Tag: Verification of accounting records

The trial balance totals are

Debit £500 150 credit £500 000

Which error could have caused the difference?

Select ONE answer:

1. A credit purchase has only been recorded in a creditor’s account.
2. A credit sale has not been recorded.
3. A cash sale has only been recorded in the sales account.
4. A credit sale has only been recorded in a debtor’s account.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

1. Not correct
2. Not correct
3. Not correct
4. Correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

The bank statement of a business shows an overdraft of £250 at the year end.

There are cheques written but not yet cleared by the bank amounting to £140.

Lodgements not yet credited by the bank amount to £220.

How would the balance in the cash book be shown in the balance sheet?

Select ONE answer:

1. 1.current asset £170
2. 2.current asset £330
3. 3.current liability £170
4. 4.current liability £330

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct – (£250) – £140 + £220
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.