Commerce Accountancy

Accounting Principles and Practices

2,416 Questions

Accounting principles and practices involve the preparation of trial balances, ledgers, and bank reconciliation statements. This area tests your knowledge of fundamental accounting concepts and routine business transactions. It is a core section in commerce exams and various competitive tests.

Ledger accountsTrial balance preparationBank reconciliation statementAccounting conceptsPrimary books of accounts

Accounting Principles and Practices Questions

Multiple choice technology packaged enterprise solutions

The period end process of combining the financial results of separate subsidiaries with the parent company to form a single, combined statement of financial results is called ______________

  1. Consolidation

  2. Posting

  3. Reporting

  4. All the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Consolidation in financial accounting is the process of combining the financial statements of a parent company and its subsidiaries to present a single, unified view of the entity's financial position and results. This is a standard period-end accounting procedure.

Multiple choice technology databases

Two Oraganization has been defined. For both the organization to use same set of books, they have to share atleast

  1. Currency

  2. Calender

  3. Accounting Field Structure and Calender

  4. Currency, Calender and Accounting Field Structure
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

For two organizations to share the same Set of Books in Oracle E-Business Suite, they must share three key elements: the same Currency (for consistent financial reporting), the same Calendar (for synchronized accounting periods), and the same Accounting Field Structure or Chart of Accounts (for consistent account codes). Options A, B, and C are incomplete - sharing only one or two of these elements is insufficient for Set of Books compatibility.

Multiple choice technology testing

Which pay method is not offered for Cable billing?

  1. Invoice: Monthly

  2. Invoice Bi Monthly

  3. Invoice: Quarterly

  4. Bi-weekly
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Bi-weekly payment is not offered for Cable billing. The available billing cycles include Monthly, Bi-monthly, and Quarterly invoice options, but Bi-weekly (every two weeks) is not a standard payment frequency offered for Cable services. This is typical in cable billing where monthly or longer cycles are standard due to billing system infrastructure and operational practices.

Multiple choice technology testing

ACTIVA : Which application deals with the Accounting issues and Financial data of the bad debtors?

  1. CX-Database

  2. Beheer Invordignen

  3. Agenda

  4. Uitbetalingen

  5. None of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The CX-Database application handles accounting issues and financial data related to bad debtors in the ACTIVA system. It serves as the central database for tracking and managing debtor accounting information. Beheer Invordignen (management of receivables), Agenda, and Uitbetalingen are other components serving different functions.

Multiple choice technology security

Which form of accountability should be used

  1. Accounts for each user

  2. Account for each group of users

  3. Accounts for each business unit

  4. None of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Individual user accounts provide the most granular level of accountability, enabling precise tracking of who performed what action and when. Shared group or business unit accounts make it impossible to identify the specific individual responsible for an action, undermining audit trails and compliance requirements. The principle of individual accountability is fundamental to security governance.

Multiple choice technology mainframe

PERFORM & GOTO are

  1. Conditional Transfer statements

  2. Unconditional Transfer statements

  3. Preconditional Transfer statements

  4. Postconditional Transfer statements

  5. Preunconditional Transfer statements

  6. Postunconditional Transfer statements
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

PERFORM and GOTO are both unconditional transfer statements in COBOL. PERFORM transfers control to a paragraph or section and automatically returns, while GOTO transfers control to the specified paragraph without any automatic return mechanism. Both statements execute regardless of any condition.

Multiple choice technology testing

OLB Accounts stands for

  1. Online Business

  2. Other Lines of Business

  3. Order Line Business

  4. None of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

OLB stands for 'Other Lines of Business' in ICM and telecommunications systems. This refers to business lines or accounts that are not part of the primary or main business categories. It's used to categorize secondary or auxiliary business units or services.

Multiple choice technology mainframe

What is the transaction used to see scorecard changes

  1. 4R

  2. 7R

  3. 7P

  4. 4P
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Transaction 4P is used to view scorecard changes in the insurance system. This appears to be a specific inquiry or display transaction (the 'P' may stand for 'print' or 'display'). Transactions 4R, 7R, and 7P are other transaction codes that perform different functions - they may be related but are not the correct transaction for viewing scorecard modifications.

Multiple choice technology mainframe

What is the transaction used to see scorecard changes

  1. 4R

  2. 7R

  3. 7P

  4. 4P
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Transaction 4P is used to view scorecard changes in the system. The 'P' likely stands for 'Print' or 'Display' function. Transactions 4R and 7R (R likely = 'Run') and 7P would have different purposes - 4R might run a calculation, while 7P might display a different type of report. 4P is specifically designated for viewing scorecard modifications.

Multiple choice technology mainframe

Which report in AXIOM will have the transactions posted of all account numbers

  1. O11

  2. R30

  3. O17

  4. U03
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

O17 is the AXIOM report that contains all posted transactions across all account numbers. This is likely a comprehensive transaction listing or posting report that aggregates activity by account. The other options (O11, R30, U03) appear to be different AXIOM reports serving other purposes like detailed account ledgers, summary reports, or unposted transaction queues.

Multiple choice technology mainframe

What is a Statement?

  1. Statement includes the following details for a Calendar Month 1)All the transaction done by the customer for a Calendar Month 2)

  2. Statement includes the following details for that Cycle 1) All the transaction done by the customer for that Cycle 2)Late fees charged 3)Annual/Membership Fee charged 4)Interest charged 5) Minimum Due Amount 6)Payment Due Date 8)Current cycle date 9) Cur

  3. Statement includes the following details for the Previous Cycle 1)All the transaction done by the customer for the Previous Cycle 2)Late fees charged 3)Annual/Membership Fee charged4)Interest charged5)•

  4. Both B&C

  5. Minimum Due Amount 6)•Payment Due Date 7•Current cycle date 8)Current Due Amount 9)Past Due Amount 10) Payment details
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A credit card statement includes transactions for the billing cycle, fees (late, annual, membership), interest charged, minimum due amount, payment due date, current cycle dates, and current/past due amounts. Option B covers these comprehensively. Options A and C are incorrect (statements are for cycles, not calendar months). The claimed answer B is correct.

Multiple choice technology mainframe

What is a Statement?

  1. Statement includes the following details for a Calendar Month 1)All the transaction done by the customer for a Calendar Month 2)Late fees charged 3)Annual/Membership Fee charged 4)Interest charged 5)Minimum Due Amount 6)Payment Due Date 7)Current cycle da

  2. Statement includes the following details for that Cycle 1) All the transaction done by the customer for that Cycle 2)Late fees charged 3)Annual/Membership Fee charged 4)Interest charged 5) Minimum Due Amount 6)Payment Due Date 8)Current cycle date 9) Curr

  3. Statement includes the following details for the Previous Cycle 1)All the transaction done by the customer for the Previous Cycle 2)Late fees charged 3)Annual/Membership Fee charged4)Interest charged5)•

  4. Both B&C
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A credit card Statement includes comprehensive details for a specific billing cycle: all transactions made during that cycle, late fees, annual/membership fees, interest charges, minimum due amount, payment due date, current cycle date, and current outstanding balance. Option A is incorrect because statements are cycle-based, not calendar month-based. Option C incorrectly refers to the previous cycle - statements always cover the current/billing cycle. Option D is unnecessary because only option B is correct.