Accounting Multiple Choice Question – 24 May 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

A cheque…?

Select ONE answer:

  1. is the form which must be completed when lodging money into a bank account.
  2. must always be ‘crossed’.
  3. is an instruction to your bank to pay money out of your current account.
  4. None of the above.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Accounting KS5 classes.

The answer is 3

  1. The form which must be completed when lodging money into a bank account is known as a paying-in slip or a lodgement slip.
  2. Cheques may be ‘crossed’ or ‘uncrossed’ — this is a matter for the person writing the cheque (the drawer) to decide.
  3. Correct
  4. Not correct

 

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Accounting Multiple Choice Question – 23 May 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

A deposit account is …?

Select ONE answer:

  1. a bank account which pays interest.
  2. a bank account on which cheques can be drawn.
  3. a bank account which does not pay interest.
  4. None of the above.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Accounting KS5 classes.

The answer is 1

  1. Correct
  2. A bank account on which cheques can be drawn is known as a current account.
  3. Interest is paid by banks on money in deposit accounts. Interest is sometimes paid (and sometimes not) on money in current accounts, depending on which bank the account is with.
  4. Not correct

 

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Accounting Multiple Choice Question – 22 May 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

A current account is…?

Select ONE answer:

  1. a bank account on which cheques can be drawn.
  2. a bank account on which cheques cannot be drawn.
  3. a bank account which does not pay interest.
  4. None of the above.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Accounting KS5 classes.

The answer is 1

  1. Correct
  2. This is usually the principal reason for opening a current account. If you do not wish to be able to write cheques, you should normally open a deposit account or savings account.
  3. Some banks pay interest on money in current accounts while others do not.
  4. Not correct

 

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Accounting Multiple Choice Question – 21 May 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

‘Posting’ means …?

Select ONE answer:

  1. making the first record of transactions.
  2. recording transactions in a book of original entry.
  3. transferring the total(s) of a book of original entry to the nominal (general) ledger.
  4. None of the above.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Accounting KS5 classes.

The answer is 3

  1. The first record of a transaction is made in a book of original entry.
  2. ‘Posting’ means transferring data which has already been recorded somewhere in the accounting records to the nominal (general) ledger.
  3. Correct
  4. Not correct

 

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Accounting Multiple Choice Question – 20 May 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

The nominal ledger (also known as the general ledger) is…?

Select ONE answer:

  1. the ‘book’ from which the trial balance is extracted.
  2. a ‘book of original entry’.
  3. the ‘book’ in which transactions are first recorded.
  4. None of the above.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Accounting KS5 classes.

The answer is 1

  1. Correct
  2. Postings are made to the nominal (general) ledger from the books of original entry.
  3. Transactions are first recorded in the books of original entry (from which postings are made to the nominal (general) ledger).
  4. Not correct

 

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Accounting Multiple Choice Question – 19 May 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Which of the following is a personal account?

Select ONE answer:

  1. Buildings.
  2. Wages.
  3. Debtors.
  4. None of the above.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Accounting KS5 classes.

The answer is 3

  1. Buildings is a real account.
  2. Wages is a nominal account.
  3. Correct
  4. Not correct

 

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Accounting Multiple Choice Question – 18 May 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Which of the following are entered in the Purchases Journal (otherwise known as the Purchases Daybook)?

Select ONE answer:

  1. Payments to suppliers.
  2. Trade discount.
  3. Invoices received from suppliers.
  4. Cash discount (also known as settlement discount) received.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Accounting KS5 classes.

The answer is 3

  1. Payments to suppliers are entered in the Cash Book (or Cheque Payments Book).
  2. Invoices are entered in the Purchases Journal (Purchases Daybook) net of trade discount.
  3. Correct
  4. Discounts received are entered in the Cash Book (or Cash Receipts Book).

 

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