O Level Principles of Accounts Bookkeeping Quiz

O-Level Principles of Accounts Quiz - Bookkeeping

Name: __________________________
Class: __________________________
Date: __________________________
Score: ________ / 50

Duration: 60 Minutes
Total Marks: 50

Instructions:

• Answer all questions in the spaces provided.
• Show all workings clearly for calculation questions.
• Use a calculator where necessary.

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Section A: Fundamental Concepts & The Accounting Equation

Questions 1-5: Focus on the dual aspect and basic recording.

1. State the accounting equation. (1)

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2. A business owner introduces $15,000 cash into the business. State the effect of this transaction on the accounting equation. (2) Assets: ____________________________________________________________________ Capital/Liabilities: _________________________________________________________

3. Explain the "Dual Aspect" concept of bookkeeping. (2)

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4. Which of the following accounts would normally have a credit balance? (1) (a) Trade Receivables (b) Trade Payables (c) Returns Inwards (d) Carriage Inwards Answer: ____________________

5. A business purchases a delivery van for $20,000, paying$5,000 by cheque and the balance on credit. Identify the three accounts affected. (3)

   1. ____________________ 2. ____________________ 3. ____________________

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Section B: Books of Prime Entry & Journals

Questions 6-12: Focus on the flow of documents and journal entries.

6. Match the business document to its purpose: (2)

   • Credit Note $\rightarrow$ ______________________________________________________
   • Invoice $\rightarrow$ _________________________________________________________

7. In which book of prime entry would a purchase of office equipment on credit be recorded? (1)

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8. Prepare the journal entry to record the purchase of a computer for $1,200 on credit from TechCorp. A narration is required. (4)

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9. State the purpose of a General Journal. (2)

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10. A business returns goods to a supplier. Which book of prime entry is used to record this transaction? (1)

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11. Explain the difference between a Sales Journal and a Sales Account. (2)

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12. Prepare the journal entry to write off a trade receivable of $300 as an irrecoverable debt. A narration is required. (4)

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Section C: Ledger Accounts & Trial Balance

Questions 13-20: Focus on T-accounts and error detection.

13. A business has the following transactions in March:

    • 1 Mar: Balance b/d $2,000
    • 10 Mar: Cash sales $800
    • 20 Mar: Paid rent by cheque $500 Prepare the Cash Book (single column) for March. (4)

    [Space for T-Account]

14. What is the primary purpose of preparing a Trial Balance? (2)

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15. If a transaction is completely omitted from the books, will the Trial Balance still balance? Explain your answer. (2)

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16. Define an "Error of Commission". (2)

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17. A payment of $150 for electricity was correctly entered in the Cash Book but posted to the "Water Rates" account. Identify the type of error. (1)

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18. A purchase of a machine for $2,000 was recorded in the Purchases account. Identify the type of error. (1)

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19. Prepare a T-account for "Trade Payables: Supplier X" given:

    • 1 Jan: Balance b/d $500 (Cr)
    • 15 Jan: Purchased goods on credit $300
    • 30 Jan: Paid Supplier X by cheque $600 Show the balance c/d. (4)

    [Space for T-Account]

20. State whether the following accounts are Assets, Liabilities, Income, or Expenses: (4)

    • Accrued Expenses: ____________________
    • Prepayments: ____________________
    • Bank Overdraft: ____________________
    • Sales Revenue: ____________________