Accounting Mcqs

Page No. 57

Which of the following statements is/are true ?


aA sale of an asset is recorded in the Sales Book


bTotal of Return Outward Book is debited to Return Outward Account


cThe balance of Petty Cash Book is a liability


dCash Book is a subsidiary book as well as a ledger



Amount paid to Masood posted to the credit side of his account would affect___________?


aMasood’s account


bCash account


cCash account and Gagan’s account


dNone of these


View Answer Masood’s account

Total depreciation of an asset cannot exceed its:


aScrap value


bResidual value


cMarket value


dDepreciable value


View Answer Depreciable value

A chart of accounts generally start with which of the following types of accounts?


aAssets accounts


bliability accounts


cCash accounts


dRevenue accounts


View Answer Assets accounts

The first step in accounting process is___________?


aRecording the transaction


bIdentifying the transaction


cPosting the transaction


dPreparing the source documents



Discount for quick repayment of debt is normally referred as____________?


aTrade discount


b Prompt payment discount


cCash discount


dBulk discount


View Answer Cash discount

Which of the following accounts will be credited if a company purchases building for cash?


aCapital account


bFixed assets account


cBuilding account


dCash account


View Answer Cash account

In which of the following orders data is entered in journal?


aAlphabetical order


bNumeric order


cBullets order


dChronological order


View Answer Chronological order

The standard format of journal does not include which of the following?


aAssets column


bDate column


cDescription column


dAmount column


View Answer Assets column

Journals are also referred as_____________?


aBook of entries


bBook of original entries


cT account


dBooks of economic event



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