WorksheetsLedger and Trial Balance
Total questions: 25
Worksheet time: 6mins
The trial balance is a statement which helps us to
Discover all types of errors
Determine the arithmetical accuracy of postings
Prove that transactions have been recorded in the
proper accounts
Prove that transactions have been correctly analyzed
Which of the following statements describes real
accounts?
The return accounts which appears in the Trading
Account
Purchases and Sales Accounts which appears in the
Trading and Profit and Loss Account.
Records of property which appear in the Balance Sheet
All debtors’ and creditors’ accounts shown in the
subsidiary ledgers
Which of the following sets of accounts will contain
only debit entries in the Trial Balance?
Discount received, stock, purchases returns, salaries
Sales returns, wages paid, machinery, discount
allowed
Wages due, rent, sales returns, discount allowed
Salaries due, discount received, sales returns, stock
Which of the following are nominal accounts?
I. Wages
II. Creditors
III. Purchases
IV. Furniture
I and III only
I and IV only
II and III only
II and IV only
Which of the following accounts does NOT have a
credit balance
Accounts Payable
Rent Received
Bad debts recovered
Purchases
Under which of the following conditions would a
trial balance still balance?
I. A transaction was completely left out.
II. Both a debit and credit entry were overstated by the
same amount
III. A debit entry was left out.
IV. Both a debit and a credit entry were understated by
the same amount.
I, II and III only
I, II and IV only
I, III and IV only
II, III and Iv only
Doctor Doom is a weapon maker. He buys 100
kilos of vibranium from U. Klaw for P1,000,000 cash.
The correct double entry for this transaction in
Dr. Doom's ledger would be to
Dr. Purchases
Cr. Accounts Payable
Dr. Purchases
Cr. Cash
Dr. Cash
Cr. Accounts Receivable
Dr. Accounts Receivable
Cr. Sales
Closing entries are prepared for
Real Accounts only
Personal and Real Accounts
Nominal and Drawings Accounts
Nominal and Personal Accounts
Which of the following gives a correct definition of
the ‘double entry’ system of accounting?
Every account is recorded twice.
Every transaction is concerned with at least two
accounts
Every entry is recorded twice
Every two entries are recorded in the same account
Which of the following BEST describes a trial
balance
I. A list of balances of accounts
II. A financial statement
III. An account
IV. A check on the accuracy of the double entry system
I and II only
I and IV only
I, II and III only
I, III and IV only
All of these are example of specialized journal EXCEPT
Sales and purchase journal
Cash disbursement journal
Cash receipt and cash payment journal
General journal
The discount given by the seller to the buyer for paying the amount due within the stipulated time period should be recorded in the __________ of the seller's book.
sales journal
purchases journal
cash receipts journal
cash payment journal
_____________ is referred as the book of last entry.
Journal
Ledger
Trial Balance
Financial Statement
The following is true about Trial Balance EXCEPT
It lists all accounts with balances at a particular period in time
The preparation of trial balance must have headings
An account normally will have either a debit balance or a credit balance to be listed in the trial balance
It is prepared after preparing the financial statements
A cheque received from a customer should be recorded in
Bank journal
Cheque journal
Cash receipt journal
Cash payment journal
A general journal is used in recording
withdrawal of goods for the owner's personal use
withdrawal by cash for owner's personal
credit purchases of goods
returns of good to supplier
Which format of the following journal consists of purchase discount column?
Sales journal
Purchase journal
Cash receipt journal
Cash payment journal
The first step in the accounting cycle is:
Journal entries are made for the posting to the ledgers
Prepare ledger for individual accounts
Prepare a trial balance to assist in the preparation of financial statements
Source documents are collected and gathered for recording purpose
Nathaniel Richards is a dry goods merchant. Which of the
following transactions would result in a debit to her
Cash Account?
Sold goods for cash
Paid cash to office cleaner
Bought goods for cash
Paid installment on loan
Which group of accounts belong in the Balance Sheet Section?
Assets
Expenses
Incomes
Liabilities
Drawings
Assets
Capital
Liabilities
Incomes
Drawings
Expenses
Liabilities
Liabilities
Expenses
Drawings
Capital
Sundries entries are posted at the _______ of the month
beginning
on the day it occurs
end/last day
mid
One difference between trial Balance and balance sheet is that, while the balance sheet is a statement showing assets and liabilities, the trial Balance shows:
The ledger obligation in any business
The classification of balances
The financial position
Lists of ledger balances
What is used in preparing trial balance?
Specialized Journals
Balance Sheet
Ledger Accounts
General Journal
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
When is trial balance prepared?
At the end of an accounting period
At the end of a year
Frequently during the year
At the end of a month
