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Correct answer
D. General journal
Explanation
General journal is the correct answer. Review the question and compare it with the other choices to remember this fact for future exams.
Correct answer
A. Sales tax paid in connection with the purchase of office equipment
Explanation
C. A revenue expenditure is an expenditure whose benefit expires within the current accounting period and is in the nature of recurring and is therefore written off to P&L A/c. Sales tax paid in connection with the purchase of office equipment is a non-recurring expenditure whose benefit is going to last for more than one accounting period and hence not a revenue expenditure
Correct answer
B. Marshalling Balance Sheet
Explanation
Marshalling Balance Sheet is the correct answer. Review the question and compare it with the other choices to remember this fact for future exams.
Correct answer
C. Ledger accounts
Explanation
Ledger accounts is the correct answer. Review the question and compare it with the other choices to remember this fact for future exams.
Correct answer
D. Debit Profit and Loss Account and deduct the provision from debtors
Explanation
The adjustment for provision for bad debts account given in the adjustments is to debit P&L A/c and deduct from Sundry Debtors, the amount of provision for bad debts. Provision for bad debts is created against Sundry Debtors and therefore deducted from Sundry Debtors and Debited to P&L A/c as it is a charge against P&L A/c.
Correct answer
D. Decrease in capital
Explanation
Decrease in capital is the correct answer. Review the question and compare it with the other choices to remember this fact for future exams.