Tag: subsidiary books - 2

Questions Related to subsidiary books - 2

Which of the following is not a column of a three-column cash-book?

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. Cash column

  2. Bank column

  3. Petty cash column

  4. Discount column.

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Correct Option: C

A three-column Cash Book will disclose a bank overdraft when there is __________.

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. debit balance of cash column

  2. credit balance of cash column

  3. debit balance of bank column

  4. credit balance of bank column

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Correct Option: D

Contra entries are passed only when ____________.

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. double-column cash book is prepared

  2. three-column cash book is prepared

  3. simple cash book is prepared

  4. all of these

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Correct Option: B

Bank column of the cash book has _____________.

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. debit balance

  2. credit balance

  3. either debit or credit

  4. neither debit nor credit.

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Correct Option: C

Which of the following will be recorded as Contra Entry?

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. Withdrew from bank for personal use

  2. A cheque received from X lodged into bank on the same day

  3. A cheque received from Y a week earlier lodged into bank

  4. A customer directly deposited the money in our bank account

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Correct Option: C

Salaries due for the month will appear________.

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. On the receipt side of the cash book

  2. On the payment side of the cash book

  3. As a contra entry

  4. Nowhere in the cash book.

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Correct Option: D

In arriving at adjusted cash balance which of the following is not taken into account?

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. Amount deposited by our customer direct into our bank account

  2. Errors in the cash book

  3. Errors in the pass book

  4. All of the above

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Correct Option: B

If goods have been sold for cash, the entry will be recorded in the _______________.

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. Cash Book

  2. Sales Book

  3. Journal

  4. Stock Book.

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Correct Option: A

In a Three-Column cash book, which of the following is correct?

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. Trade discount allowed is recorded on the debit side of cash book

  2. Cash discount received is recorded on the credit side of cash book

  3. Discount columns are balanced

  4. Cash discount received is recorded on the debit side of cash book

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Correct Option: B

If the debit as well as the credit aspects of a transaction are recorded in the cash book itself, it is called ______________.

commercial studies subsidiary books - 2 three column cash book three columnar cash book triple column cash book

  1. An opening entry

  2. A compound entry

  3. A transfer entry

  4. A contra entry.

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Correct Option: D
Explanation:

Contra Entry is an entry which is recorded to reverse or offset an entry on the other side of an account. If a debit entry is recorded in an account, contra entry will be recorded on the credit side and vice-versa.