IGCSE Accounting Paper-1: Specimen Questions with Answers 321 - 322 of 338

Question number: 321

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Short Answer Question▾

Write in Short

Indicate with a tick where each of the following account would appear in the trial balance. (Marks 3)

Account would appear in the trial balanceAccount would appear in the trial balance

Accounts

Debit Column

Credit Column

Purchases

Sales Return

Commission Received

Rent paid

Capital

Provision for bad debts

Explanation

Account would appear in the trial balanceAccount would appear in the trial balance

Accounts

Debit Column

Credit Column

Purchases

The Image of Right

The Image of Right

Sales Return

The Image of Right

The Image of Right

Commission Received

The Image of Right

The Image of Right

Rent paid

The Image of Right

The Image of Right

Capital

The Image of Right

The Image of Right

Provision for bad debts

The Image of Right

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

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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)

Cash Book (Bank Columns Only) Cash Book (Bank Columns Only)

Date

Details

$

Date

Details

$

Explanation

Shri Ram

Cash Book (Bank Columns Only)

Cash Book (Bank Columns Only) 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

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