Tag: accounting in business

Questions Related to accounting in business

The other name of journal is ________.

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. Ledger

  2. T account

  3. Day book

  4. Cash book

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Correct Option: C
Explanation:

The other name of Journal is Day Book. 

A journal is also named the book of original entry, from when transactions were written in a journal prior to manually posting them to the accounts in the general ledger or subsidiary ledger.

Cash purchases is recorded in which of the following specialized journals?

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. Purchase journal

  2. Sales journal

  3. Purchases return journal

  4. Cash payments journal

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Correct Option: D

Errors are corrected via the Journal because  ____________________.

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. It saves entering them in the ledger

  2. It is much easier to do

  3. It provides a good record explaining the double entry records

  4. It saves the bookkeepers time

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Correct Option: C

The reason for totaling at the end of the page of a journal is ______________.

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. It makes whole system more convenient

  2. As the calculations are lengthy it is more comfortable

  3. It is a general practice

  4. All of the above

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Correct Option: D

Generally journal is kept in a ______________.

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. Mathematical method

  2. Columnar method

  3. Straight method

  4. None of the above

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Correct Option: B

Cash received from debtor is recorded in which of the following specialized journals?

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. Purchase journal

  2. Sales journal

  3. Cash receipts

  4. Cash payments journal

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Correct Option: C

Sales and purchase journal don't record ___________.

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. credit sales

  2. credit purchases

  3. credit sales and purchases

  4. cash sales and purchases

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Correct Option: D

Worn out assets on sale are recorded in __________.

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. sales journal

  2. cash journal

  3. petty cash journal

  4. general journal

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Correct Option: D

In ledger J.F. denotes __________.

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. Page number

  2. Folio

  3. Both a & b

  4. None of the above

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Correct Option: C

The following comments all relate to the recording process. Which of these statements is correct?

elements of accounts accounting in business journal - book of original entry purchases and sales book meaning and importance of journal

  1. The general journal is a chronological record of transactions.

  2. The general ledger is posted from transactions recorded in the general journal.

  3. The trial balance provides the primary source document for recording transactions into the general journal.

  4. Transposition is the transfer of information from the general journal to the general ledger.

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Correct Option: A