wayground logo

Free Printable Worksheets

Font size

S
M
L
XL
Worksheets

Accounting Multiple Choice Questions

Total questions: 29

Worksheet time: 15mins

Name
Class
Date
1.

Every transaction has:

a)

One effect

b)

Three effects

c)

Four effects

d)

Two effects

2.

Expenses are:

a)

Credited

b)

Ignored

c)

Debited

d)

Reversed

3.

A journal is:

a)

Ledger

b)

Trial balance

c)

Book of original entry

d)

Balance sheet

4.

A ledger contains:

a)

Source documents

b)

Accounts

c)

Cash only

d)

Credit notes

5.

Cash sales credit entry goes to:

a)

Purchase account

b)

Cash account

c)

Sales account

d)

Ledger closing

6.

Cash book is:

a)

Journal

b)

Ledger

c)

Both journal and ledger

d)

None

7.

Cash received is on:

a)

Right side

b)

Debit side

c)

Credit side

d)

Middle

8.

Bank overdraft is on:

a)

Debit side

b)

Both sides

c)

Credit sides

d)

Asset side

9.

Contra entry occurs when:

a)

Bank pays supplier

b)

Both sides

c)

Cash is deposited into Goods returned

d)

Customer pays cash

10.

Petty cash book handles:

a)

Large payments

b)

Small payments

c)

Purchases

d)

Small payments

11.

Imprest system relates to:

a)

Ledger

b)

Control accounts

c)

Petty cash

d)

Invoices

12.

Discount allowed is on:

a)

Right side

b)

Debit side

c)

Credit side

d)

Asset side

13.

Cheque payments appear on:

a)

Debit side

b)

Both sides

c)

Credit side

d)

Asset

14.

Cash book records:

a)

Cash only

b)

Bank only

c)

Debit

d)

Credit

15.

Opening cash in hand is on:

a)

Credit

b)

Cash account

c)

Ledger

d)

Asset

16.

Bank reconciliation compares cash book with:

a)

Ledger

b)

Issued but not cashed

c)

Deposits not yet recorded by bank

d)

Purchases

17.

Unpresented cheques are:

a)

Lost

b)

Withdrawals

c)

Issued but not cashed

d)

Deposits not yet recorded by bank

18.

Deposits not credited are:

a)

Sales

b)

Cash payment

c)

Deposits not yet recorded by bank

d)

Purchases

19.

Appears in bank statement only:

a)

Sales

b)

Cash payment

c)

Cheque issued

d)

Ledger

20.

Standing order: 1. Returned unpaid 2. Loan paid 3. Positive balance

a)

Returned unpaid

b)

Loan paid

c)

By bank customer's behalf

d)

Positive balance

21.

Customer transfer appears in:

a)

Counterfoil

b)

Prudence

c)

Consistency

d)

Realization

22.

Dishonoured cheque is:

a)

Paid

b)

More cash

c)

Returned unpaid

d)

Loan paid

23.

Increase in overdraft means:

a)

Debt

b)

By customer

c)

Loan paid

d)

Positive balance

24.

Favourable balance means:

a)

Debt

b)

By customer

c)

Positive balance

d)

Prudence

25.

Direct debit is a payment:

a)

By customer

b)

Prudence

c)

Consistency

d)

Realization

26.

The convention that requires accountants to be cautious in reporting profits is:

a)

Matching

b)

Accrual

c)

Prudence

d)

Consistency

27.

The assumption that a business will continue to operate indefinitely is called:

a)

Matching

b)

Accrual

c)

Prudence

d)

Consistency

28.

The concept that requires recording revenue only when earned is ________:

a)

Matching

b)

Accrual

c)

Prudence

d)

Consistency

29.

The concept that states expenses should be matched with the related revenue is:

a)

Consistency

b)

Realization

c)

Cost

d)

Matching