IGCSE Accounting Paper-1: Specimen Questions with Answers 321 - 322 of 338
Question number: 321
Short Answer Question▾
Write in Short
Indicate with a tick where each of the following account would appear in the trial balance. (Marks 3)
Accounts | Debit Column | Credit Column |
Purchases | ||
Sales Return | ||
Commission Received | ||
Rent paid | ||
Capital | ||
Provision for bad debts |
Explanation
Accounts | Debit Column | Credit Column |
Purchases |  The Image of Right | |
Sales Return | The Image of Right | |
Commission Received | The Image of Right | |
Rent paid | The Image of Right | |
Capital | The Image of Right | |
Provision for bad debts | The Image of Right |
Purchases is an expense so, it has a debit balance.
Sales Return reduces sales which has a credit balance. So, sales return has a debit balance.
Commission received is an income and Incomes have a credit balance.
Rent paid is an expense so, it has a debit balance.
Capital is a liability. So it has a credit balance.
Provision for bad debts is considered as liability because it reduces assets (receivables) so, it has a credit balance.
Question number: 322
Short Answer Question▾
Write in Short
Update the cash book of Shri Ram. Bring down the updated balance on 1 December 2019. (Marks 5)
Shri Ram
Cash Book (Bank Columns Only)
Date | Details | $ | Date | Details | $ |
Explanation
Shri Ram
Cash Book (Bank Columns Only)
Date | Details | $ | Date | Details | $ |
2019 Oct 31 | Balance b/d | 6180 | 2019 Oct 31 | Bank Charges | 10 |
Interest | 300 | Zara | 550 | ||
Error (Undercast) | 200 | Balance c/d | 6120 | ||
6680 | 6680 | ||||
2019 Nov 1 | Balance b/d | 6120 |