Bad debts written off is shown as
Debit in the sales ledger
Debit in the purchases ledger
Credit in the sales ledger
Credit in the purchases ledger
Correct answer is C
The journal entry is a debit to the bad debt expense account and a credit to the accounts receivable account. (Remember your account receivables are credit sales that is the sales journal).
Cost accounting
Bookkeeping
Incomplete records
Double entry
Correct answer is C
Incomplete records refers to a situation in which an organization is not using double-entry bookkeeping. Instead, it is using a more informal accounting system, such as a single-entry system, to maintain a reduced amount of information about its financial results.
Subscriptions received in advance are
Included in the income and expenditure account
Not included in the receipts and payment account
Shown as a current asset in the balance sheet
Shown in the Balance Sheet as a current liability
Correct answer is D
An amount received in advance against which the services are yet to provide is a balance sheet item. Any advance subscription is a liability and to be shown in balance sheet
Which of the following is the equivalent of the receipts payment accounts?
Income and expenditure accounts
Cash book
Subscriptions account
Profit and loss account
Correct answer is B
Following are the characteristics of receipt and payment account:
From the above characteristics we can say the receipt and payments account is equivalent to the cash book which is used in recording all cash transactions
The difference between factory cost of goods produced and its market value is
Interest
Premium
Manufacturing profit
Manufacturing overhead
Correct answer is C