Tag: meaning, importance and components of voucher

Questions Related to meaning, importance and components of voucher

Which of the following accounts have only credit balance?

book keeping and accountancy origin of transactions - source documents and preparation of vouchers meaning, importance and components of voucher bank book and petty cash book source documents

  1. Accounts payable account

  2. Salaries outstanding account

  3. Reserve fund account

  4. All of the above accounts

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Correct Option: D
Explanation:

An accounts assigned normal balance is on the side where increases go because the increases in any account are usually greater than the decreases. Therefore, asset, expense, and owner's drawing accounts normally have debit balances. Liabilities, revenue, and owner's capital accounts normally have credit balances.

Which among the following is an example of a voucher? 

business organisation origin of transactions - source documents and preparation of vouchers meaning, importance and components of voucher bank book and petty cash book source documents petty cash book

  1. A bill

  2. An Invoice

  3. A Receipt

  4. All of the above

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Correct Option: D
Explanation:

Any documentary evidence supporting the entries recorded in the books of accounts, establishing the arithmetic accuracy of the transaction, may also be referred to as a voucher for example, a bill, invoice, receipt, salary and wages sheet.

In analytical petty cash book, for what purpose separate column is provided?

book keeping and accountancy subsidiary books - 2 petty cash book meaning, importance and components of voucher bank book and petty cash book

  1. To record particular item of expenditure.

  2. To record particular item of receipts.

  3. Both (a) and (b)

  4. None of the above.

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Correct Option: A

The balance in petty cah book represents ____________ .

book keeping and accountancy subsidiary books - 2 petty cash book meaning, importance and components of voucher bank book and petty cash book

  1. expenses

  2. net income

  3. cash-in-hand with petty cashier

  4. none of the above

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Correct Option: C

Journal entry on submission of accounts by the petty cashier is :-
          Petty Cash A/c               Dr.
                To Expenses A/c 

book keeping and accountancy subsidiary books - 2 petty cash book meaning, importance and components of voucher bank book and petty cash book

  1. True

  2. False

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Correct Option: B

Jornal entry for recording wages expense in petty cash book is __________.
      Wages A/c        Dr.
              To Petty Cash A/c.

book keeping and accountancy subsidiary books - 2 petty cash book meaning, importance and components of voucher bank book and petty cash book

  1. True

  2. False

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Correct Option: A

Petty cashier records petty cash received on debit side.

book keeping and accountancy subsidiary books - 2 petty cash book meaning, importance and components of voucher bank book and petty cash book

  1. True

  2. False

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Correct Option: A
Explanation:

Cash received by the petty cashier is recorded on debit side and all payments for petty expenses are recorded on credit side in one column.

Posting in the ledger from Analytical Petty Cash Book is made at the end of the period.

book keeping and accountancy subsidiary books - 2 petty cash book meaning, importance and components of voucher bank book and petty cash book

  1. True

  2. False

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Correct Option: A

When using a petty cash system, the replenishment of the fund would normally include a debit to _______________.

commercial studies subsidiary books - 2 petty cash book meaning, importance and components of voucher bank book and petty cash book

  1. Cash.

  2. Petty Cash.

  3. Revenues.

  4. None of the above

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Correct Option: A

Payments in cash of small amounts like travelling expenses, postage, carriage,etc. are recorded in the ______________.

commercial studies subsidiary books - 2 petty cash book meaning, importance and components of voucher bank book and petty cash book

  1. Main Cash Book

  2. Petty Cash Book

  3. Cash Budget

  4. Journal proper

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Correct Option: B