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Kevin operates his pelty cash with an imprest of $120. At the end of one particular week he had vouchers in the petty cash tin of $17.45,$32.16 and $21.94. No other transactions took place. In order to restore the petty cash balance what journal entry should Kevin post? Dr Petty cash $71.55 Cr Bank $71.55 Dr Bank $71.55 Cr Petty cash $71.55 Dr Bank $48.45 Cr Petty cash $48.45 Dr Petty cash $48.45 Cr Bank $48.45 Xiaosheng has purchased goods on credit from Yanlin. Yanlin has agreed that, should Xiaosheng pay for these goods within 14 days of receipt, a 5% discount will be applied Which of the following correctly describes the type of discount from Xiaosheng's point of view, assuming that the invoice is paid within 14 days of receipt of goods? A settlement discount allowed A trade discount received A settlement discount received A trade discount allowed The following statements relate to the reconciliations to external documents (1) It is not possible to reconcile individual supplier balances to external documents (2) Errors made by the bank which are discovered during a bank reconciliation mujst be updated in the business's own accounting system Which of the above statement(s) is/are correct? Neither statement 1 nor statement 2 Both statement 1 and statement 2 Statement 1 only Statement 2 only Chen commenced in business, creating and selling baked goods. They have a single supplier and it allows a 30 . day credit term. Sales are made from a retail unit and are paid for immediately by customers How would you describe the nature of Chen's business transactions? Credit purchases and cash sales Cash purchases and cash sales Cash purchases and credit sales Credit purchases and credit sales Simon was owed \$496.70 from Trevor. He subsequently found out that Trevor had gone bankrupt and could no pay. Simon therefore wanted to write off Trevor's debt. What would be the correct double entry to write off Trevor's debt? Dr irrecoverable debts $496.70 Cr Receivables $496.70 Dr Receivables $496.70 Cr Sales $496.70 Dr Sales $496.70

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