Quiz Answers

1. Entry on Post Goods Issue is

- Used in Sales and Distribution
- This is when you deliver your products

Dr. Cost of Goods Sold (COGS) 2000

Cr. Inventory 2000

2. Entry Created in Vendor Invoice Verification

- Used in Material Management
- Used to know how much vendor costed the process

Dr. GRIR 2000

Cr. Accounts Payable 2000

3. Entry upon Goods Received

- Used in Materials Management
- To post when items get delivered bought from a vendor

Dr. Inventory 2000

Cr. GRIR 2000

4. Entry Created upon Releasing Billing Document to Accounting

- Used in Sales and Distribution
- To determine price going to be billed to the customer

Dr. Sales Revenue 2500

Cr. Cost of Goods Sold 2000

ANSWER:

Dr. AR

Cr. Sales Revenue

5. Normal Balance of Cost of Goods Sold is DEBIT

6. Normal Balance of Sales Revenue is CREDIT
7. Entry upon Receiving Goods from Production ( Recog of FG) to become available to selling to
customer
Dr. Finished Goods 2000

Cr. Cost of Goods Manufactured 2500

Answer:

Cr. Standard Manufacturing Cost Contra

8. Entry upon Confirmation of Materials for Production

Dr. Materials Consumed 2000

Cr. Raw Materials 2000

9. Entry when Post Goods Issue is reversed due to Customer Return

Dr. Inventory 2000

Cr. Cost of Goods Sold 2000

10. Entry Cancellation of Billing Document

Dr. Sales Revenue

Cr. Cost of Goods Sold

Answer:

Dr. AR

Cr. Sales Receivable

11. Recorded upon Cancelation of Goods to Vendor

Dr. Accounts Payable

Cr. Inventory

12. Entry Recorded when doing Transfer of Stocks from one Storage lOcation to Anoter Location

Dr. Inventory A

Cr. Inventory B

Answer

- Value of material is based on company code or per plant

 - NO ENTRY

13. Entry Created for Vendor Invoice

Dr. Accounts Payable

Cr. Cash

Answer:

Dr. GRIR

Cr. AP

14. Normal Balance of AP is CREDIT

15. Normal balance of AR is DeBIT
16. Normal Balance of Cash is DEBIT
17. Give Examples of Assets
a. Cash
b. AR
c. Inventory
d. Office Supplies
18. Give 3 Examples of Liabilities
a. AP
b. Interest Payable
c. Tax Payable
19. Entry Recording consumption of Supplies at Cost Centers

Dr. Raw Materials

Answer:

Dr. Supplies Expense

Cr. Supplies Inventory.

20. Entry Recording Insurance Policy Acquired ASSET METHOD

Dr. Accrued Insurance Expense

Cr. AP

21. Entry Recording Insurance Policy Squired EXPENSE Method

Dr. Insurance Expense

 Cr. Accrued AP

22. Recording Supplies as Inventory

Dr. Inventory

Cr. Cash