KS Learning
Accounting Test 005

Accounting Test 005

Note
There is no time limit.
The test will remain available until midnight today 29 July 2020.
The test examines the contents of chapter 2 of AS Accounting.
The test total is 100 marks.

Number	Question	Marks
1	Explain the difference between credit and debit on a t-account a current and non-current asset capital and liability bank and cash accounts expenditure and expenses	(10)
2	Name the accounts involved in the following transactions and whether they are debited or credited buying 100 widgets for sale in the business investing money in a business when it starts receiving a cheque for widgets sold on behalf of another company purchasing chairs, desks and shelving for an office paying 3 people to clean and tidy an office borriwing £2000 from a bank for the business	(24)
3	Explain capital expenditure and revenue expenditure with examples.	(6)
4	Prepare the t-accounts for the following transactions for ILP Ltd showing dates, descriptions and references. 2 January 2020 start a business with an investment by depositing a cheque for £2000 in the business bank account 3 January 2020 paid rent of £195 per month by bank transfer for January and February 5 January 2020 bought desks and chairs for the business at a cost of £420 paying with a business cheque 6 January 2020 bought a second-hand vehicle for the business at a cost of £1800 paying with a business cheque 10 January 2020 received £800 commission 12 January 2020 invested a further £2000 in the business by depositing a cheque in the business bank account 13 January 2020 owner withdrew £65 for personal use from the business bank account 15 January 2020 received a loan of of £5000 from Barlcays Bank 21 January 2020 received £450 commission 23 January 2020 owner withdrew £50 for personal use from the business bank account	(60)

End of Accounting Test 005.