Accounts

When debit balance is equal to credit balance then the trial balance means

• Account balances are correct

• Mathematically Capital+Liabilities=Assets

• No mistake in recording transactions

• No mistake in posting entries to ledger accounts

Under-casting of sales book is corrected by:

• Debiting sales A/C

• Crediting sales A/C

• Crediting purchase A/C

• None of the above

A purchase of Rs.6000 from Sonu has not been recorded in the purchase book. It will:

• Increase the profit

• Decrease the Profit

• Not effect the Profit

• None of these

If the purchases A/c is 145000 and cash A/c is 205000 in the trial balance and later purchases were made of 30000 in cash, then what will be the amount in both the A/C:

• purchase A/c-170000

  Cash A/c-230000

• Purchase A/c-175000

  Cash A/c-175000

• Purchase A/c-115000

  Cash A/c-175000

• Purchase A/c-160000

  Cash A/c-235000

The suspense Account balance is transferred to the:

• Trading A/C

• Balance sheet

• Profit and loss A/C

• None of these

In the books of account if a transaction is completely deleted, will it affect the trial balance?

• No

• Yes

• A transaction cannot be omitted

• None of these

Name the account type with a normal balance of credit.

• Asset

• Drawing

• Expense

• Revenue

A trial balance shows up on both the equal sides of the credit and debit column:

• This means that though the arithmetic is correct, there are still chances of some errors in the sheet

• This means that there would be only a single error in the sheet

• This means that there is no error in the sheet

• This means that there would be more than one error in the sheet

What could be the possible description of a trial balance among the following?

• Shows the total/balance of books

• Showcases the financial position of a company

• Shows the entries in the sheet

• It is a special system

The wages to be paid to the workers for installing new machine equipment would be debited to:

• Fixed OverHead Account

• Factory expenses account

• Machinery account

• Wages account