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8 views

Questions

Uploaded by

Ahamed Hussain
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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1. Which of the following cannot be recorded in book of accounts?

a) Goods worth Rs. 40,000 sold for cash.

b) Purchase of factory building Rs. 5 crore

c) Rent paid Rs. 20,000.

d) Delay in supply of raw materials costing Rs. 5,000.

2. The accounting equation states that

a) Assets are equal to capital plus liabilities.

b) Assets are equal to capital minus liabilities.

c) Liabilities are equal to capital plus assets.

d) Capital minus liabilities is equal to assets.

3. A business has unsold stock at the end of the year. The Cost price is Rs. 15,000 and its market
price is Rs. 20,000. At which price the unsold stock should be recorded?

a) 15,000

b) 5000

c) 20000

d) 35000

4. What will be the affected accounts in case of goods sold for cash?

a) Sales A/c and Cash A/c

b) Only Cash A/c

c) Only Sales A/c

d) None of these

5. Which accounts will be affected in case of Cash Rs. 10,000 introduced in business as Capital
by Aman?

a) Only Cash account

b) Only Capital account

c) Cash and Capital account

d) None of these
6. How many accounts will be affected for transaction when cash paid for rent Rs.5,000 and for
salary Rs. 3,000.

a) 4

b) 3

c) 1

d) 2

7. Which one will be the correct entry for commenced business with cash?

a) Cash a/c dr to capital a/c

b) Capital a/c dr to cash a/c

c) Cash a/c dr to business

d) None of these

8. Which account will be debited for withdrawing cash for personal use?

a) Cash a/c

b) Goods a/c

c) Drawing a/c dr

d) Capital a/c

9. If Umesh has sold goods for cash, the entry will be recorded :

a) In the Cash Book

b) In the Sales Book

c) In the proper Journal

d) None of the above

10. The balance in the Cash Book is :

a) An expense

b) A profit

c) An asset

d) A liability
11. Write the two aspects (effects) of the following transactions:

1) Owner brings cash in business

2) Goods sold for cash

3) Furniture purchased for cash

4) Received cash from Sharma

5) Purchased machine from Rama on credit

6) Salaries paid

12. From the following information, prepare Profit & Loss Account of M/s Sarthak Traders for the
year ending on 31.03.2012.

Gross Profit 43,000

Discount allowed to customers 7,000

Salaries 45,000

Interest paid on loan 13,000

Postage 2,400

Discount received from creditors 6,000

Commission received 1,000

Sales expenses 10,000

13. Record the following transactions in a Simple Cash Book of M/s Rahul & Co.

Date Amount
2021 Rs.

July. 01 Cash in Hand 25,000

July. 06 Received from Radhika (after allowing a discount 350) 3,000

July. 10 Paid Advertising expense 300

July. 18 Sold Goods 5,500

July. 23 Paid Abhi 4,500

July. 27 Purchased Machinery 4,000

July. 31 Paid Rent 1,500


14. Prepare Journal and post into ledger the following transaction of Mr. Garib Chand and Sons.

2022 Particulars

Feb. 1 Paid cash to Dinesh 16,800

Discount received 200

Feb. 2 Goods sold to Dinesh 20,000

Feb. 3 Goods returned by Dinesh 500

Feb. 5 Purchased goods on Credit from:

Ram 15,000

Hari 5,000

Feb. 6 Received commission in Cash 600

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