Journal_Revision

What is the purpose of preparing a journal?

• To know the financial position of the business.

• To know Profit or Loss of business.

• To provide date wise record of all the business transactions.

• To ascertain cash availability on a particular date.

What is a compound journal entry?

• Contains more than one debit

• Does not contain more than one debit or credit.

• Contains more than one credit

• Contains more than one debit or credit or both.

What is another name for a journal?

• Book of Primary and secondary entry.

• Book of Primary entry.

• Book of secondary entry.

• None of the above.

How can a journal be classified?

• Special Journal and Journal Proper

• Special Journal

• Journal Proper

• None of the above

Where is the narration of a journal entry written?

• Cr amount

• Dr amount

• Particulars

• Date

What is the process of recording transactions in a journal known as?

• Journalising

• Ledgering

• Posting

• Balancing

What is the purpose of the ledger folio column in a journal?

• To classify the entries into Debit and Credit.

• To post the entries of the journal into the ledger.

• To record the date of the transaction.

• To provide an explanation of the transaction.

What is the format of a journal entry?

• Date, Particulars, Dr. Amount, Cr. Amount

• Date, Particulars, L.F., Dr. Amount, Cr. Amount

• Particulars, Dr. Amount, Cr. Amount

• Date, L.F., Dr. Amount, Cr. Amount

What are the steps in the process of journalising transactions?

• Recognize the accounts, Apply the rules of Debit and Credit, Write the amounts and narration, Post the entries into the ledger

• Identify the accounts, Apply the rules of Debit and Credit, Write the amounts and narration, Post the entries into the ledger

• Identify the accounts, Recognize the accounts, Post the entries into the ledger, Write the amounts and narration

• Identify the accounts, Recognize the accounts, Apply the rules of Debit and Credit, Write the amounts and narration

How can a journal be categorized?

• Special Journal and Journal Proper

• Special Journal

• Journal Proper

• None of the above