1.1 Indicate whether the following statements are TRUE or FALSE - NSC Accounting - Question 1 - 2017 - Paper 1
Question 1
1.1 Indicate whether the following statements are TRUE or FALSE. Choose the answer and write 'true' or 'false' next to the question number (1.1.1–1.1.3) in the ANSWE... show full transcript
Worked Solution & Example Answer:1.1 Indicate whether the following statements are TRUE or FALSE - NSC Accounting - Question 1 - 2017 - Paper 1
Step 1
1.1.1 The balance in the Debtors' Control Account should equal the total of the debtors' list.
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Answer
True. The Debtors' Control Account reflects the total amount owed by all debtors and should match the total shown in the debtors' list.
Step 2
1.1.2 Bad debts will be recorded in the Debtors' Allowances Journal.
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Answer
False. Bad debts should typically be recorded in the Bad Debts Expense account, not the Debtors' Allowances Journal.
Step 3
1.1.3 A post-dated cheque received from a debtor must be recorded in the CRJ on the date received.
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Answer
False. A post-dated cheque should not be recorded in the Cash Receipts Journal (CRJ) until the date on the cheque.
