API tools faq
paste
akosiraff

Download 20 MCQ Payment of $99 for merchandise sold on credi

akosiraff
Jul 13th, 2014
486
0
Never
Add comment
Not a member of Pastebin yet? Sign Up, it unlocks many cool features!
text 6.18 KB | None | 0 0
raw download clone embed print report
  1.  
  2. Download: http://solutionzip.com/downloads/20-mcq-payment-of-99-for-merchandise-sold-on-credit-for-100/
  3. Question 1 of 20 5.0 Points
  4. Payment of $99 for merchandise sold on credit for $100 subject to 1/10 n/30 was received within the discount period. This was recorded with a debit to Sales Discounts for $1, a debit to Cash for $99, and a credit to Accounts Receivable for $100, but no mention was made of the subsidiary ledger account. This error will cause the
  5. A. net income for the period to be overstated.
  6. B. net income for the period to be understated.
  7. C. control account to not agree with the subsidiary ledger.
  8. D. assets to be overstated.
  9. Question 2 of 20 5.0 Points
  10. The principal ledger containing all the balance sheet and income statement accounts is the _______ ledger.
  11. A. general
  12. B. creditors’
  13. C. customers’
  14. D. subsidiary
  15. Question 3 of 20 5.0 Points
  16. A Sold Merchandise for Cash subject to a sales tax accepting cash will be recorded with a
  17. A. credit to an asset account.
  18. B. debit to a liability account.
  19. C. debit to Capital.
  20. D. None of the above
  21. Question 4 of 20 5.0 Points
  22. Kristi’s Pottery sold 200 tiles at $25.00 each to a charge customer, terms 1/10, n/30. Which entry is required to record this transaction?
  23. A. Debit Cash $5,000; credit Tile Sales $5,000
  24. B. Debit Accounts Receivable $4,050; credit Tile Sales $4,050
  25. C. Debit Accounts Receivable $4,050; debit Sales Discount $50.00; credit Tile Sales $5,000
  26. D. Debit Accounts Receivable $5,000; credit Tile Sales $5,000
  27. Question 5 of 20 5.0 Points
  28. Determine the amount to be paid within the discount period for a previous sale with an invoice price of $10,000, subject to credit terms of 1/10, n/30.
  29. A. $5,000.00
  30. B. $9,500.00
  31. C. $10,000.00
  32. D. $9,900.00
  33. 10,000 x (1 – 0.01) = 9900
  34. Question 6 of 20 5.0 Points
  35. When using a subsidiary ledger, the Accounts Receivable account in the general ledger is called the _______ account.
  36. A. master
  37. B. subsidiary
  38. C. receivable
  39. D. controlling
  40. Question 7 of 20 5.0 Points
  41. Determine the amount of cash collected at the time of making a sale of $1,000 worth of merchandise subject to a 6% sales tax.
  42. A. $1,000.00
  43. B. $1,030.00
  44. C. $1,060.00
  45. D. $1,090.00
  46. 1000 x (1+0.06) = 1060
  47. Question 8 of 20 5.0 Points
  48. If a credit memorandum is issued, which account will be increased on the seller’s books?
  49. A. Accounts Receivable
  50. B. Accounts Payable
  51. C. Sales Discount
  52. D. Sales Returns and Allowances
  53. Question 9 of 20 5.0 Points
  54. The collection on an account within the 1/10 n/30 discount period was recorded using a 10% discount rather than a 1% discount in both the controlling and subsidiary accounts. This error will cause the
  55. A. the net income for the period to be understated.
  56. B. the net income for the period to be overstated.
  57. C. the control account to not agree with the subsidiary ledger.
  58. D. the assets to be overstated.
  59. Question 10 of 20 5.0 Points
  60. Which statement about subsidiary ledgers is most accurate?
  61. A. The subsidiary ledger accounts will never equal the control account in the general ledger.
  62. B. The Accounts Receivable subsidiary ledger is a book of accounts that provides supporting detail for Accounts Receivable.
  63. C. The subsidiary ledger accounts will equal the amount in the Sales account.
  64. D. All of the above
  65. Question 11 of 20 5.0 Points
  66. If a credit memorandum is issued, which account will be decreased on the seller’s books?
  67. A. Accounts Receivable
  68. B. Accounts Payable
  69. C. Sales Discount
  70. D. Sales Returns and Allowances
  71. Question 12 of 20 5.0 Points
  72. A characteristic of a schedule of Accounts Receivable is that
  73. A. it contains a list of customers’ names with balances.
  74. B. the total is equal to the Accounts Receivable control account at the end of the month.
  75. C. it’s prepared at the end of the month.
  76. D. All of the above
  77. Question 13 of 20 5.0 Points
  78. Sue’s Jewelry sold 30 necklaces for $25 each to a credit customer. The invoice included a 6% sales tax and payment terms of 2/10, n/30. Five necklaces were returned prior to payment. The entry to record the return would include a
  79. A. debit to Sales Returns and Allowances for $132.50.
  80. B. debit to Sales Returns and Allowances for $125.00.
  81. C. credit to Sales Tax Payable for $7.50.
  82. D. debit to Accounts Receivable for $132.50.
  83. 5 x $25 = $125 sales returns & allowances debit
  84. Question 14 of 20 5.0 Points
  85. Entries to customers’ accounts for sales are posted in the _______ subsidiary ledger.
  86. A. Accounts Receivable
  87. B. Accounts Payable
  88. C. Fixed Asset
  89. D. Cash
  90. Question 15 of 20 5.0 Points
  91. The normal balance of the Accounts Receivable subsidiary ledger is
  92. A. credit.
  93. B. debit.
  94. C. It doesn’t have a normal balance.
  95. D. Not enough information has been provided.
  96. Question 16 of 20 5.0 Points
  97. Unlimited Materials sold goods for $2,000 plus 6% sales tax to a charge customer, terms n/30. Which entry is required to record this transaction?
  98. A. Debit Accounts Receivable $2,120; credit Sales Tax Payable $120; credit Sales $2,000
  99. B. Debit Cash $2,000; credit Sales $2,000
  100. C. Debit Accounts Receivable $2,000; credit Sales $2,000
  101. D. Debit Accounts Receivable $2,120; credit Sales $2,120
  102. Question 17 of 20 5.0 Points
  103. A received payment within the discount period for previously merchandise sold will be recorded with a
  104. A. credit to an asset account.
  105. B. debit to a liability account.
  106. C. debit to Capital.
  107. D. None of the above
  108. Question 18 of 20 5.0 Points
  109. Determine the amount of cash collected on a credit sale in the amount of $4,500 and subject to a 6% sales tax when $500 worth of merchandise has already been returned for credit.
  110. A. $4,240.00
  111. B. $4,500.00
  112. C. $4,000.00
  113. D. $3,860.00
  114. ($4500 – 500 ) x 1.06 = $4240
  115. Question 19 of 20 5.0 Points
  116. Zach returned $200 of merchandise to Secret Trails. His original purchase was $400, with terms 1/10, n/30. If Justin pays the balance of his account after the discount period, how much should he pay?
  117. A. $204.00
  118. B. $196.00
  119. C. $200.00
  120. D. $400.00
  121. Question 20 of 20 5.0 Points
  122. A checkmark in the PR column in the general journal means the
  123. A. entry was recorded correctly.
  124. B. amount was posted to the controlling account.
  125. C. amount was recorded in the subsidiary ledger.
  126. D. entry was audited.
  127.  
  128. Download: http://solutionzip.com/downloads/20-mcq-payment-of-99-for-merchandise-sold-on-credit-for-100/
Add Comment
Please, Sign In to add comment
Public Pastes
We use cookies for various purposes including analytics. By continuing to use Pastebin, you agree to our use of cookies as described in the Cookies Policy.  OK, I Understand
Not a member of Pastebin yet?
Sign Up, it unlocks many cool features!