Self Assessment Quizzes

CHAPTER 17: Section 2 The Cash Payments Journal

	1.	When recording payroll in the cash payments journal

		a.	Salaries Expense is debited and the liability accounts are credited
		b.	Salaries Expense is credited and the liability accounts are debited
		c.	Salaries Expense is debited and the liability accounts and Cash in Bank are credited
		d.	Salaries Expense is credited and the liability accounts and Cash in Bank are debited

	2.	For the cash payments journal, column totals are posted to

		a.	Accounts Receivable, Purchases, and Cash in Bank
		b.	Cash in Bank and Purchases
		c.	Accounts Payable, Purchases and Cash in Bank
		d.	Accounts Payable, Purchases Discounts, and Cash in Bank

	3.	The list of creditors including the balance for each account is called

		a.	schedule of accounts payable
		b.	credit list
		c.	liabilities
		d.	general ledger

	4.	Before the cash payments journal is ruled

		a.	post the General Debits column
		b.	post the General Debits and General Credit columns
		c.	prove the equality of the debits and credits
		d.	take a break, you deserve it

	5.	When a payment is made on account with a purchase discount

		a.	cash in bank is credited with the full amount of the purchase
		b.	accounts payable is debited with the full amount of the purchase
		c.	cash in bank is debited with the full amount of the purchase
		d.	accounts payable is credited with the full amount of the purchase

	6.	The process of verifying that cash recorded in the accounting records agrees with the amount entered in the check book is called

		a.	balancing the books
		b.	proving cash
		c.	scheduling cash
		d.	adjusting the books

	7.	the cash payments journal is used to record

		a.	all transactions in which cash is received
		b.	only those transaction that affect accounts payable
		c.	only those transactions that affect accounts receivable
		d.	all transactions in which cash is paid out

	8.	Each transaction in the cash payments journal affects

		a.	Cash in Bank
		b.	Accounts Payable
		c.	Accounts Receivable
		d.	Purchases