Practice Test

Q1) The rent paid to the landlord is credited to Show Answer

Q2) Sunset Tours has a Rs.3,500 account receivable from Rotary. On January 20 , the Rotary makes a partial payment of Rs.2100 to Sunset Tours >The journal entry made on January 20 by Sunset Tours to record this transactions includes Show Answer

Q3) Which financial statement represents the accounting equations , assets=Liabilities + Owner's equity Show Answer

Q4) In Double Entry System of Book-keeping every business transactions affects Show Answer

Q5) A Sale of goods to ram for cash should be debited to Show Answer

Q6) A withdrawal of cash from business by the proprietor should be credited to : Show Answer

Q7) Journal and Ledgers records transactions in Show Answer

Q8) Debit means Show Answer

Q9) Credit means Show Answer

Q10) Which of the following is correct ? Show Answer

Q11) Journal is a book of Show Answer

Q12) the process of recording a transaction in the journal is called Show Answer

Q13) L.F. (i.e. Ledger Folio Column) in the journal is filled at the time of Show Answer

Q14) Star tours has a Rs.5,000 account receivable from Mr.X .On feb 5, Mr. X makes a partial payment of Rs.3,000 to star tours .The journal entry made on feb 5 by star tour to record this transaction include Show Answer

Q15) Employees took stock costing Rs.1,000 (sale price Rs.1,200) in this case Show Answer

Q16) Income tax Liability of a proprietor paid should be debited to Show Answer

Q17) Goods costing Rs.1,000 (Sale price Rs.1,200) stolen should be credited to Show Answer

Q18) Goods costing Rs.1,000 (Sale price Rs.1,200) destroyed by fire should be credited to Show Answer

Q19) Goods costing Rs.1,000 (Sale price Rs.1,200) distributed as free sample should be credited to Show Answer

Q20) Goods costing Rs.1,000 (Sale price Rs.1,200) given as charity should be credited to Show Answer

Q21) Rent paid to Ram a landlord should be debited to Show Answer

Q22) A withdrawal of cash from bank should be debited to : Show Answer

Q23) A withdrawal of cash from bank for personal use should be credited to : Show Answer

Q24) A withdrawal of cash for personal use should be debited to : Show Answer

Q25) On receipt of Rs.975 from Sam on his account for Rs.1,000. Sam's account should be credited with Show Answer

Q26) On receipt of Rs.975 from Sam in full settlement of his account for Rs.1,000. Sam's account should be credited with Show Answer

Q27) On purchase of goods of the list price of Rs.10,000 from Ram who allowed 10 % trade discount & 5 % cash discount for immediate payment Show Answer

Q28) on purchase of goods of the list price of Rs.10,000 from Ram who allowed 10 % trade discount & charged 10 % VAT purchase account to be debited with Show Answer

Q29) Goods sold to Ram for cash Rs.1,000 Show Answer

Q30) Received a first & final dividend of 60 paise in the rupee from the official receiver of Mr.Raj who owed us Rs.1,000 Show Answer

Q31) on purchase of a machine Rs.100 paid to worker as wages for installing the machine Show Answer

Q32) on purchase of an old machine the machine was repaired at a cost of Rs.1,000 Show Answer

Q33) The return of goods by a customer should be debited to Show Answer

Q34) Ram paid Rs.900 towards a debt of Rs.950 which was written off as a bad debt in the previous year Show Answer

Q35) After the preparation of the trial balance the accountant finds that the total of debit side is short by Rs.1,500.This difference will be Show Answer

Q36) the following is not a book of original entry. Show Answer

Q37) the following is a book of original entry & also part of the ledger Show Answer

Q38) The _______ column of the journal is not entered at the time of Journalizing.
Show Answer

Q39) Recording of transaction in the journal is called _______.
Show Answer

Q40) Goods or Amount taken by proprietor for his personal use should be debited to _________.
Show Answer

Q41) Cash purchases of goods should be credited to _____.
Show Answer

Q42) Wages paid for installation of machinery should be debited to _______.
Show Answer

Q43) The rent paid to the land lord should be debited to ______.
Show Answer

Q44) Paid salary to Mandar should be debited to ______.
Show Answer

Q45) The amount brought in by the proprietor in the business should be credited to ______.
Show Answer

Q46) A payment of Rs.100 to Kokate Carriage Co. for brining a machine to the business place should debited _______.
Show Answer

Q47) A purchase of horse in cash should be debited to _______.
Show Answer

Q48) Accounting cycle or accounting process includes ____. Show Answer

Q49) __________ includes identifying , recording ,classifying and summarizing the transactions. Show Answer

Q50) In which order the accounting transactions and events are recorded in the books? Show Answer

Q51) Journal is the books of _____in which every transactions is recorded before being posted into the ledger. Show Answer

Q52) ________ is a book in which all the business transactions are originally recorded in chronological order and from which they are posted to ledger accounts at any convenient time. Show Answer

Q53) Journal has ____ columns. Show Answer

Q54) Transactions which are inter- connected and have taken place simultaneously are recorded by means of a ______. Show Answer

Q55) The process of recording transaction in journal is termed as _____. Show Answer

Q56) Journal is book of ________. Show Answer

Q57) The process of equalizing the two sides of an account by putting the difference on the side where amount is short is known as ______. Show Answer

Q58) Journal and ledger records transactions in ______. Show Answer

Q59) What is the order in which the accounting transactions and events are recorded in the books? Show Answer

Q60) In Journal Entries which pertain to outstanding entries, prepaid entries, depreciation entries are called Show Answer

Q61) Ganesh's salary is Rs. 10,000 per month. During a month, he withdrew goods worth Rs. 2,500 for personal use and also got salary Rs. 9,500 in cash. The excess payment of Rs. 2,000 will be debited to - Show Answer

Q62) Real A/c debit balance indicates - Show Answer

Q63) Nominal A/c debit balance indicates - Show Answer

Q64) Purchase book records: Show Answer

Q65) A debit note issued to a creditor for goods returned by us is to be recorded in the - Show Answer

Q66) When a cheque received is endorsed, entered on - Show Answer

Q67) Vignesh received a cheque of Rs.6,000 from Shiva and endorses it to Rashmi in payment of a loan. Rashmi deposits this cheque in bank. The cheque was dishonored and returned after a week. Which account will Rashmi credit - Show Answer

Q68) If a cheque is returned dishonoured, it is recorded in Show Answer

Q69) Which of the following is not a contingent liability? Show Answer

Q70) Kiran used the amount in business by selling his old personal car to Surya. The entry of this transaction in Journal will be - Show Answer

Q71) Normally the following accounts are balanced – Show Answer

Q72) In case of debt becoming bad, the amount should be credited to Show Answer

Q73) A ltd. has Rs.35,000 accounts receivable from Mohan. On January 20, Mohan makes a partial payment of Rs.21,000 of A ltd. The journal entry made on January 20 by A ltd. to record this transaction includes: Show Answer

Q74) Which Account is the odd one out? Show Answer

Q75) The debts written off as bad,if recovered subsequently are Show Answer