Main objective of preparing ledger account is to 

(a)

Ascertain the financial position

(b)

Ascertain the profit or loss

(c)

Ascertain the profit or loss and the financial position

(d)

Know the balance of each ledger account

The process of transferring the debit and credit items from journal to ledger accounts is called 

(a)

Casting

(b)

Posting

(c)

Journalising

(d)

Balancing

The amount brought into the business by the proprietor should be credited to

(a)

Cash account

(b)

Drawings account

(c)

Capital account

(d)

Suspense account

___________ is known as principal book of accounts because It is very useful for a business enterprise.

(a)

Journal

(b)

Ledger

(c)

Balance Sheet

(d)

Trial Balance

The financial statements can be prepared from the ____________ balances.

(a)

ledger

(b)

journal

(c)

trial

(d)

none of these

Statement: Goods bought by giving cheque Find out which of the following answer is correct.

(a)

Purchases A/c         Dr
           To Bank A/c

(b)

Bank A/c    Dr
     To Purchases A/c

(c)

Goods A/c        Dr
        To Bank A/c

(d)

Cash A/c      Dr
    To Purchases      A/c

Ledger

(1)

L.F

Journal Folio

(2)

Principal book

Ledger Folio

(3)

J.F.

Journal

(4)

Original entry