Accounting Quizes

Financial Accounting Multiple Choice Questions (MCQS) Page 5. The Following Financial Accounting Mcqs are Collected from different Past papers and from Accounting Mcqs Bank. These Mcqs are very helpful for the Preparation of various posts of Senior Auditor, Junior Auditor, Accountant and for  Cost Accountant.  

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Ledger or T Accounts

1)

Transferring entries from journal to ledger account is commonly known as

A)  Recording

B)  Transferring

C)  Posting

D)  Entry making

2)

An account records the ___________ in the balance of an item

A)  Increase

B)  Decrease

C)  Increase or decrease

D)  Appreciation

3)

If credit side of a bank account is greater than the debit side, it indicates which of the following?

A)  Bank overdraft

B)  Cash at bank

C)  Bank balance

D)  Current Asset

4)

If debit side of a bank account is greater than credit side it indicates which of the following?

A)  Cash at bank

B)  Bank understatement

C)  Bank overdraft

D)  Balance overstatement

5)

_________ will be credited if goods are given as charity

A)  Cash

B)  Charity

C)  Purchases

D)  Sales

6)

Which of the following is known as the base for preparing trial balance?

A)  Journal

B)  Cash account

C)  Ledger account

D)  Balance sheet

7)

If debit balance is greater than creadit balance then the account blance will be:

A)  Credit balance

B)  Debit and credit balance

C)  Cash balance

D)  Debit balance

8)

The normal balance of capital account is

A)  Credit balance

B)  Debit balance

C)  Cash balance

D)  Neither debit nor credit balance

9)

The normal balance of asset account is

A)  Credit balance

B)  Debit balance

C)  Cash balance

D)  Neither debit nor credit balance

10)

The normal balance of liability account is

A)  Debit balance

B)  Credit balance

C)  Cash balance

11)

Which of the following statements is incorrect regarding capital account?

A)  Debit increases the capital account balance

B)  Credit increases the capital account balance

C)  Fresh capital increases the capital account balance

D)  Net income increases the capital account balance

12)

Which of the following is the normal balance of a rent expense account?

A)  Credit balance

B)  Cash balance

C)  Overdraft

D)  Debit balance

13)

Revenue and expense accounts are referred as

A)  Nominal accounts

B)  Real account

C)  Cash accounts

D)  Banks account

14)

The real accounts are accounts of Assets, liabilities and ________

A)  Expenses

B)  Revenues

C)  Capital

D)  Drawing

15)

Building account is classified as _________ account

A)  Nominal

B)  Real

C)  Cash

D)  Capital

16)

Office equipments account is classifed as _________ account

A)  Nominal

B)  Real

C)  Cash

D)  Capital

17)

___________ helps business to classify transactions according to their nature

A)  General journal

B)  Real accounts

C)  Ledger accounts

D)  Cash accounts

18)

Which of the following is a real account?

A)  Office equipment

B)  Rent expenses

C)  Rent income

D)  Insurance expense

19)

Which of the following accounts are closed at the end of an accounting period?

A)  Nominal accounts

B)  Balance sheet accounts

C)  Real accounts

D)  None of them

20)

Which of the following is the closing balance of a ledger account?

A)  Blance c/d

B)  Balance b/d

C)  Balance e/d

D)  Balance f/c

Answers:

1 c 2c 3 a 4 a 5 c 6 c 7 d 8 a 9 b 10 b 11 a 12 d 13 a 14 c 15 b 16 b 17 c 18 a 19 a 20 a.

                                                            Ledger or T Accounts