Tag: meaning and types of subsidiary books

Questions Related to meaning and types of subsidiary books

Goods purchased on cash are recorded in the ____________________.

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. Purchase(journal)book

  2. Sales(journal)book

  3. Cash book

  4. Purchase return(journal)book

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Correct Option: C
Explanation:

 Cash Book records all receipts of and payments in cash. 

Ledger is a subsidiary book.

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. True

  2. False

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Correct Option: A
Explanation:

( True) Ledger is a subsidiary book.

Transaction recorded both on debit and credit side of cash book is known as contra entry.

Petty cash book is a book having record of big payments.

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. True

  2. False

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Correct Option: B
Explanation:

 Petty cash book is used for recording a large number of small payments such as conveyance, cartage, postage, telegram and other expenses (miscellaneous expenses) which are usually in nature.

Journal proper is used for recording only those transactions as cannot be recorded in any of the other __________ books.

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. ledger

  2. journal proper

  3. trial balance

  4. subsidiary book

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Correct Option: D

A subsidiary record is a book ________________.

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. of subsidiary entry.

  2. containing the final account.

  3. of final entry.

  4. of original entry.

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Correct Option: D

Which of the following is/are not subsidiary books ? 

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. Purchases Returns Book

  2. Cash Book

  3. Journal proper

  4. All of the above

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Correct Option: D

Which of the following is/are the subsidiary books ? 

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. Purchases Book

  2. Sales Book

  3. Bills Receivable Book

  4. All of the above

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Correct Option: D

A bill of Rs. 20,000 for old office furniture sold to Sethi was entered in the Sales Day Book Which of the following rectification entry is correct?

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. Suspense A/c Dr. 20,000

    To Office Furniture A/c 20,000

  2. Sales A/c Dr. 20,000

    To Office Furniture A/c 20,000

  3. Office Furniture A/c Dr. 20,000

    To Suspense A/c 20,000

  4. Office Furniture A/c Dr. 20,000

    To Sates A/c 20,000

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Correct Option: B

Sales book was overcast by Rs. 20,000. If this error located after preparation of trial then which of the following rectification entry is correct? 

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. Suspense A/c Dr. 20,000

    To Sales A/c 20,000

  2. Sales A/c Dr. 20,000

    To Suspense A/c 20,000

  3. Profit & Loss Adj. A/c Dr. 20,000

    To Sales A/c 20,000

  4. Sales A/c Dr. 20,000

    To Profit & Loss Adj. A/c 20,000

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Correct Option: B

Sales is ________________.

elements of accounts sub-division of journal - 2 (subsidiary books) sales book or sales journal introduction, meaning, types and advantages of subsidiary books meaning and types of subsidiary books

  1. Real Accounts

  2. Personal Accounts

  3. Nominal Accounts

  4. None of above

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Correct Option: A