A business has received a credit note. What entries should be made in the business's ledger accounts? (1 mark) Question 2 The owner of a business paid for this family's holiday from the business bank account and recorded the payment as drawings. Which accounting concepts is being applied? A) Accruals B) Business entity C) Going concern D) Prudence (1 mark) Question 3 The owner of a business has decided to create a provision for doubtful debts. Which two accounting concepts are being applied? A) Accruals and going concern B) Accruals and prudence C) Consistency and business entity D) Consistency and prudence How will the recovery of a debt, previously written off, affect the profit, current assets and capital of a business? (1 mark) Question 5 The purchase of a non-current asset was debited to the purchases account. What is the type of error called? A) Commission B) Omission C) Original entry D) Principle (1 mark) Question 6 What does the abbreviation 'Ltd' indicate in the name of a company? A) The amount of debentures that can be issued is limited B) The company's capital is limited to a fixed account C) The shareholder's liability for the company's debt is limited D) The shareholder's liability for the company's debts is unlimited