Business transaction is classified into:

1. Two categories
2. Three categories
3.  Four categories 
4.  Five categories

Which of the following is not a book of original entry?

1.  Cash book
2. Purchases journal
3.  Returns outwards journal
4. Sales ledger

(iii)    The purchases of machinery for a business paid by cheque should be debited to:

1.   bank account, credit machinery account
2.  cash account, credit machinery account 
3.  machinery account, credit bank account
4.  machinery account, credit cash account.

(iv)    The money or money worth put into business by the owner is known as:

1.  assets
2. business
3. capital
4. investment

(v)      A cheque which is denied payment by the bank is known as:

1.  bank cheque
2.  dishonoured cheque
3.  honoured cheque
4. uncredited cheque

(vi)    The total of the discount allowed in a cash book is posted to the:

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

(vii)  Unpresented cheques are those which appear on:

1.  credit side of bank sheet but not seen on the debit side of cash book.
2.  credit side of the cash book but not seen on the debit side of bank statement.
3. debit side of bank sheet but not seen on the credit side of cash book.
4. debit side of the cash book but not seen on the credit of bank statement.

(viii) The document which gives description of goods bought on credit is:

1. cash sale
2. credit note
3.  invoice
4.  receipt

(ix)    An alternative name for a purchases journal is:

1.  cash purchases
2. purchases day book
3. sales day book 
4.  sales ledger

(x)      The credit entry for net profit is on the credit side of the:

1.  capital account
2.   drawing account
3.   profit and loss account 
4.  trading account.