Modern system of book keeping is called______________?

Related Mcqs:

1. Keeping the log of financial information in books of original entries is called__________?

   A. Recording
   B. summarizing
   C. Grouping
   D. Processing

2. Difference in Bank Balance as per Pass Book and Cash Book may arise on account of_____________?

   A. Cheque issued but not presented
   B. Cheque issued but dishonoured
   C. Cheque deposited and credited by bank
   D. Both A and B

3. Bank charges amounting to $5000 was not entered in the cash book. Identify the correct adjustment in cash book?

   A. Bank charges will be debited in cash book
   B. Bank charges will be added to cash book balance
   C. Bank charges will be credited in cash book
   D. Bank charges need no adjustment in cash book

4. A discount of $2000 was given to a supplier on his prompt repayment of debt but the cashier entered the gross amount in cash book. What should be the adjustment in cash to work out the correct balance of cash book?

   A. $2000 will be debited in cash book
   B. $2000 will be credited in cash book
   C. $4000 will be debited in cash book
   D. $4000 will be credited in the cash book

5. Bank sent debit advice of $500 to company being interest on overdraft. It wasn’t entered in cash book. Identify the correct adjustment in cash book.

   A. $500 will be debited
   B. $500 will be credited
   C. Non-adjustable
   D. $1000 will be subtracted

6. 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

7. $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

8. The closing balance of a petty cash book is a / an___________?

   A. Liability
   B. Gain
   C. Assets
   D. Loss

9. Which of the following is not a cause of difference in balance as per cash book and balance as per bank pass book___________?

   A. Errors in cash book
   B. Errors in pass book
   C. Cheques deposited and cleared
   D. Cheques issued but not presented for payment

10. In bank reconciliation statement the amount of outstanding checks is added to ________ balance of cash book.

    A. Adjusted
    B. Unadjusted
    C. Understated
    D. Overstated