Books of original entries - Journals MCQs

11)

_________ is the evidence that a transaction took place

A)  Source documentsRIGHT ANSWER!!!

B)  LedgerWRONG ANSWER

C)  BondsWRONG ANSWER

D)  JournalsWRONG ANSWER


12)

Which of the following will be debited if a business purchases goods on credit?

A)  CashWRONG ANSWER

B)  DebtorWRONG ANSWER

C)  CreditorWRONG ANSWER

D)  PurchasesRIGHT ANSWER!!!


13)

Which of the following accounts will be debited if the business's owner withdraws cash from business for his personal use?

A)  DrawingsRIGHT ANSWER!!!

B)  CashWRONG ANSWER

C)  BusinessWRONG ANSWER

D)  StockWRONG ANSWER


14)

Journals are also referred as

A)  Book of entriesWRONG ANSWER

B)  Book of original entriesRIGHT ANSWER!!!

C)  T accountWRONG ANSWER

D)  Books of economic eventWRONG ANSWER


15)

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

A)  Assets columnRIGHT ANSWER!!!

B)  Date columnWRONG ANSWER

C)  Description columnWRONG ANSWER

D)  Amount columnWRONG ANSWER


16)

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

A)  Alphabetical orderWRONG ANSWER

B)  Numeric orderWRONG ANSWER

C)  Bullets orderWRONG ANSWER

D)  Chronological orderRIGHT ANSWER!!!


17)

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

A)  Capital accountWRONG ANSWER

B)  Fixed assets accountWRONG ANSWER

C)  Building accountWRONG ANSWER

D)  Cash accountRIGHT ANSWER!!!


18)

Discount for quick repayment of debt is normally referred as

A)  Trade discountWRONG ANSWER

B)  Prompt payment discountWRONG ANSWER

C)  Cash discountRIGHT ANSWER!!!

D)  Bulk discountWRONG ANSWER


19)

The first step in accounting process is

A)  Recording the transactionWRONG ANSWER

B)  Identifying the transactionRIGHT ANSWER!!!

C)  Posting the transactionWRONG ANSWER

D)  Preparing the source documentsWRONG ANSWER


20)

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

A)  Assets accountsRIGHT ANSWER!!!

B)  liability accountsWRONG ANSWER

C)  Cash accountsWRONG ANSWER

D)  Revenue accountsWRONG ANSWER