Accounts - Principles of Accounts Past Questions and Answers

A major way by which the headquarters guard against fraud in branches on cash remittance is through the introduction of

A Imprest system only
B Direct purchase by branch
C Separate accountant for the branch
D Credit sales by only the headquarters

Question 947:

1. Cash sales
11. Cash purchases
111. Cash discount allowed
1V. Cash payment
V. Cash receipts
Which of the following are recorded on the debit side of the cash book

A 1 and 11
B 1 and 111
C 1 and V
D 1 and 1V

Question 948:

An item credited in the bank statement but yet to be recorded in the firm's cash book is

A Bank loan
B Contract payment
C Standing order
D Direct deposit

Question 949:

The major focus of the trading account is to show

A Net profit
B Gross margin
C Total purchases
D Total sales

Question 950:

If goods were bought from Tanko at a cost price of #9,000 with a cash discount of 5%, how much will be paid assuming prompt payment was made?

A #4,500
B #8,550
C #9,000
D #9,450