3. Which of these business organisation has a separate legal entity from its owners and the owners are NOT liable for the debts of the business? a) Sole Proprietorship b) Partnership c) Private limited company d) All of the above 4. Mariah has returned goods which she purchased on credit. What journal entry should Mariah make in her accounts? O a) Debit Trade Payable; Credit Purchase Return b) Debit Purchase Return; Credit Trade Payable c) Debit Trade Payable; Credit Sales Return d) Debit Purchase; Credit Trade Payable

5. Which of the following accounting equation is not true? a) Assets = Liabilities + Owner's Equity b) Owner's Equity = Capital + Drawings + Revenues - Expenses c) Profit (+)= Total revenue - Total expenses d) Loss ()= Total revenue - Total expenses 6. Owner's equity will decrease when I. The business obtains net loss II. The owner pays the business debt using his own pocket money III. There is an additional capital from the owner IV. The owner takes business goods for personal use a) I and II b) I and IV c) I, II and IV d) II, III and IV