When a firm maintains a cash book, it need not maintain:

1

(a)

Journal Proper

(b)

Purchases (journal) book

(c)

Bank and cash account in the ledger

Double column cash book records;

1

(a)

All transactions

(b)

Cash and bank transactions

(c)

Only credit transactions

(d)

Only credit transactions

Goods purchased on cash are recorded in the:

1

(a)

Purchases (journal) book

(b)

Sales (journal) book

(c)

Cash book

(d)

Purchases return (journal) book

Cash book does not record transaction of:

1

(a)

Cash nature

(b)

Credit nature

(c)

Cash and credit nature

(d)

None of these

Total of these transactions is posted in purchase account:

1

(a)

Purchase of furniture

(b)

Cash and credit purchase

(c)

Purchases return

(d)

Purchase of stationery

Return of goods purchased on credit to the suppliers will be entered in _____________ Journal.

1

(a)

purchases return

Assets sold on credit are entered in ______________

1

(a)

journal proper

Double column cash book records transaction relating to _____________ and _____________

1

(a)

case, bank

Total of the debit side of cash book is _____________ than the credit side.

1

(a)

more

Cash book does not record the _____________ transactions are also recorded.

1

(a)

credit

The cash column of cash book has always a debit 

1

(a) False

(b) True

The bank column of cash book has sometimes a credit balance.

1

(a) False

(b) True

Imprest system is applied for head cashier.

1

(a) True

(b) False

Contra entries in the three column cash book are not posted into Iedger.

1

(a) False

(b) True

The cash column of Cash Book has always a debit balance.

1

(a) False

(b) True

What is a Cash Book?

1

(a)

Cash Book is a subsidiary book in which all transactions relating to cash receipts and cash payments are recorded.

What does the left side of the Cash Book show?

1

(a)

The left side of the Cash Book shows the receipts of cash.

What does the right side of the Cash Book show?

1

(a)

The right side of the Cash Book shows the payments made in cash.

What is meant by simple or single column Cash Book?

1

(a)

Simple or single column Cash Book means a Cash Book which has only one amount column on each side for cash, transactions.

What is meant by two column Cash Book?

1

(a)

Two column Cash Book means a Cash Book which has two amount columns, one for cash and another for bank on each side.