Menu
support@businesspapershelp.com
+1(805) 568 7317

43 in a firm that uses special journals the purchase of merchandise with terms of 2 4301972

 

43. In a firm that uses special journals, the purchase of merchandise with terms of 2/10, n/30 is recorded in the 

A. cash payments journal.

B. cash receipts journal.

C. purchases journal.

D. general journal.

44. In a firm that uses special journals, the return of damaged merchandise to a supplier and receipt of a credit memorandum is recorded in the 

A. cash payments journal.

B. cash receipts journal.

C. purchases journal.

D. general journal.

45. In a firm that uses special journals, the issuance of a check to a supplier as a payment on account is recorded in the 

A. cash payments journal.

B. cash receipts journal.

C. purchases journal.

D. general journal.

46. In a firm that uses special journals, the purchase of merchandise for $2,800, payable in 30 days, plus a freight charge of $140 is recorded in the 

A. cash payments journal.

B. cash receipts journal.

C. purchases journal.

D. general journal.

47. In a firm that uses special journals, the receipt of a credit memorandum from a supplier for merchandise that was damaged but can be sold at a reduced price is recorded in the 

A. cash payments journal.

B. cash receipts journal.

C. purchases journal.

D. general journal.

48. In a firm that uses special journals, the purchase of merchandise for cash is recorded in the 

A. cash payments journal.

B. cash receipts journal.

C. purchases journal.

D. general journal.

49. Credit terms of 1/10, n/30 mean that 

A. payment in full is due 10 days after date of the invoice.

B. a 1% discount may be taken for up to 30 days.

C. if the invoice is paid within 10 days of its date, a 1% discount may be taken; otherwise the total amount is due in 20 days.

D. if the invoice is paid within 10 days of its date, a 1% discount may be taken; otherwise the total amount is due in 30 days.

50. Which of the following accounts has a normal debit balance? 

A. Purchases

B. Purchase Returns

C. Accounts Payable

D. Sales

51. Which of the following statements is correct? 

A. Freight In is subtracted from Purchases to arrive at delivered cost of purchases.

B. Another name that may be used for the Freight In account is “Transportation In.”

C. Freight charges that are listed on the invoice received from a supplier are not part of the total credit to Accounts Payable to record the credit purchase.

D. The Freight In account is subtracted from Sales to get Net Sales.

52. The journal entry to record the purchase on account of $900 of merchandise with freight of $65 prepaid and added to the invoice is: 

A. debit Purchases $965; credit Accounts Payable $965

B. debit Accounts Payable $965, debit Freight in $65; credit Purchases $900

C. debit Purchases $900, debit Freight In $65; credit Accounts Payable $965

D. debit Accounts Receivable $965; credit Sales $965

 

 

"Order a similar paper and get 15% discount on your first order with us
Use the following coupon
"GET15"

Order Now