Tag: accounting procedures - rules of debit and credit

Questions Related to accounting procedures - rules of debit and credit

Model which states decline in extra time needed to produce last unit, every time for cumulative quantity of doubled units produced is classified as _____________________.

book keeping and accountancy accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. incremental unit average model

  2. incremental cost learning model

  3. incremental unit time learning model

  4. incremental price learning model

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Correct Option: C

Single entry system is known as incomplete system of recording accounting information.

book keeping and accountancy accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. True

  2. False

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Correct Option: A

When a buyer returns damaged goods to the seller, the buyer receives ______________.

book keeping and accountancy accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. credit note.

  2. pro forma invoice.

  3. debit note.

  4. consignment note.

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Correct Option: A

Double Entry System of Book-keeping is the most ______________ system of recording business transaction.

book keeping and accountancy accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. perfect

  2. scientific

  3. complete

  4. all of the above

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Correct Option: D

'Munimji' is a nation wide popular word for' Accountant'.

commercial studies accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. True

  2. False

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Correct Option: A

Conventional system of accounting is recognised by law.

commercial studies accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. True

  2. False

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Correct Option: B

Single entry system is suitable to _________ firms.

book keeping and accountancy accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. small

  2. big

  3. medium

  4. all of these

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Correct Option: A

Only cash book and personal accounts are maintained under which system of recording accounting information?

book keeping and accountancy accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. Mahajani system

  2. Single entry system

  3. Double entry system

  4. All of the above

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Correct Option: B

What is the assumption of Double entry system of recording accounting information?

commercial studies accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. Every transaction has one effect.

  2. Every transaction has two effect.

  3. Every transaction has multiple effect.

  4. None of the above.

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Correct Option: B

Accounts other than the impersonal account is _________.

commercial studies accounting procedures - rules of debit and credit modern approach of rules of accounts meaning and classification of accounts classification of accounts

  1. Personal account

  2. Real account

  3. Nominal account

  4. Both B and C

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Correct Option: A
Explanation:

IMPERSONAL ACCOUNT:In the accounts of the nominal ledger, we have different types of expenses for different purposes like rent, insurance, telephone and others. As these expenses are related NOT to the person to whom the money is paid and more concerned towards the reason for payment these are known as IMPERSONAL accounts.


Impersonal accounts are all accounts other than the personal accounts. They can further be categorized into Real Accounts and Nominal Accounts.