Exam 3: Recording Transactions

What is the correct order in which the steps for analysing transactions are carried out? I Decide what accounts are affected. Ii Decide if the account type is increasing or decreasing. Iii Apply the rules of debit and credit. Iv Decide on the account type.

A machine purchased by a business for use in producing income can be recorded in an asset account called:

A __________________ provides a complete record, in one place, of each transaction in date order.

Select the entry that correctly records the purchase by Speedy Window Cleaning of 15 months worth of cleaning supplies from Southern Cleaning. The purchase is for cash and the invoiced amount is $1500. Ignore GST.

Happy Harry requires his customers to pay for their orders six weeks before shipping the goods. How should the cash receipts be recorded by Harry?

Quinn paid $440, including GST, for advertising. The entry to record this transaction is which of the following?

GST paid by a business on the purchase of its goods and services, and for which a reduction of GST collected will be claimed from the tax department, is stored in an account called:

A trial balance will disclose which of these errors?

The double-entry system requires how many of the following to be true? i. At least one account should be debited and one account credited ii. Credits should always be entered into the journal before debits iii. The accounting equation should stay in balance

Select the account types for these items: Prepaid insurance Mortgage GST Collected Light and power

The following transactions relate to the Melbourne Orchid Club, which of them is regarded as an internal transaction?

Which of these events would not be recorded by accountants?

What are the two basic types of income statement accounts?

The transactions below are from the records of Templestowe Picture Framers, the internal transaction is:

A separate ledger account is maintained for each:

On 20 June Yin repaired Yan’s computer and charged her $660 cash including GST. The general journal entry to record the transaction is:

Which of the following statements is true?

Select the entry that correctly records the receipt by Speedy Window Cleaning of $900 in cash for window cleaning services provided. Ignore GST.

The GST is a tax that is levied at the rate of ______ on the sale of most goods and services. It was introduced in Australia on July 1 2000.

Which is the correct statement concerning a chart of accounts?