Accounting MCQs
Accounting MCQs Test Preparation | Latest 2025 Quiz FPSC, NTS, KPPSC, PPSC, SPSC, BPSC, OTS, UTS, PTS, CTS, ATS, ETEA MCQs Test Questions.
A company was entered in hire purchase agreement and had to pay $1000 per month. Three payments were made via bank account but no entry was found in cash book. Identify the correct adjustment in cash book
A: $1000 will be added to cash book balance
B: $2000 will be deducted from cash book balance
C: $3000 will be added to cash book balance
D: $3000 will be subtracted from cash book balance
$3000 will be subtracted from cash book balance
$5000 deposited in bank account was entered twice in the cash book. Identify the correct adjustment in cash book.
A: $5000 will be credited
B: $5000 will be debited
C: $10,000 will be credited
D: $10,000 will be debited
$5000 will be credited
An entry which is made on both sides of a cash book is called__________?
A: Cash entry
B: Contra entry
C: Payment entry
D: Compound entry
Contra entry
Cash book records:______________?
A: Cash payments
B: Cash receipts
C: Cash payments and cash receipts
D: Neither cash payments nor cash receipts
Cash payments and cash receipts
Cash book is prepared by____________?
A: Bank
B: Accountant of business
C: Manager of a company
D: Banks cashier
Accountant of business
Discount received is recorded on which of the following side of a cash book?
A: Receipts
B: Payments
C: Incomes
D: Expenditures
Payments
The closing balance of petty cash book is considered as_________?
A: Liability
B: Asset
C: Expenses
D: Income
Asset
A credit balance in cash book indicates?
A: Bank balance
B: Cash at bank
C: Bank overdraft
D: Bank underdraft
Bank overdraft
Petty cash fund is supposed to be replenished?
A: Every day
B: Every half year
C: Every year
D: At the end of every accounting period
At the end of every accounting period
Postdated checks are considered as__________?
A: Cash
B: Bank balance
C: Accounts receivable
D: Cash reserve
Accounts receivable