Month: May 2019

‘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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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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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

 

This work is licensed under a Creative Commons Attribution 4.0 International License.

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).

 

This work is licensed under a Creative Commons Attribution 4.0 International License.

Which of the following is a ‘Book of Original Entry’?

Select ONE answer:

1. The sales (debtors) ledger.
2. The purchases journal (daybook).
3. The general (nominal) ledger.
4. The purchases (creditors) ledger.

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 2

1. Data is ‘posted’ to the Sales Ledger from the Sales Journal, the Cash Book and possibly the Journal. Therefore, the Sales Ledger is not the first place in which the information in it is recorded.
2. Books of original entry are so called because they are the first (original) place in which transactions are recorded. They are also known as ‘Books of Prime Entry’.
3. Data is ‘posted’ to the general ledger from the Books of Original Entry. Therefore, the General Ledger is not the first place in which the information in it is recorded.
4. Data is ‘posted’ to the purchases ledger from the Purchases Journal, the Cash Book and possibly the Journal. Therefore, the Purchases Ledger is not the first place in which the information in it is recorded.

 

This work is licensed under a Creative Commons Attribution 4.0 International License.