Tag: journal - book of original entry

Questions Related to journal - book of original entry

When a firm maintains a cash book, it need not maintain _______________.

  1. Journal Proper

  2. Purchase(journal)book

  3. Sales(journal)book

  4. Bank and cash account in the ledger


Correct Option: D
Explanation:

When a firm maintains a cashbook,  it does not need to maintain Separate Bank and cash account in the ledger.

The prime entry for the acquisition of a cash book, ledgers and a journal for Rs 240 from X Ltd. on credit would be in the:

  1. Journal

  2. purchases Day Book

  3. Cash Book

  4. None of the above


Correct Option: A

The journal entry to account for the acquisition on credit of factory machinery from Millet plc should require which of the following:

  1. Debit Factory account and credit Millet plc account

  2. Debit Machinery account and credit Millet plc account

  3. Debit Millet plc account and credit Machinery account

  4. Debit Machinery account and credit Cash account


Correct Option: B

An office equipment bought on credit would first be entered by the purchaser in the ________________.

  1. Returns Outward Book.

  2. Purchase Day Book.

  3. Journal Proper.

  4. Sales Day Book returns Inward Book.


Correct Option: C

Another name of journal is _____________.

  1. Specialized journal

  2. Day book

  3. Cash book

  4. Record book


Correct Option: B

_______ is a book of account, in which all types of accounts relating to assets, liabilities, capital, expenses and revenues are maintained. 

  1. Ledger

  2. Journal

  3. Primary entry book

  4. None of above


Correct Option: B

Credit sale of various assets or investments will be recorded in ____________.

  1. General Jounal

  2. Sales Book

  3. Cash Book

  4. Purchase Book


Correct Option: A

_______ is a book in which all the business transactions are originally recorded in chronological order and from which then are posted to the ledger accounts at any convenient time. 

  1. Ledger

  2. Journal

  3. Purchases return books

  4. Sales book


Correct Option: B

Journal is book of _______________.

  1. Analytical record

  2. Chronological record

  3. Alphabetical record

  4. None of above


Correct Option: B