MCQS of Special Purpose Books I Cash Book with answers
MCQS of Special Purpose Books I Cash Book class 11 with answers for CBSE, ISC and State Boards
MCQS of Books of Origianl Entry – Cash Book class 11 with answers for CBSE, ISC and State Boards
When a firm maintains a cash book, it need not maintain __ .
(a) Journal Proper
(b) Purchase Book
(c) Sales Book
(d) Cash and Bank Accounts in Ledger
An – (d)
Double Column Cash Book records:
(a) Only cash transactions
(b) Only credit transactions
(c) Cash and Bank transactions
(d) All transactions
Ans – (c)
In Cash Book
(a) cash receipts and payments are recorded
(b) cash and credit sales of goods are recorded
(c) cash and credit purchases are recorded
(d) None of the above
Ans – (a)
Cash Book is an example of
(a) General Journal
(b) Special Journal
(c) Both (a) and (b)
(d) None of these
Ans – (b)
Goods sold for cash are recorded in the:
(a) Sales Book
(b) Cash Book
(c) Sales Return Book
(d) Petty Cash Book
Ans – (b)
Main objective of maintaining cash book is:
(a) To ascertain the capital of the business
(b) To ascertain the cash purchases of the business
(c) To ascertain the cash sales of the business
(d) To ascertain the cash balance of the business
Ans – (d)
Cash Book is
(a) a Subsidiary Book
(b) a Principal Book
(c) both a Subsidiary Book and a Principal Book
(d) a Ledger
Ans – (c)
If Ram has sold goods for cash to Param, the entry will be recorded in the
(a) Cash Book
(b) Sales Book
(c) Journal Proper
(d) Petty Cash Book
Ans – (a)
Cash Book does not record transactions of:
(a) Cash Nature
(b) Credit Nature
(c) Cash and Credit Nature
(d) None of these
Ans – (b)
Cash Book maintains record of:
(a) All cash purchase and sales
(b) All cash receipts
(c) All cash payments
(d) All cash receipts and payments
Ans – (d)
Ravi has purchased goods for cash from Girish for ₹ 10,000. It will be recorded in
(a) Cash Book
(b) Journal Book
(c) both Cash Book and Journal Book
(d) Petty Cash Book
Ans – (a)
Mohit paid ₹ 9,800 in settlement of his account of ₹ 10,000. Discount Allowed will be recorded in
(a) Cash Book
(b) Journal Book
(c) Both Cash Book and Journal
(d) Petty Cash Book
Ans – (b)
Credit transactions are recorded in the cash book
(a) In Debit
(b) In Credit
(c) In Debit and Credit
(d) Neither in Debit nor in Credit
Ans – (d)
The balance of cash column of cash book always shows a __ balance.
(a) Debit
(b) Credit
(c) Either Debit or Credit
(d) Neither Debit nor Credit
Ans – (a)
Deposit of cash in bank is recorded in
(a) Debit of Bank Column and Credit of Bank Column
(b) Debit of Cash Column and Credit of Bank Column
(c) Debit of Cash Column and also credit of Cash Column
(d) Debit of Bank Column and also credit of Bank Column
Ans – (a)
Withdrawal of Cash from Bank is recorded in
(a) Debit of Bank Column and Credit of Cash Column
(b) Debit of Cash Column and Credit of Bank Column
(c) Debit of Cash Column and also Credit of Cash Column
(d) Debit of Bank Column and also credit of Bank Column
Ans – (b)
Contra entries are passed only when
(a) Double Column cash book is prepared
(b) Three-column cash book is prepared
(c) Simple cash book is prepared
(d) None of the above
Ans – (a)
The balance of bank column of cash book always shows a __ balance.
(a) Debit
(b) Credit
(c) Either Debit or Credit
(d) Neither Debit nor Credit
Ans – (c)
Debit balance of bank account in cash book shows:
(a) Total amount deposited into the bank
(b) Total amount withdrawn from the bank
(c) Deposit amount in the bank
(d) Overdraft
Ans – (c)
If a cheque is returned dishonoured, it is recorded in
(a) Cash column on the credit side
(b) Cash Column on the debit side
(c) Bank column on the credit side
(d) Bank column on the debit side
Ans – (c)
Double Column Cash Book records
(a) all transactions
(b) cash and Bank transactions
(c) only cash transactions
(d) only credit transactions
Ans – (b)
On 1st April, 2023, balance of cash column of cash book was ₹ 40,000. After receiving interest ₹ 800 from bank, withdrawing ₹ 8,000 from bank and after purchasing goods for ₹ 15,000 at 10% cash discount, the balance of cash will be:
(a) ₹ 35,300
(b) ₹ 19,300
(c) ₹ 33,000
(d) ₹ 34,500
Ans – (d)
Features of cash book is:
(a) Debit and Credit side
(b) Part of Ledger
(c) Recording of cash and bank transactions
(d) All of the above
Ans – (d)
Which Cash Book is prepared to record small amounts by cashier to save time of main cashier?
(a) Three Column Cash Book
(b) Two Column Cash Book
(c) Petty Cash Book
(d) None of these
Ans – (c)
Similarity of Cash Book and Journal is
(a) Recording in both is made from source documents
(b) Transactions are recorded in both in chronological order
(c) Both have ledger folio column
(d) All of the above
Ans – (d)
Transactions on the credit side of bank column of cash book depict:
(a) Amount deposited in bank
(b) Amount withdrawn from Bank
(c) Amount deposited as well as withdrawn from bank
(d) None of the above
Ans – (b)
Which of the following will not be recorded as Contra Entry in the Two Column Cash Book?
(a) Cash withdrew from bank for personal use
(b) Cash withdrew from bank for office use
(c) Cash deposited
(d) Both (a) and (c)
Ans – (a)
Which of the following is not true?
(a) Cash book is a substitute for cash account in the ledger
(b) A narration is required for a contra entry along with debit and credit of cash/bank
(c) Cash book records only one aspect of a transaction
(d) Like ledger, a cash book is also a book of final entry
Ans – (b)
Similarity of Cash Book and Ledger is:
(a) Format of cash book resembles to a ledger
(b) Cash Book is balanced just like a ledger account
(c) The words To and By are used in both
(d) All of the above
Ans – (d)
Which of the following will be recorded as Contra-entry.
(a) Cash directly deposited into bank by a customer
(b) Payment made to creditor by cheque
(c) Cash deposited into bank
(d) Cash sales
Ans – (c)
Which of the following is true?
(a) Cash book is both Journal and Ledger at the same time
(b) Debit balance in the bank column of the cash book means overdraft
(c) Cash discount is allowed at the time of goods are sold
(d) Rate of cash discount depends on the quantity purchased
Ans – (a)
Balance in the Petty Cash Book is
(a) an expense
(b) a profit
(c) an asset
(d) income
Ans – (c)
When a firm maintains Two-column Cash Book, it does not maintain
(a) Purchases Book
(b) Journal Proper
(c) Sales Book
(d) Bank and Cash Accounts in the Ledger
Ans – (d)
A cheque received and deposited into bank the same day will be recorded in cash book in
(a) Cash Column on debit side
(b) Cash Column on credit side
(c) Bank Column on debit side
(d) Bank Column on credit side
Ans – (c)
Interest allowed by bank will be recorded in the cash book in:
(a) Bank column on debit side
(b) Bank column on credit side
(c) Cash column on debit side
(d) Cash column on credit side
Ans – (a)
Which of the following is not recorded in the Cash Book?
(a) Credit Sales
(b) Cash Receipts
(c) Cash Payments
(d) Opening Cash Balance
Ans – (a)
Contra entries on the debit side of the Cash Book are posted to
(a) Debit of Bank Account in the Ledger
(b) Debit of Cash Account in the Ledger
(c) Credit of Cash Account in the Ledger
(d) Not posted in the Ledger
Ans – (d)
Which of the following is a contra entry?
(a) Cash deposited into bank
(b) Cash sales deposited into bank immediately
(c) Cheque received from a customer and deposited into bank on the same day
(d) Cash withdrawn from the bank for office use.
Ans – (c)
When a cheque deposited into bank is dishonoured by bank, it will be recorded in cash book in:
(a) Bank column on debit side
(b) Bank column on credit side
(c) Cash column on debit side
(d) Cash column on credit side
Ans – (b)
Salary due for the month of March will appear in __ side of cash book.
(a) Receipt
(b) Payment
(c) Contra
(d) None of the above
Ans – (d)
Which of the following statements is true?
(a) Cash Book is a journal and not a ledger
(b) Cash Book is a ledger and not a journal
(c) Cash Book is both a journal and a ledger
(d) Cash Book is neither a journal nor a ledger
Ans – (c)
Bad debts will be recorded in cash book in:
(a) Cash column on credit side
(b) Bank column on credit side
(c) Cash column on debit side
(d) None of the above
Ans – (d)
Which of the following may have both Dr. or Cr. Balance
(a) Only cash column of cash book
(b) Only bank column of cash book
(c) Both cash and bank column
(d) Neither bank nor cash column
Ans – (b)
Imprest amount ₹ 5,000. What will be the amount of re-imbursement if following expenses were incurred by the petty cashier during the month — Wages = ₹ 1,450, Tiffin = ₹ 1,050, small Repairs = ₹ 500, General Expenses = ₹ 400.
(a) ₹ 1,600
(b) ₹ 3,400
(c) ₹ 3,050
(d) ₹ 3,000
Ans – (b)
Which of the following is both a book of Journal and Ledger?
(a) Cash Book
(b) General Journal
(c) Purchases Journal
(d) Sales Journal
Ans – (a)
Which of the following is a contra entry:
(a) Cash sales deposited into bank immediately
(b) Cheque received and deposited into bank on the same day
(c) Cash deposited into bank
(d) A customer directly deposited money in our bank account
Ans – (c)
Cash book is a type of but can be treated as a ___ of account.
(a) Subsidiary Book, Principal Book
(b) Principal Book, Subsidiary Book
(c) Subsidiary Book, Subsidiary Book
(d) Principal Book, Principal Book
Ans – (a)
Simple Petty Cash Book is like a
(a) Cash Book
(b) Statement
(c) Journal
(d) None of these
Ans – (b)
The balance of petty cash is:
(a) Expenses
(b) Profit
(c) Asset
(d) Liability
Ans – (c)
Petty cash book is maintained to record
(a) All expenses
(b) All petty expenses
(c) All petty expenses which are paid in cash
(d) All petty cash receipts
Ans – (c)
Trade Discount allowed will be recorded in cash book in:
(a) Cash column on credit side
(b) Cash column on debit side
(c) Bank column on credit side
(d) None of the above
Ans – (d)
On 1st April 2023, balance of cash column of cash book was ₹ 10,000. After receiving ₹ 2,000 from Anil, giving a cheque of ₹ 3,200 to Sunil and making payment of wages ₹ 500 balance of cash will be:
(a) ₹ 11,500
(b) ₹ 8,300
(c) ₹ 8,800
(d) ₹ 6,300
Ans – (a)
Balance in the Petty Cash Book is
(a) an expense
(b) a profit
(c) an asset
(d) a liability
Ans – (c)
Which is not contra entry in the cash book
(a) Cash deposited into bank
(b) Cash withdrawn from bank
(c) Cash withdrawn from bank for personal use
(d) None of these
Ans – (c)
If the debit as well as credit aspects of a transaction are recorded in the cash book, it is called __ .
(a) Contra Entry
(b) Compound Entry
(c) Opening Entry
(d) Adjustment Entry
Ans – (a)
The term ‘Imprest System’ is used in relation to
(a) Cash Book
(b) Petty Cash Book
(c) Purchase Book
(d) Sales Book
Ans – (b)
Petty Cash is used for meeting
(a) major revenue expenses
(b) minor revenue expenses
(c) capital expenditures
(d) minor revenue and capital expenditures
Ans – (b)
On 1st May 2023, cash book bank overdraft balance was ₹ 2,000. On depositing ₹ 10,000 into bank and giving a cheque of ₹ 7,200 for rent, the balance will be:
(a) ₹ 4,800 Dr.
(b) ₹ 4,800 Cr.
(c) ₹ 800 Dr.
(d) ₹ 800 Cr.
Ans – (c)
Which of the following statements is true:
(a) Cash Bok is a Journal and not a ledger
(b) Cash Book is a ledger and not a journal
(c) Cash Book is both a journal and a ledger
(d) Cash Book is neither a journal nor a ledger
Ans – (c)
Imprest System saves time of the
(a) Main Cashier
(b) Petty Cashier
(c) Accountant
(d) Management
Ans – (a)
When a cheque received is not deposited into the bank on the same day, it is recorded in cash book in
(a) Cash column on debit side and bank column on credit side
(b) Cash column on debit side
(c) Bank column on debit side
(d) None of the above
Ans – (d)
Which of the following is not recorded in cash book:
(a) Trade Discount
(b) Bad Debts
(c) Credit Purchases
(d) All of the above
Ans – (d)
