Accounting Multiple Choice Question – 26 May 2019

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

Endorsing a cheque means…?

Select ONE answer:

  1. making it void.
  2. exchanging it for cash at a bank.
  3. relinquishing your right to receive the amount of the cheque and passing that right on to someone else.
  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. Making a Cheque void is known as ‘cancelling’ it.
  2. Exchanging a cheque for cash at a bank is known as ‘cashing’ the cheque.
  3. Correct
  4. Not correct

 

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Accounting Multiple Choice Question – 25 May 2019

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

Cheques are sometimes ‘crossed’…?

Select ONE answer:

  1. so that they cannot be ‘cashed‘ for a certain period of time.
  2. to prevent them from being lodged into a bank account.
  3. so as to avoid any person, other than the person to whom they are written, deriving any benefit from them.
  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. Whether a cheque is ‘crossed’ or not has no effect on when it can be ‘cashed’.
  2. The most common reason for crossing a cheque is to ensure that cheques are lodged directly into the recipient’s bank account.
  3. Correct
  4. Not correct

 

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