CASH BOOK MCQs with Answers
(1) WHAT IS CASH BOOK?
In this book all cash receipts and payments are recorded in a business is called cash Account or Cash Book.
(2) WHAT YOU MEAN BY PURCHASE BOOK?
In a huge business, a separate book is maintained for credit purchases which is called Purchase book.
(3) WHAT IS SALES BOOK?
A large scale business used a separate book for recording the credit sales is called Sales Book.
(4) WHAT IS PURCHASE RETURN BOOK?
When defective goods which purchased on credit returned to supplier are recorded in a separate book is called Purchase Return Book.
(5) WHAT IS SALES RETURN BOOK?
That book which is used for recording returned goods to us by our purchasers is Called Sales Return book.
(6) DEFINE BILL RECEIVABLE BOOK?
All bills of which, amount is receivable of a business in future is recorded in a book Called Bill Receivable Book.
(7) DEFINE BILL PAYABLE BOOK?
All bills of which amount is payable by a business in future is recorded in a book is Called Bills payable Book.
(8) DEFINE PROPER JOURNAL?
Those transactions which have no separate book are recorded in proper Journal.
(9) DEFINE SINGLE COLUMN CASH BOOK?
If in a business all Cash transactions are recorded in a book which has one column is called single column Cash book.
(10) DEFINE TWO COLUMN CASH BOOK?
The Cash book which has two column i. discount ii. Cash in both sides it is called Two column Cash book.
(11) DEFINE THREE COLUMN CASH BOOK?
That book which has three column discount, Cash and Bank in both sides it is called Three Column Cash Book.
(12) WHAT IS CONTRA ENTRY?
That entry which is recorded both side of the three column cash
debit and credit side is called contra entry.