accounts preparation exam

It's only fair to share...Share on Google+Pin on PinterestShare on LinkedInShare on Facebook


Try this practice accounts preparation exam. To succeed in Intermediate Diploma in Accounting you need to practice for the Accounts Preparation.

Question 1
The sales day book is best described as

  1. Part of the double entry system
  2. Containing customer’s accounts
  3. Containing real accounts
  4. A list of credit sales

Question 2
Which of the following are personal accounts?

  1. Buildings
  2. Wages
  3. Accounts Receivable
  4. Accounts Payable

 

  1. i and iv only
  2. ii and iii only
  3. iii and iv only
  4. ii and iv only

Question 3
When Len makes out a cheque for £60 and sends it to Yale, then Len is known as

  1. The payee
  2. The banker
  3. The drawer
  4. The creditor



Question 4
£60 cash taken from the cash till and banked is entered

  1. Debit cash column £60: Credit bank column £60
  2. Debit bank column £60: Credit cash column £60
  3. Debit cash column £60: Credit cash column £60
  4. Debit bank column £60: Credit bank column £60

Question 5
A cash discount is best described as a reduction in the money paid

  1. if payment is made within a previously agreed period
  2. if payment is made by cheque not cash
  3. if payment is made by cash alone
  4. if payment is made by card

Question 6
The total of the discount allowed column in the cash book is posted to

  1. The credit of the discounts allowed account
  2. The debit of the discounts received account
  3. The debit of the discounts allowed account
  4. The credit of the discounts received account

Question 7
The sales journal total is entered on

  1. The debit side of the sales account in the nominal/general ledger
  2. The credit side of the sales account in the sales ledger
  3. The credit side of the general account in the nominal/general ledger
  4. The credit side of the sales account in the nominal/general ledger

Question 8
The total of the Returns Outward journal is transferred to

  1. The debit side of the Returns Outward Account
  2. The credit side of the Returns Inward Account
  3. The credit side of the Returns Outward Account
  4. The debit side of the Returns Inward Account



Question 9
A firm bought a machine for £160,000. It will be used for 5 years then sold for £100,000. What is the annual amount of depreciation if the straight line method is used?

  1. £6,000
  2. £60,000
  3. £120,000
  4. £12,000