1040
Correct answer is D
Previous imprest - pay out in period 2;
1,000 - 840 = 160
Then when it is increased to 1200;
1200 - 160 = 1040
The petty cashier will be reimbursed with 1,040
i, ii and v
i, ii and iv
i, ii and iii
iii, iv and v
Correct answer is C
Fixed assets are assets which are purchased for long-term use and are not likely to be converted quickly into cash, such as land, buildings, furniture and equipment. From the question above they include; i, ii & iii.