I) Answer the following questions briefly

1) What is a customer account write-off?

2) How do you record a seniors discount?

3) Describe the procedures to be taken to convert a Sales Quote into a Sales Order. 4) Give the journal entry for a merchandise purchase return of $300.00. plus HST of $39.00 II) Choose the best answer for the following questions

1) The journal entries to record a Purchase Return in a perpetual inventory are:

a) Debit Accounts Payable and Credit Purchase Return

b) Debit Accounts Payable and Credit Inventory

c) Debit Inventory and Credit Accounts Payable

d) Debit Purchases and Credit Accounts Payable

2) A non-merchandise transaction such as utilities, drawings, supplies etc

a) Entered in a purchase Journal, if it will paid later just as any other purchases

b) Entered in the Payments Journal, if it is paid when you get the bill/invoice

c) A vendor sub ledger should be created for each non-merchandise supplier

d) All of the above

3) What type of journals and transactions are used in the Receivables Module?

a) Sales of Merchandise or services transactions & Sales Journal

b) Purchases of merchandises, non-merchandise & services transactions

c) Payment Journal only d) General Journal only

4) Purchase and Payment to a one-time vendor can be entered

a) In Purchase invoices Journal and select Cheque option

b) In Payment Journal and select Make Other Payment Option

c) In Receipt Journal Pay expenses Icon- Make other payment option

d) a and b correct

III) Answer the following questions by stating whether they are True or False

1) If a customer wants to pay an outstanding invoice by credit card you use Payments Journal to record the entry.

2) A deposit (prepayment by the customer) of a customer is recorded in a Sales Order Journal.

3) The HST Charged on Sales or GST Charged on Sales is entered as a Contra Liability when the entry is recorded.

4) A purchase order can be entered without a purchase quote being recorded.

5) Once a cheque is posted in a payments journal, there is no possibility to adjust or reverse the Cheque.

6) Bank Charge entries would be entered in the GL and would not affect the Vendor Ledger because it does not concern any vendor and a cheque is not affected.

7) Merchandise inventory includes office supplies account that is purchased for use or consumption.