Chapter 7 ACCOUNTANCY : Journal Proper — Online MCQ Test
ACCOUNTANCY · CLASS 11 INTER I YEAR · Andhra State Board
Practice Chapter 7 ACCOUNTANCY : Journal Proper with a free chapter-wise online MCQ test.
This chapter covers: This chapter covers recording transactions not accommodated in other subsidiary books including opening entries closing entries rectification entries and transfer entries..
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Chapter 7 ACCOUNTANCY : Journal Proper — Important Questions & Answers
Which of the following transactions is recorded in the Journal Proper?
- A. Cash sales
- B. Credit purchase of furniture
- C. Credit sales of goods
- D. Cash purchases
Answer: B. Credit purchase of furniture
Journal Proper is used for transactions that do not fit in special journals like cash book or purchase book; purchase of assets on credit is recorded here.
Journal Proper is used for transactions that do not fit in special journals like cash book or purchase book; purchase of assets on credit is recorded here.
What is the primary purpose of an opening entry in the Journal Proper?
- A. To record daily cash receipts
- B. To record the start of a new business transaction
- C. To record the balances of assets, liabilities, and capital brought forward from the previous year
- D. To close the temporary accounts
Answer: C. To record the balances of assets, liabilities, and capital brought forward from the previous year
Opening entries are passed at the beginning of an accounting year to bring forward the closing balances of the previous year.
Opening entries are passed at the beginning of an accounting year to bring forward the closing balances of the previous year.
An entry passed to transfer the balance of a temporary account to a permanent account is called a:
- A. Transfer entry
- B. Opening entry
- C. Rectification entry
- D. Closing entry
Answer: A. Transfer entry
Transfer entries are specifically used to move balances between accounts at the end of the period.
Transfer entries are specifically used to move balances between accounts at the end of the period.
Credit purchase of a machine by a business is recorded in:
- A. Purchase Book
- B. Journal Proper
- C. General Ledger
- D. Cash Book
Answer: B. Journal Proper
Purchase books only record credit purchases of goods meant for resale. Credit purchase of fixed assets is recorded in Journal Proper.
Purchase books only record credit purchases of goods meant for resale. Credit purchase of fixed assets is recorded in Journal Proper.
If an asset becomes obsolete and is written off against the Profit & Loss account, where is this entry recorded?
- A. Journal Proper
- B. Cash Book
- C. Purchase Book
- D. Sales Book
Answer: A. Journal Proper
Writing off an asset is a non-cash transaction that does not relate to goods, fitting perfectly into the Journal Proper.
Writing off an asset is a non-cash transaction that does not relate to goods, fitting perfectly into the Journal Proper.