Assertion Reason MCQS of Special Purpose Books I Cash Book with answers
Assertoin Reason MCQS of Special Purpose Books I Cash Book class 11 with answers for CBSE, ISC and State Boards
Assertoin Reason MCQS of Books of Original Entry – Cash Book class 11 with answers for CBSE, ISC and State Boards
Assertion (A): Cash Book is a book of original entry because all cash transactions are recorded for the first time in the cash book.
Reason (R): Cash Book is a principal book of accounts because when a cash book is maintained, cash account is not prepared in ledger.
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 – (b)
Assertion (A): In a Simple Cash Book, only cash receipts and payments are recorded.
Reason (R): Cash Book serves the purpose of Cash 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) is correct but Reason (R) is not correct
Ans – (a)
Assertion (A): Cash Book and Cash Account are same.
Reason (R): When a Cash Book is prepared, no separate Cash Account is opened in the ledger.
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): Cash Book enables to know cash and bank balance at any point of time.
Reason (R): Cash Book is maintained when all the transactions are recorded in the Journal, i.e., when subsidiary books are not maintained.
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) is correct but Reason (R) is not correct
Ans – (d)
Assertion (A): If Paresh has sold goods to Akash, entry will nto be recorded in the Cash Book.
Reason (R): Transactions involving cash are recorded in the Cash Book.
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) is correct but Reason (R) is not correct
Ans – (b)
Assertion (A): Contra entries means entries which are recorded on both sides of the Cash Book.
Reason (R): Such entries are made while depositing or withdrawing cash from the bank.
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): Contra entries mean transactions involving cash and bank.
Reason (R): Contra entries are posted to the respective ledger 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) is correct but Reason (R) is not correct
Ans – (d)
Assertion (A): Deposited ₹ 10,000 into bank is a contra entry.
Reason (R): It is not posted to the ledger since its double entry is completed in the Cash Book itself.
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 – (b)
Assertion (A): A dishonoured cheque is recorded in the debit side of the cash book.
Reason (R): A dishonoured cheque results in increase in bank balance.
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) is correct but Reason (R) is not correct
Ans – (d)
Assertion (A): Goods sold for cash for ₹ 20,000 and deposited this amount into bank on the same day will not be treated as a contra entry.
Reason (R): Cash withdrawn from bank for personal use is not a contra entry.
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 – (b)
Assertion (A): If Cash Book is maintained, Cash Account is not opened in the ledger.
Reason (R): Cash Book serves the purpose of Cash Account also.
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) is correct but Reason (R) is not correct
Ans – (b)
Assertion (A): Imprest System is maintained for Petty Cash Book.
Reason (R): Every petty expense is supported by voucher duly attested.
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 – (b)
Assertion (A): Bank Column in the Cash Book may have debit or credit balance.
Reason (R): A cheque deposited but dishonoured results in increase in bank balance.
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) is correct but Reason (R) is not correct
Ans – (d)
Assertion (A): Under imprest system petty cashier is given a definite sum at the beginning and at the end of a given period is reimbursed the amount actually spent by him.
Reason (R): Under imprest system, if the petty cashier is given ₹ 5,000 at the beginning of the month and if he spends ₹ 4,000 till the end of the month, he will be again given ₹ 5,000.
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): Cash Column in the Cash Book will not have credit balance.
Reason (R): cash balance in a firm cannot be credit balance, at the most it can have nil balance.
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) is correct but Reason (R) is not correct
Ans – (b)
Assertion (A): The balance of bank column of cash book may show either debit or credit balance.
Reason (R): The debit balance of bank column of cash book shows overdraft balance.
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): Simple Petty Cash Book is like a Simple Cash Book in which payments of petty expenses are recorded.
Reason (R): Maintaining Petty Cash Book lessens the work load on the main Cashier.
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) is correct but Reason (R) is not correct
Ans – (a)
Assertion (A): Balance of Pettty Cah Book is Cash in Hand.
Reason (R): Balance of the Petty Cash Book is the amount that of the firm.
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) is correct but Reason (R) is not correct
Ans – (b)
Assertion (A): Trade Discount received is recorded in the cash book on debit side.
Reason (R): Cash Book is a subsidiary book as well as principal book.
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): In Petty Cash Book, petty expenses paid in cash are recorded.
Reason (R): Payment of petty expenses by cheque may also be recorded in Petty cash Book.
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) is correct but Reason (R) is not correct
Ans – (d)
Assertion (A): The balance of petty cash is asset of the business.
Reason (R): Salary due for the month of March will appear on the credit side of the cash book.
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): Simple Petty Cash Book s like a Simple Cash Book in which payments of petty expenses are written.
Reason (R): Maintaning Petty Cash Book lessens the work load on the main Cashier.
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) is correct but Reason (R) is not correct
Ans – (a)
Assertion (A): In Petty Cash Book, petty expenses paid in cash are recorded.
Reason (R): Payment of petty expenses by cheque may also be recorded in Petty Cash Book.
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) is correct but Reason (R) is not correct
Ans – (d)
