Two-Column Cashbook Quiz

What does the two-column cashbook record?

• Cash and bank transactions

• Only credit transactions

• Only debit transactions

• None of the above

Which side of the cashbook is used to record payments?

• Left side

• Right side

• Both sides

• None of the above

The ‘Dr’ column in the cashbook represents:

• Credit entries

• Debit entries

• Liabilities

• Expenses

In a two-column cashbook, what does the balance c/d mean?

• Cash brought forward

• Cash carried forward

• Cash received

• Cash issued

If a cashbook shows a debit balance, it indicates that:

• Cash payments exceed receipts

• Receipts exceed payments

• Both receipts and payments are equal

• None of the above

Which of the following transactions will not be recorded in the two-column cashbook?

• Purchase of assets on credit

• Cash received from customers

• Cash payments for expenses

• Bank payments

What is the function of the contra entry in a two-column cash