Accounting MCQs / Q&A

Financial accounting provides financial information to all of the following external users except:

A. Government agencies
B. investors
C. Creditors
D. Managers

Bookkeeg mainly concerns with which part of accounting process?

A. Analyzing
B. Preparing financial statements
C. Recording financial information
D. Auditing the books of accounts

Identify the correct sequence of accounting process

A. Communicating→Recording→Identifying
B. Recording→Communicating→Identifying
C. Identifying→communicating→recording
D. Identifying→recording→communicating

In accounting an Economic event is referred to as:

A. Cash
B. Bank statement
C. Transaction
D. Exchange of money

A. General journal
B. Cash journal
C. Purchase journal
D. Sales return day book

BUSINESS paid rent amounting to $100″ which of the following specialized journals records this transaction?

A. Cash receipts journal
B. Cash payments journal
C. Sales journal
D. Purchase journal

Which of the following is known as an evidence that a transaction took place?

A. Cash receipts journal
B. General journal
C. Source document
D. Cash book

Specialized journals are more adequate for which TYPE OF BUSINESSES?

A. Small businesses
B. Big businesses
C. Sole proprietorship
D. Partnership

Credit note is the basis for recording a transaction in which of the following SPECIALIZED journals?

A. Purchase journal
B. Sales return journal
C. General journal
D. Cash receipt journal

SALE of old furniture” will be recorded in which of the following specialised journals?

A. Purchase journal
B. Sales journal
C. General journal
D. Cash receipt journal