[ Best ] Financial Accounting MCQ

Question 11

Suppliers personal a/c are seen in the

1. A) Sales Ledger
2. B) Nominal ledger
3. C) Purchases Ledger
4. D) General Ledger

Answer: C

Question 12

If you want to ensure that your money will be secured if cheques sent are wasted in the post, you should

1. A) Always pay by cash
2. B) Cross your Cheques ‘Account Payee only, Not Negotiable.’
3. C) Always get the money in person
4. D) Not use the postal service in future

Answer: B

Question 13

Discounts received are

1. A) Deducted by us when we pay our accounts
2. B) Deducted when we receive cash
3. C) Given by us when we sell goods on credit
4. D) None of these

Answer: A

Question 14

Sales invoices are first entered in

1. A) The Cash Book
2. B) The Purchases Journal
3. C) The Sales Journal
4. D) The Sales Account

Answer: C

Question 15

Entered in the Purchases Journal are

1. A) Discounts received
2. B) Purchases invoices
3. C) Payments to suppliers
4. D) Trade discounts

Answer: B

Question 16

At the balance sheet date, the balance on the Accumulated Provision for Depreciation Account is

1. A) Transferred to Depreciation Account
2. B) Transferred to the Asset Account
3. C) Transferred to Profit and Loss Account
4. D) Simply deducted from the asset in the Balance Sheet

Answer: D

Question 17

If we take goods for own use we should

1. A) Debit Drawings Account, Credit Purchases Account
2. B) Debit Drawings Account: Credit Stock Account
3. C) Debit Sales Account: Credit Stock Account
4. D) Debit Purchases Account: Credit Drawings Account

Answer: A

Question 18

When a petty cash book is kept there will be

1. A) No entries made at all in the general ledger for items paid by petty cash
2. B) The same number of entries in the general ledger
3. C) Fewer entries made in the general ledger
4. D) More entries made in the general ledger

Answer: C

Question 19

If a trial balance totals do not agree, the difference must be entered in

1. A) The Profit and Loss Account
2. B) A Nominal Account
3. C) The Capital Account
4. D) A Suspense Account

Answer: D

Question 20

If it is required to maintain fixed capitals then the partners’ shares of profits must be

1. A) Credited to capital accounts
2. B) Debited to capital accounts
3. C) Debited to partners’ current accounts
4. D) Credited to partners’ current accounts

Answer: D