Purchase Return Book

Q.

Debit note is the basis for recording a transaction in which of the following?

1. Purchase Journal

2. Sales Journal

3. Purchase Return Journal

4. Sales Return Journal

Q.

The total of Purchase Return book is posted to the ___ of purchases return account.

1. Debit

2. Credit

3. Either debit or credit

4. None of the above

Q.

What is the difference between a purchase book and a purchase return book?

Q.

What are three examples of transaction source documents?

Q.

What entry (debit or credit) would you make to (a) increase revenue, (b) decrease in expense, (c) record drawings, (d) record the fresh capital introduced by the owner.

Q.

Which of the following specialised journals record " goods returned by the business"?

1. Sales Journal

2. Purchase Journal

3. Purchase Return Journal

4. Sales Return Journal

Q. Select the most appropriate alternatives from those given below and rewrite the statements :

Heavy advertising expenditure for launching a new product is called as ______.
a) Capital Expenditure
b) Revenue Expenditure
c) Deferred revenue expenditure
d) None of these

Q. Answer in one sentence only :

State the source document required for recording transactions in Purchase Return Book.

Q.

What is a trade credit account?

Q. Sales returns book is used to record __________.

1. returns of fixed assets sold on credit
2. returns of goods sold for cash
3. returns of goods sold on credit
4. none of above

Q. The credit notes issued are used to prepare sales return book.

1. True
2. False

Q. A bill given to a creditor is called bill payable.

1. True
2. False

Q. The source document required for recording transactions in Purchase Return Book.

1. Credit note
2. Cash memo
3. Debit note
4. Credit memo

Q. You are the librarian of St. Peters Public School , Ooty. Draft a letter to sunshine publications 53 Mount Riad, Banglore, placing an order for academic / fiction books.
The quality and the edition of the books you ordered did not meet the promise standards . As the librarian, cancel the order you have placed.

Q. You are a senior accountant of Ramona Enterprises Limited.What three steps would you take to make your company's financial statements understandable and decision useful ?

Q. Match the following:

1. Purchase book
2. Purchase return book
3. Cash book
4. Sales return book