Self Assessment Quizzes

CHAPTER 14: Section 3 Analyzing Cash Receipt Transactions

	1.	A levy imposed by most states on the retail sales price of goods and services is a

		a.	sales discount
		b.	sales tax
		c.	sales allowance
		d.	retail tax

	2.	A merchandise discount is calculated by

		a.	adding the discount rate to the amount of the sale
		b.	dividing the amount of the sale by the discount rate
		c.	multiplying the amount of the sale by the discount rate
		d.	adding the discount rate to the amount of the sale

	3.	A transaction in which money comes in to a business is referred to as a

		a.	sale
		b.	payable
		c.	cash allowance
		d.	cash receipt

	4.	The accounts affected in a bankcard sale are

		a.	Cash in Bank, Sales, and Sales Tax Payable
		b.	Accounts Receivable, Sales, and Sales Tax Payable
		c.	Accounts Payable, Sales, and Sales Tax Payable
		d.	Cash in Bank, Sales Discount, and Accounts Receivable

	5.	If a company sold for cash a file cabinet it was no longer using the accounts affected would be

		a.	Cash in Bank and Sales
		b.	Accounts Receivable and Sales
		c.	Cash in Bank and Office Furniture
		d.	Accounts Receivable and Office Furniture

	6.	When a customer pays on account the accounts affected are

		a.	Sales and Cash Receipts
		b.	Sales and Cash in Bank
		c.	Accounts Receivable and Sales
		d.	Cash in Bank and Accounts Receivable

	7.	Visa, Mastercard and Discover Card are also known as

		a.	bankcards
		b.	retail cards
		c.	bank sales
		d.	process sales

	8.	When a business receives full payment for the merchandise at the time of the sale, it is called a

		a.	cash discount
		b.	sale on account
		c.	cash sale
		d.	cash register

	9.	The amount a customer can deduct from the amount owed for purchased merchandise if payment is made within a specified time is called a

		a.	credit sale
		b.	sales discount
		c.	merchandise discount
		d.	credit memorandum