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TRUE OR FALSE
1. When you post a journal entry in Sage 50 Accounting, all modules are immediately updated except the general ledger.
2. When recording a sale to a Pay Later customer in the RECEIVABLES module, the debit is always to Accounts Receivable.
3. Prepayments to vendors are held as debits in the vendor account.
4. The HST/GST paid on purchases is entered as a Contra Liability when the entry is recorded.
5. Conversion means changing from a manual system to a computerized one or changing from one computerized system to another.
6. The employer portion of E.I. and CPP is deducted from the employee and remitted to the Receiver General each month.
7. A purchase quote is a must to be prepared before a purchase order or a purchase invoice
8. The Revenue Recognition Principle and the Matching Principle require that accounts receivable be properly aged and collected.
9. After a transaction is posted to a payment journal, there is possibility to adjust or reverse the Cheque.
10. An allocated journal entry shows the allocation in a third column.
11. Debits on the bank statement increase the bank balance.
12. Bank Charge entries should be entered or recorded in Genera Journal.
13. Prepayments are considered as liabilities of the business; while unearned revenues are assets.
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