Tag: subsidiary books - 2

Questions Related to subsidiary books - 2

Rent due for the month of March will appear ______ of the cash book.

  1. On the receipt side

  2. On the payment side

  3. As a contra entry

  4. Nowhere


Correct Option: D

Interest received of $Rs.100$ was recorded as interest paid. What will be the effect on cash balance?

  1. Cash will reduce by $Rs.100$.

  2. Cash will reduce by $Rs.400$.

  3. Cash will reduce by $Rs.200$.

  4. No effect on cash balance.


Correct Option: C