Assertion Reason MCQs of Accounting Procedures – Rules of Debit and Credit Class 11 with Answers
Assertion Reason MCQs of Accounting Procedures – Rules of Debit and Credit Class 11 with Answers for CBSE, ISC and State Boards
Assertion Reason MCQs of Double Entry system of class 11 CBSE ISC and State Boards
Assertion (A): Increase in assets and expenses are debited.
Reason (R): Increase in Liabilities, Capital and Incomes are credited.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (a)
Assertion (A): Double Entry System means that each transaction is recorded twice.
Reason (R): Double Entry System means that each transaction affects atleast two accounts in oppsite directions. One of them is debited and the other is credited.
Options:
(a) Both (A) and (R) are true and (R) is the correct explanation of (A)
(b) Both (A) and (R) are true but (R) is not the correct explanation of (A)
(c) (A) is true, but (R) is false
(d) (A) is false, but (R) is true
Ans:- (d)
Assertion (A): Under Traditional Calssification, accounts are classified into Personal, Real and Nominal Accounts.
Reason (R): Under Modern Classification, accounts are classified into Capital, Liabilities, Assets, Incomes and Expenses.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (a)
Assertion (A): Artifical Personal Accounts refer to those accounts which do not have a physcial existence as human beings but they work as personal accounts.
Reason (R): An Institution’s Account, Bank Account or a Firm’s Account are treated as Artificial Personal Accounts.
Options:
(a) Both (A) and (R) are true and (R) is the correct explanation of (A)
(b) Both (A) and (R) are true but (R) is not the correct explanation of (A)
(c) (A) is true, but (R) is false
(d) (A) is false, but (R) is true
Ans:- (a)
Assertion (A): Debit the increases is the rule for Liability Accounts.
Reason (R): Credit the increases is the rule for Assets Accounts.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (c)
Assertion (A): When an Account represents a particular person or group of persons, it is termed as representative personal account.
Reason (R): Salaries Outstanding Account, Prepaid Insurance Account, Capital Account, Drawings Account are representative personal accounts.
Options:
(a) Both (A) and (R) are true and (R) is the correct explanation of (A)
(b) Both (A) and (R) are true but (R) is not the correct explanation of (A)
(c) (A) is true, but (R) is false
(d) (A) is false, but (R) is true
Ans:- (c)
Assertion (A): Debit the increases is the rule for Expenses Accounts.
Reason (R): Expenses Accounts have debit balance and increase therein is debited to the account.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (b)
Assertion (A): The accounts of all those things whose value can be measured in terms of money are termed as ‘Real Accounts’, such as Cash Account, Machinery Account, Land & Buildings Account, Bank Account etc.
Reason (R): Bank Account is not a real account but it is an ‘Artificial Personal Account’, since it represents the account of Banking Company which is an artificial person.
Options:
(a) Both (A) and (R) are true and (R) is the correct explanation of (A)
(b) Both (A) and (R) are true but (R) is not the correct explanation of (A)
(c) (A) is true, but (R) is false
(d) (A) is false, but (R) is true
Ans:- (d)
Assertion (A): Asset Account when credited means decrease in Asset Account.
Reason (R): Debit the decreases is the rule for Asset Accounts.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (d)
Assertion (A): Capital Account when credited means increase in Capital Account.
Reason (R): Debit the decreases is the rule for Capital Account.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (a)
Assertion (A): Income Accounts when credited means increase in Income Account.
Reason (R): Credit the increases is the rule for Income Accounts.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (b)
Assertion (A): Salary paid for the year is debited to Salary Account.
Reason (R): Salary paid is an expense and hence is debited to Salary Account.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (b)
Assertion (A): Stationery expense is an Expense Account and is credited to Stationery Account.
Reason (R): An expense incurred is credited to that Expense Account.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (c)
Assertion (A): Rent received is an income and hence is credited to Rent Received Account.
Reason (R): Incomes received are credited.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (b)
Assertion (A): Creditor Accounts have credit balance.
Reason (R): Creditors are the persons or entities to whm amount is payable and thus, have credit balances.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (b)
Assertion (A): Cash Account is debited on receipt of amount.
Reason (R): Cash Account eing a real account or an asset account is debited on receipt of cash.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (b)
Assertion (A): On cash being withdrawn from Bank, Cash Account is debited and Bank Account is credited.
Reason (R): On cash being deposited in Bank, Cash Account is credited and Bank Account is debited.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (a)
Assertion (A): On rent being paid, Cash Account is debited and Rent Account is credited.
Reason (R): Rent paid is an asset and therefore, is debited while Cash Account is credited.
Options:
(a) Both Assertion (A) and Reason (R) are correct but Reason (R) is not the correct explanation of the Assertion (A)
(b) Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of the Assertion (A)
(c) Both Assertion (A) and Reason (R) are not correct
(d) Assertion (A) and Reason (R) is not correct
Ans:- (c)
