Chapter Exam

Chapter 11: Accounting of not for profit organisation using TallyPrime — Online MCQ Test

Q: Which type of organisation is mainly dealt with in accounting of not-for-profit organisations?

Answer: B. Non-commercial entity — Not-for-profit organisations are non-commercial entities that are formed for service purposes rather than profit-making.

Q: In TallyPrime, which statement is used to prepare the financial position of a not-for-profit organisation?

Answer: B. Balance Sheet — The Balance Sheet shows the assets and liabilities of the organisation at the end of the accounting period.

Q: A sports club receives membership fees. How should this amount generally be treated?

Answer: B. As income of the club — Membership fees are considered income because they are received for the regular functioning of the club.

AUDITING · CLASS 12th · Tamil Nadu State Board

Practice Chapter 11: Accounting of not for profit organisation using TallyPrime with a free chapter-wise online MCQ test for Tamil Nadu State Board CLASS 12th AUDITING. This chapter covers: Focusing on non-commercial entities this chapter covers TallyPrime configuration for non-profit organizations. Students practice ledger creation income expenditure vouchers and bal.... AI-generated questions from basic to board-exam level, with instant results and explanations.

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Chapter 11: Accounting of not for profit organisation using TallyPrime — Important Questions & Answers (FAQ)

Frequently asked questions from Tamil Nadu State Board CLASS 12th AUDITING — Chapter 11: Accounting of not for profit organisation using TallyPrime, with answers and explanations. These are sample questions; the exam has its own separate question set.

Which type of organisation is mainly dealt with in accounting of not-for-profit organisations?

A. Trading concern
B. Non-commercial entity ✓
C. Manufacturing company
D. Partnership firm only

Answer: B. Non-commercial entity
Not-for-profit organisations are non-commercial entities that are formed for service purposes rather than profit-making.

In TallyPrime, which statement is used to prepare the financial position of a not-for-profit organisation?

A. Profit and Loss Account
B. Balance Sheet ✓
C. Trial Balance
D. Sales Register

Answer: B. Balance Sheet
The Balance Sheet shows the assets and liabilities of the organisation at the end of the accounting period.

A sports club receives membership fees. How should this amount generally be treated?

A. As capital expenditure
B. As income of the club ✓
C. As liability always
D. As drawings

Answer: B. As income of the club
Membership fees are considered income because they are received for the regular functioning of the club.

Which of the following is the correct sequence for creating a basic ledger in TallyPrime?

A. Gateway of Tally → Create → Ledger → Enter details ✓
B. Gateway of Tally → Display → Trial Balance → Ledger
C. Gateway of Tally → Alter → Voucher Type → Ledger
D. Gateway of Tally → Reports → Balance Sheet → Ledger

Answer: A. Gateway of Tally → Create → Ledger → Enter details
Ledger creation in TallyPrime is done from the Create menu after opening Gateway of Tally.

Which of the following is the most appropriate treatment of entrance fees received by a not-for-profit organisation, if the amount is substantial and meant to strengthen the fund?

A. Always revenue income
B. Always capital receipt
C. Depending on the nature, it may be treated as capital receipt ✓
D. It cannot be recorded in TallyPrime

Answer: C. Depending on the nature, it may be treated as capital receipt
Entrance fees may be treated either as revenue or capital depending on the organisation’s policy and the nature of the receipt.