1211. The method of payment by bill of exchange depend on :
A. Cash basis
B. Credit basis *
C. Reserve basis
D. None of the above
1212. Bill recievable book is a part of the :
A. Journal *
B. Ledger
C. Profit and loss account
D. Balance sheet
1213. A bill of exchange contains :
A. An unconditional order *
B. A promise
C. A request to delive goods
D. A conditional order
1214. A bill of exchange is drawn by :
A. A debtor
B. A creditor *
C. A holder
D. Endorsee
1215. Bill recievable account is a :
A. Nominal account
B. Personal account *
C. Real account
D. Expense account
1216. When a bill is drawn, the drawer credits:
A. Debtors account *
B. Creditors account
C. Bill receivables account
D. Suppliers account
1217. When a bill is discharged , the acceptor debits :
A. Creditors account
B. Cash account
C. Bill payable account *
D. Bill receivable account
1218. At the time of endorsement of a bill, the drawer credits :
A. The drawee account
B. The endorsee’s personal account
C. Bill receivable account *
D. Endorsee’s account
1219. Retiring a bill under rebate means :
A. Paying the bill in full by the due date *
B. Paying the bill later than the due date
C. Dishonouring bill
D. None of the above
1220. The drawee debits: at the time of bill endorsement.
A. Bill payable account
B. Other party’s account
C. No account ( No entry) *
D. None of the above