Recording Of Transactions 2(11th Grade > Accountancy ) Questions and answers for exam Preparation

11th Grade > Accountancy

RECORDING OF TRANSACTIONS 2 MCQs

Total Questions : 30 | Page 2 of 3 pages

Question 11. Which of the following is a type of Cash Receipt Journal + Cash Payments Journal?

Bank Statement
Statement of Cash Flow
Cash Book
Cash Documents

Discuss Question

Answer: Option C. -> Cash Book
:
C
Cash receipts as well as payments are recorded in cash book.

Question 12. A Credit Note is the basis for recording a transaction in which of the following?

Purchase Journal
Sales Journal
Purchase Return Journal
Sales Return Journal

Discuss Question

Answer: Option D. -> Sales Return Journal
:
D
A Credit Note is the basis for recording a transaction in Sales Return Book.

Question 13. Which of the following is incorrect with regards to the sales return book?

Used to keep a list of all the invoices sent out to customers each day
Referred to as a 'book of prime entry' or 'primary record'.
A chronological listing of sales returns
Records the value of goods returned to the business by buyers, dealt with by the issue of credit notes

Discuss Question

Answer: Option A. -> Used to keep a list of all the invoices sent out to customers each day
:
A
A sales journal is used to keep a list of all the invoices sent out to customers each day.

Question 14. From the following particulars what shall be balance of the Petty Cash Book under Imprest system:
Jan. 1. Received from the Chief Cashier as imprest cash Rs 4000.
Jan. 2. Paid Taxi hire Rs 200.
Jan. 3. Paid postage Rs 280 and stationery Rs 60.
Jan. 7. Paid Rs 720 for repairs of typewriter.

Rs 4000
Rs 2740
Rs 3460
Rs 3740

Discuss Question

Answer: Option B. -> Rs 2740
:
B
Rs 4000 - Rs 200 - Rs 280 - Rs 60 - Rs 720

Question 15. Claire wants to establish a Rs250 petty cash fund for her business. She requested a cheque for Rs250. What is the correct journal entry to record the transaction?

Debit Cash Rs250 and credit Petty Cash Rs250
Debit Petty Cash Rs250 and credit Cash Rs250
Debit Petty Cash Rs250 and credit Bank Rs250
Debit Petty Cash Rs250 and credit Miscellaneous Expense Rs250

Discuss Question

Answer: Option C. -> Debit Petty Cash Rs250 and credit Bank Rs250
:
C
Petty Cash A/c Dr Rs250
To Bank A/c Rs250

Question 16. The amount brought in by owner of the business should be credited to?

Owner`s Funds
Drawings
Cash
Bank

Discuss Question

Answer: Option A. -> Owner`s Funds
:
A
The amount brought in by owner of the business should be credited to owner's funds.

Question 17. The company sells product A for Rs 65,000 on credit. The company receives a payment for the Rs 65,000 invoice above in cash. Which account shall be credited?