Cash Book MCQs

Option A: Petty cash

Option B: Cash book

Option C: Cash receipt

Option D: Discount

Correct Answer: Petty cash ✔

Option A: Cash book

Option B: Two columns cash book

Option C: Three columns cash book

Option D: Petty cash book

Correct Answer: Three columns cash book ✔

Option A: Receipts

Option B: Payments

Option C: Incomes

Option D: Expenditures

Correct Answer: Receipts ✔

Option A: Lump sum

Option B: Prompt

Option C: Actual

Option D: None of them

Correct Answer: Prompt ✔

Option A: Receipts

Option B: Payments

Option C: Income

Option D: Expense

Correct Answer: Payments ✔

Option A: Receipts

Option B: Payments

Option C: Incomes

Option D: Expenditures

Correct Answer: Payments ✔

Option A: Simple cash book

Option B: Two column cash book

Option C: Three column cash book

Option D: Petty cash book

Correct Answer: Petty cash book ✔

Option A: Bank

Option B: Prepaid expenses

Option C: Accounts receivable

Option D: Creditor

Correct Answer: Prepaid expenses ✔

Option A: Receipts

Option B: Payments

Option C: Incomes

Option D: Expenditures

Correct Answer: Payments ✔

Option A: Bank

Option B: Payments

Option C: Discount

Option D: Cash

Correct Answer: Cash ✔

Option A: Simple cash book

Option B: Two column cash book

Option C: Three column cash book

Option D: Petty cash book

Correct Answer: Two column cash book ✔

Option A: Payee

Option B: Payer

Option C: Bank

Option D: Seller

Correct Answer: Seller ✔

Option A: Cash

Option B: Bank balance

Option C: Accounts receivable

Option D: Cash reserve

Correct Answer: Accounts receivable ✔

Option A: Every day

Option B: Every half year

Option C: Every year

Option D: At the end of every accounting period

Correct Answer: At the end of every accounting period ✔

Option A: Bank balance

Option B: Cash at bank

Option C: Bank overdraft

Option D: Bank underdraft

Correct Answer: Bank overdraft ✔

Option A: Liability

Option B: Asset

Option C: Expenses

Option D: Income

Correct Answer: Asset ✔

Option A: Receipts

Option B: Payments

Option C: Incomes

Option D: Expenditures

Correct Answer: Payments ✔

Option A: Bank

Option B: Accountant of business

Option C: Manager of a company

Option D: Bank’s cashier

Correct Answer: Accountant of business ✔

Option A: Cash payments

Option B: Cash receipts

Option C: Cash payments and cash receipts

Option D: Neither cash payments nor cash receipts

Correct Answer: Cash payments ✔

Option A: Cash entry

Option B: Contra entry

Option C: Payment entry

Option D: Compound entry

Correct Answer: Contra entry ✔

Option A: A sale of an asset is recorded in the Sales Book

Option B: Total of Return Outward Book is debited to Return Outward Account

Option C: The balance of Petty Cash Book is a liability

Option D: Cash Book is a subsidiary book as well as a ledger

Correct Answer: Cash Book is a subsidiary book as well as a ledger ✔