Trial Balance Test 1

Result

Trial Balance Test 1

Score
-
out of -
Rank
-
out of -

TIME Taken - -

SHARING IS CARING

If our Website helped you a little, then kindly spread our voice using Social Networks. Spread our word to your readers, friends, teachers, students & all those close ones who deserve to know what you know now.

Weekly Quiz Competition

Question 1
1 / -0

A trial balance contains the balances of ______________________.

A
Only personal and real accounts

B
Only real and nominal accounts

C
Only nominal and personal accounts

D
All accounts

Solution

Trial Balance is a statement which lists all the balances of the Real, Personal and Nominal Account irrespective of Capital or Revenue account. It contains two columns debit and credit.
Question 2
1 / -0

A statement containing the various ledger balances on particular date:

A
Compound journal

B
Ledger

C
Trial balance

D
None of these

Solution

The fundamental principle of the double entry system is that for every debit there will be a credit.The statement in which the debit and credit balances are noted down and finally totaled up to ascertain if they are equal, is called trial balance.
In other words, trial balance is a statement of the debit and credit balances of the various ledger accounts which is prepared to check their arithmetical accuracy.
Question 3
1 / -0

Which of the following account balance will be shown on debit side of Trial Balance?

A
Outstanding expenses

B
Cash a/c

C
Short-term loan

D
Creditors

Solution

Cash account is a real account. Rule for real account is debit what come in and credit what goes out.
Hence cash account is always have the debit balance and this will be shown as debit in trial balance.
Question 4
1 / -0

The trial balance ensures________.

A
Arithmetical accuracy of the accounts maintained

B
Recording of business transactions in a systematic manner

C
The cost of a fixed asset

D
All of the above

Solution

Trial balance is a statement of all debits and credits which consists of double entry system of book keeping and helps in the disagreement indicating an error. Hence, trial balance ensures arithmetical accuracy of the accounts maintained.
Question 5
1 / -0

Preparation of trial balance helps in the deduction of ___________.

A
Error of Principle

B
Compensating Errors

C
Errors of Omission

D
Clerical Errors

Solution

While doing the financial accounting, there are chances of having errors. Financial accounting is based on dual system of accounting where for every debit there will be a credit. In case of mismatch in trial balance, there are chances of a clerical error.
Question 6
1 / -0

The preparation of a trial balance helps in locating ______________.

A
Errors in Principle

B
Errors of Omission

C
Clerical Errors

D
Compensatory Errors

Solution

While recording the transaction, there is a possibility of having the error. Since accounting is based on double entry system, for every debit there will be a credit. Hence at any point of time, trial balance must be tallied. If trial balance dose not matches, there must be some clerical error.
Question 7
1 / -0

Preparation of a trial balance helps in locating __________.

A
Negligence

B
Clerical errors

C
Frauds

D
All of these

Solution

Option B is the correct answer.
Trial Balance is prepared to check and confirm whether posting of all transactions is done in the ledger. If trial balance agrees, it proves that books of account are arithmetically correct. If the total of debit and credit is not matching, it means there are some clerical error.

Hence, preparation of trial balance helps in locating the clerical error.
Question 8
1 / -0

Name the methods in which trial balance can be prepared.

A
Totals-cum-balances Method.

B
Totals Method.

C
Balances Method.

D
All of the above.

Solution

Trial balance can be prepared in three ways:

1) Total cum balance method- In this method, total and balances both are captured in tabular form.
2) Total Method- In this method, total of debit and credit are incorporated in the tabular form.
3) Balance method- In this method, only balances are taken in the trial balance.
Question 9
1 / -0

Totals method does not help in assuming _________of balances of various accounts.

A
Total of each side in the ledger

B
Application of double entry system

C
Accuracy

D
None of the above

Solution

Totals method is not in use widely as it does not determines the accurate balances of the accounts and thus, also does not help in the preparation of the Financial statements or final accounts.
Question 10
1 / -0

Which item is shown on the debit side of a trial balance?

A
Rent outstanding.

B
Prepaid expenses.

C
Purchases returns.

D
Excess of income over expenses.

Solution

Prepaid expenses means the expense which are already paid but the services against which are yet to receive. While passing the closing entry, expenses account will be credited by debiting the prepaid expense.

User

Question Analysis

Correct -
Wrong -
Skipped -

My Perfomance

Score
-
out of -
Rank
-
out of -

Re-Attempt Weekly Quiz Competition

Trial Balance Test 1

Result

Trial Balance Test 1

Score

-

Rank

-

SHARING IS CARING

Question 1

Only personal and real accounts

Only real and nominal accounts

Only nominal and personal accounts

All accounts

Solution

Question 2

Compound journal

Ledger

Trial balance

None of these

Solution

Question 3

Outstanding expenses

Cash a/c

Short-term loan

Creditors

Solution

Question 4

Arithmetical accuracy of the accounts maintained

Recording of business transactions in a systematic manner

The cost of a fixed asset

All of the above

Solution

Question 5

Error of Principle

Compensating Errors

Errors of Omission

Clerical Errors

Solution

Question 6

Errors in Principle

Errors of Omission

Clerical Errors

Compensatory Errors

Solution

Question 7

Negligence

Clerical errors

Frauds

All of these

Solution

Question 8

Totals-cum-balances Method.

Totals Method.

Balances Method.

All of the above.

Solution

Question 9

Total of each side in the ledger

Application of double entry system

Accuracy

None of the above

Solution

Question 10

Rent outstanding.

Prepaid expenses.

Purchases returns.

Excess of income over expenses.

Solution

User

Question Analysis

My Perfomance

Score

-

Rank

-

Results Announcement on: coming Monday

Stay Tuned: We’ll update you on your result via email or SMS.