JOURNAL THE FIRST PHASE OF ACCOUNTING CYCLE

MULTIPLE CHOICE QUESTIONS

Q.1

The first book in which business transactions are recorded chronologically is:
(a)
Trial Balance
(b)
Ledger
(c)
Journal
(d)
None of these
Q.2 Other name of Journal:
(a)
Day Book
(b)
Book of original entry
(c)
Book of prime entry
(d)
All of these
Q.3 The act of recording transactions in journal:
(a)
Journalizing
(b)
Recording
(c)
Posting
(d)
Transferring
Q.4 The entry which is made in journal is:
(a)
Ledger entry
(b)
Journal entry
(c)
Contra entry
(d)
All of these
Q.5 The entry in which one account is debited and one account is credited:
(a)
Compound entry
(b)
Simple entry
(c)
Contra entry
(d)
None of these
Q.6 The entry in which more than one account is debited or more than one account is
credited:
(a)
Compound entry
(b)
Simple entry
(c)
Contra entry
(d)
All of these
Q.7 Recording a transaction in appropriate place of concerned account is:
(a)
Journalizing
(b)
Recording
(c)
Posting
(d)
Transferring
Q.8 A short explanation below each journal entry is:
(a)
Briefing
(b)
Description
(c)
Narration
(d)
Summarization
Q.9 The column of journal in which page number of ledger is written is called:
(a)
Journal Folio
(b)
Ledger Folio
(c)
Both of these
(d)
None of these
Q.10 The act of writing page numbers of journal and ledger while posting is:
(a)
Transferring
(b)
Recording
(c)
Posting
(d)
Folioing
Q.11 Journal folio is recorded in:
(a)
Journal
(b)
Trial Balance
(c)
Ledger
(d)
Balance Sheet
Q.12 Ledger folio is the column of:
(a)
Trial Balance
(b)
Ledger
(c)
Cash Book
(d)
Journal
Q.13 Ledger Folio is also called:
(a)
JournalFolio
(b)
Ledger Reference
(c)
Journal Number
(d)
Journal Reference

Q.14 Assistant to ledger is a feature of:

(a)
Journal
(b)
Trial Balance
(c)
Ledger
(d)
Cash Book
Q.15 General Journal is also called:
(a)
Purchases Journal
(b)
Sales Journal
(c)
Bill Receivable Journal
(d)
Journal Proper
Q.16 Entries for rectification of errors are made in:
(a)
Bill Receivable Journal
(b)
Journal Proper
(c)
Purchases Journal
(d)
Sales Journal
Q.17 Cash payments are recorded in:
(a)
Cash payment Journal
(b)
Cash receipt Journal
(c)
Bill Receivable Journal
(d)
Sales Journal
Q.18 Cash sales are recorded in:
(a)
Sales Journal
(b)
Purchases Journal
(c)
Cash Book
(d)
Petty Cash book
Q.19 Cash book is:
(a)
Subsidiary Journal
(b)
Subsidiary Journal and Ledger A/C
(c)
Ledger Account
(d)
Journal Proper
Q.20 Petty Cash Book is used for recording:
(a)
Petty cash payments
(b)
Petty cash receipts
(c)
Both of these
(d)
None of these
Q.21 Cash purchases are recorded in:
(a)
Purchase Journal
(b)
Cash Book
(c)
Journal
(d)
None of these
Q.22 A folio is a:
(a)
Page
(b)
Chapter
(c)
Register
(d)
Paragraph mark
Q.23 Purchases Book is maintained to record:
(a)
Purchases of goods
(b)
All cash purchases
(c)
All credit purchases of goods (d)
All of these
Q.24 Which of the following books is called book of original entry?
(a)
Cash Book
(b)
Ledger
(c)
Journal
(d)
Sales Book
Q.25 The book meant for recording all cash transactions is called:
(a)
Pass Book
(b)
Cash Book
(c)
Purchases Book
(d)
Sales Book
Q.26 Credit sales are recorded in:
(a)
Cash Book
(b)
Ledger
(c)
Journal
(d)
Sales Book
Q.27 Amount of salaries paid to Javed should be credited to: (
(a)
Javed A/C
(b)
Salaries A/C
(c)
Cash A/C
(d)
None of these
Q.28 Salary paid to Akram will be:
(a)
Debited to Akram A/C
(b)
Credited to Akram A/C
(c)
Debited to Salaries A/C
(d)
Credited to Salaries A/C
Q.29 Narration is always written:

Q.30
Q.31
Q.32
Q.33
Q.34.

Q.35
Q.36
Q.37
Q.38
Q.39
Q.40

(a)
Above the entry
(b)
Below the entry
(c)
Between the entry
(d)
None of these
Purchased store supplies for cash is recorded in:
(a)
Purchases Return Journal
(b)
Purchases Journal
(c)
Cash Payment Journal
(d)
Special Journal
Cash Book is meant for recording:
(a)
All Purchases
(b)
All cash transactions
(c)
Only cash receipts
(d)
Only cash payments
Journal is prepared in:
(a)
Columnar Form
(b)
Vertical Form
(c)
Horizontal Form
(d)
Raw Form
Petty cash book is a branch of:
(a)
Pass Book
(b)
Cash Book
(c)
Ledger
(d)
Journal
The book in which small payments like refreshment, tissues etc are recorded is
called:
(a)
Main Cash Book
(b)
Petty Cash Book
(c)
Cash Account
(d)
Both (a) and (b)
Any mistake in ledger can be easily detected with the help of:
(a)
Journal
(b)
Trial Balance
(c)
Balance Sheet
(d)
Voucher
Day Book is another name of: (Gujranwala Board 2008)
(a)
Ledger
(b)
Trial Balance
(c)
Cash Book
(d)
Journal
Goods lost by fire should be credited to:
(a)
Goods A/C
(b)
Purchases A/C
(c)
Loss by fire A/C
(d)
Loss A/C
Goods withdrawn by proprietor for personal use should be debited to:
(a)
Purchases A/C
(b)
Merchandise A/C
(c)
Personal A/C
(d)
Drawings A/C
A complete story of a transaction in one entry is shown by:
(a)
Ledger
(b)
Trial Balance
(c)
Journal
(d)
Voucher
Furniture purchased for private use of partner should be debited to:
(a)
Drawings A/C
(b)
Furniture A/C
(c)
Cash A/C
(d)
Purchases A/C

ANSWERS

1 (c)

2 (d)

3 (a)

4 (b)

5 (b)

6 (a)
11 (c)
16 (b)
21 (b)
26 (d)
31 (b)
36 (d)

7 (b)
12 (d)
17 (a)
22 (a)
27 (c)
32 (a)
37 (b)

8 (c)
13 (b)
18 (c)
23 (c)
28 (c)
33 (d)
38 (d)

9 (b)
14 (a)
19 (a)
24 (c)
29 (b)
34 (b)
39 (c)

10 (d)
15 (d)
20 (a)
25 (b)
30 (c)
35 (a)
40 (a)