Special Journals: Purchases and Cash Payments
Winning Competitive Events
- The purchases and cash payments journals help merchandise businesses record large numbers of transactions more efficiently.
- Many of the purchases and cash payments transactions affect creditors' accounts in the accounts payable subsidiary ledger.
- When businesses use special journals, proving cash is done at the end of the month.
True or False
- The individual amounts in the Accounts Payable Debit column of the cash payments journal are posted to the accounts payable subsidiary ledger.
- Cash purchases of merchandise are not recorded in the purchases journal.
- Payments made to creditors are recorded in the cash payments journal.
- Which of the following transactions would be recorded in the purchases journal? (A) The purchase of merchandise on account, (B) The cash purchase of supplies, (C) The charge purchase of equipment, (D) Both A and C.
- The source document for an entry in the cash payments journal is (A) a check stub, (B) an invoice, (C) the bank reconciliation form, (D) a debit memo.
Different textbooks sometimes use different terms for the same concept or procedure. Questions on the accounting context examination may include unfamiliar terms for concepts or procedures you know very well. To overcome this possibility, the following list includes terms used in Glencoe Accounting and comparable terms used in other textbooks.
The terms in the left column appear in Glencoe Accounting. The terms in the right column are used in other textbooks to mean the same thing.
|Terms Used in Glencoe Accounting||Also Known As…|
|cash payments journal||cash disbursements journal|
Regular study and review is the best way to get good test results, but there are other things you can do to prepare for the contest.
- Get enough rest the night before the test. Don't try to "cram." If you haven't mastered the material by now, cramming will not help.
- Eat a good breakfast.
- Try to relax. If you've prepared yourself for the test, be confident in your ability to do well.
- Dress in appropriate business attire. Not only will you project a good image of yourself and your school, you will also feel good about yourself and be more confident.
- Before the test date, double-check the location for the examination. Allow yourself enough time to get to the event.
- Be sure to take along the supplies that you will need: pencils, pen, ruler, and eraser. If handheld calculators are permitted, take one along.
- When you arrive at the test location, sit near the front of the room, not in the back.
- Listen to the instructions and guidelines from the test moderator.
- Read the test directions carefully.
- Skim the entire test quickly.
- Begin answering the questions.
- Mark those questions you cannot answer immediately and go on to other questions.
- When you have finished, return to the questions you marked.
Taking True or False Tests
- Read the directions carefully so that you will know how to mark your answers.
- Read each statement slowly and carefully. If any part of the statement is not accurate, then the entire statement is false. For the statement to be true, every part must be true.
- Look for "clue" words that usually make a statement false. Some of these words are always, all, none, only, and very. Words such as usually and generally are often used with true statements.
- Watch for negative statements; these tend to be tricky.
- With true/false tests, your first hunch is usually correct.
- Do not look for a pattern in the answers; there usually isn't one.
Taking Multiple Choice Tests
- Read the directions carefully. Usually only one answer is required; however, sometimes more than one answer may be necessary.
- Read the statement and try to complete it before you look at the choices. If your answer is among the choices, mark it.
- Eliminate the obviously incorrect answers, and then select what you feel to be the correct answer. Test the answer by adding it to the statement and reading the completed statement to yourself.
- If you cannot answer the question, look for words that automatically eliminate certain choices. Eliminate choices that do not fit grammatically with the question. Eliminate choices that seem too vague or general.
Taking Matching Tests
- In matching tests, you are asked to match a term in one column with a term or statement in another column. Read through all the possibilities before answering. Look for the most appropriate answer.
- Unless otherwise noted, an answer may be used more than once. In addition, there are often more choices than are needed.
- Match the items you are sure about first.
- Eliminate inappropriate choices. For example, if a question requires an answer that is a noun, you can eliminate all choices that are verbs. Choose your answer from the remaining choices.
Taking Completion Tests
- These "fill-in-the-blank" questions require specific answers. Read each question carefully and write the best possible answer.
- Check your answer by reading the completed sentence to yourself, to make sure your response makes sense.
Taking Problem Tests
1. To prepare for problem tests, do sample problems over and over until you are sure of yourself.
2. Read through the directions for each problem carefully, to make sure you understand exactly what you are to do.
3. Allow time to check your work, making sure there are no careless calculation errors. Be sure that you have completed each instruction in the problem. You may want to cross off an instruction after you are done with it.