CIMA CIMAPRA17-BA3-1 Quiz 2 Topic 1 Questions 6-10

Question: 1

An invoice to Sammy has been entered in the sales day book as $85 instead of $58.

To correct the position, which of the following procedures should be adopted?

ADebit Receivables $27, Credit Sales $27 and increase the balance owing by Sammy

BDebit Receivables $27, Credit Sales $27 and decrease the balance owing by Sammy

CDebit Sales $27, Credit Receivables $27 and increase the balance owing by Sammy

DDebit Sales $27, Credit Receivables $27 and decrease the balance owing by Sammy

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Question: 2

Which of the following explains the concept of capital maintenance?

Athe cost of maintaining an entity's non-current assets in good working condition

Bthe cost of replacing an entity's non-current assets

Cthe raising of new capital by the issue of shares

Dretaining sufficient profits to ensure that closing net assets are at least equal in value to net assets at the beginning of the period

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Question: 3

There are many types of fraud that can happen within a business. On example could be the theft of cash, concealing the theft by delaying banking or by making up the shortage from other sources.

What is this type of fraud called?

AGhost employee

BTheft

CCollusion

DTeeming and Lading

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Question: 4

Store Y believe customer XF will not be able to pay his 300 debt. Which ONE of the following day books should this 'bad debt' be recorded in?

AReturns inwards daybook

BSales daybook

Cjournal

DCash book

EPetty cash book

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Question: 5

Below is some information about Company TYY:

TYY offers a wholesale price for Product P of 650 per 100 quantity.

TYY offers regular customers a 35% trade discount.

On every 15th of the month, TYY offers a 15% cash discount on sales.

MPU wants to make a purchase from TTY for the first time, of900 Product Ps on the 15th of June. How much will MPU pay for this purchase?

A3,232.13

B4,972.50

C3802.50

D5,850.00

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CIMA CIMAPRA17-BA3-1 Quiz:2 Topic:1 Questions:6-10