Trial Balance (11-20)

11. The equality of debits and credits is tested periodically by preparing a?

(a) Income Statement

(b) General Journal

(c) Trial Balance

(d) Balance Sheet

Correct! Wrong!

12. Which of the following best describes a Trial balance?

(a) Shows all the entries in the books

(b) It is a list of total / balances of books

(c) Shows the financial position of a business

(d) It is a special account

Correct! Wrong!

13. Preparation of Trial Balance helps to deduction of?

(a) Error of Principle

(b) Clerical Errors

(c) Error of whole Omission

(d) Compensating Errors

Correct! Wrong!

14. For which of the following accounts is the normal balance a debit?

(a) Rent Payable

(b) Unearned Rent Revenue

(c) Rent Revenue

(d) Prepaid Rent

Correct! Wrong!

15. The Trial balance?

(a) Is formal financial statement

(b) Is used to prove that there are no errors in the journal or ledger

(c) Provides a listing of every account in the chart of accounts

(d) Provide a listing of the balance of each account in active use

Correct! Wrong!

16. Types of trial balance are?

(a) 1

(b) 2

(c) 3

(d) 4

Correct! Wrong!

17. Which one of the following could not be classified as revenue?

(a) Goods sold for cash

(b) Sales on credit

(c) Fee from the sale of services

(d) Income from the sale of fixed assets

Correct! Wrong!

18. Which most important reason for producing a trial balance prior to preparing the final accounting is?

(a) It confirms the accuracy of the ledger accounts

(b) It provides all the figures necessary to prepare the final accounts

(c) It shows that the ledger accounts contain debit and credit entries of an equal value

(d) It enables the accountant to calculate any adjustments required

Correct! Wrong!

19. Suspense account in the trial balance is entered in the?

(a) Trading A/c

(b) Profit and loss A/c

(c) Balance sheet

(d) Income statement

Correct! Wrong!

20. Wages paid to workers for the installation of new Machinery should be debited to?

(a) Wages Account

(b) Machinery Account

(c) Factory Expenses Account

(d) FOH

Correct! Wrong!

11. The equality of debits and credits is tested periodically by preparing a?

12. Which of the following best describes a Trial balance?

13. Preparation of Trial Balance helps to deduction of?

14. For which of the following accounts is the normal balance a debit?

15. The Trial balance?

16. Types of trial balance are?

17. Which one of the following could not be classified as revenue?

18. Which most important reason for producing a trial balance prior to preparing the final accounting is?

19. Suspense account in the trial balance is entered in the?

20. Wages paid to workers for the installation of new Machinery should be debited to?

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