Accounting Quiz

If any amount is posted to wrong account, or written on wrong side, or total is wrong, or balance is wrong, it will be a case of..

• Error of Commission

• Error of Omission

• Error of Principle

• None of the above

Answer explanation

2. If the suspense account does not balance off even after rectification of errors, it

implies that..

• There are some one-sided errors only in the books yet to be ascertained

• There are no more errors yet to be ascertained

• There are some two-sided errors only, that is yet to be ascertained

• There may be both two-sided errors and one-sided errors, that are yet to be ascertained

If the two sides of the trial balance do not tally, which account is opened?

If wages paid for the installation of new machinery is debited to the wages account, it is ___________?

• An error of commission

• An error of principle

• A compensating error

• An error of omission

The error which can be disclosed by trial balance is ________

• Error of omission

• Error of principle

• Compensatory error

• None of the above

A trial balance is prepared after _______.

• Preparation of the financial statement

• Recording the transactions in the subsidiary books

• Posting it to the ledger is complete

• Posting it to the ledger is complete, and the accounts have been balanced

Trial balance is ______

• An account

• A statement

• A subsidiary book

• A principal book

If the trial balance agrees, it implies that ______.

• There are no errors in the book

• There may be two-sided errors in the book

• There may be one-sided errors in the book

• There may be both one-sided errors and two-sided errors in the books

Which of the following is not an error of

principle?

• Purchase of furniture debited to purchase account

• Repairs on the overhauling of second-hand machinery purchased debited to repairs account

• Cash received from XYZ posted to ABC

• Sale of old car credited to sales account

Which of the following is prepared on the basis of trial balance?

• Journal

• Ledger

• Final Accounts

• None of the above