CBSE Class 11 Accountancy Rectification Of Errors MCQs Set C

Question: Goods of Rs.1,000 purchased from Mr. “A” were recorded in sales book, the rectification of this error will:
a) Increase the gross profit
b) Reduce the gross profit
c) Have no effect on gross Profit
d) None of the given options
Answer: b

Question: Suspense Account in the trial balance will be entered in the:
a) Manufacturing A/c
b) Trading A/c
c) Profit & Loss A/c
d) Balance Sheet
Answer: d

Question: Which of the following account will be credited when a typewriter is sold that has been used in the office?
a) Purchase Account
b) Sales Account
c) Cash Account
d) Office Equipment Account
Answer: d

Question: When one or both aspects of a transaction are recorded in the wrong class or category of account, this is called:
a) Error of principle
b) Error of omission
c) Error of commission
d) Error of original entry
Answer: a

Question: Goods of Rs. 500 given as charity should be credited to
a) Charity Account
b) Sales Account
c) Purchases Account
d) None of the options
Answer: c

Question: An Asset Account shows a __________ balance.
a) credit
b) debit
c) debit or credit
d) None of the options
Answer: b

Question: Goods sold to Sethi for Rs.640 was recorded in his account as Rs.460. In the rectifying entry, Sethi’s A/c will be debited with:
a) 180
b) 460
c) 640
d) 1,100
Answer: a

Question: The accountant opens the following account when Trial Balance does not match
a) Capital Account
b) Suspense Account
c) Drawings Account
d) Profit and Loss Account
Answer: b

Question: A trial balance facilitates the preparation of:
a) Trading Account Only
b) Profit & Loss a/c only
c) Balance Sheet only
d) Final accounts
Answer: d 

Question: A mistake in the casting of subsidiary books is __________.
a) Errors of commission
b) Errors of principle
c) Compensating errors
d) Errors of omission
Answer: a

Question: A brief-case purchased for Rs.800 for the son of a partner was debited to General Exp. A/c with Rs.80. In the rectifying entry, Drawings A/c should be debited with:
a) 880
b) 720
c) 800
d) 80
Answer: c

Question: Suspense Account is a
a) Real Account
b) Personal Account
c) Nominal Account
d) Any of the options
Answer: d

Question: The error which can be disclosed by Trial balance
a) Error of omission
b) Error of principle
c) Compensatory error
d) None of the options
Answer: d

Question: Preparation of a Trial Balance is
a) compulsory
b) optional
c) compulsory or optional
d) None of the options
Answer: b

Question: Errors committed due to lack of basic principle of Accounting are called
a) Compensating errors
b) Error of principle
c) Single sided error
d) None of the options
Answer: b

Question: Which of the following is not an error of commission:
a) A sale of Rs.560 not recorded in Books at all
b) Rent paid to landlord was posted to Landlord’s Account
c) A purchase of Rs.840 was wrongly posted to sales Account
d) Instead of credited Shyam credited the other creditor Sham
Answer: a

Question: What kind of accuracy is tested by Trial balance
a) Theoretical
b) Practical
c) Arithmetical
d) None of the options
Answer: c

Question: Errors Committed by omitting entries in the Journal book is called
a) Error of commission
b) Error of principle
c) Error of omission
d) None of the options
Answer: c

Question: Which type of error do not effect net profit?
a) Affecting nominal account only
b) Affecting personal and real a/cs
c) both Affecting nominal account only and Affecting personal and real a/cs
d) None of the options
Answer: b

Question: Which of the following is prepared on the basis of Trial Balance
a) Journal
b) Ledger
c) Final Accounts
d) None of the options
Answer: c

Question: Trial Balance is a list of the balance of
a) All Accounts
b) Only Personal and Real Accounts
c) Only Real and Nominal Accounts
d) Only Personal Accounts
Answer: a

Question: On the basis of the nature of errors, all the errors can be divided into
a) 3
b) 4
c) 5
d) 10
Answer: b 

Question: Which of the following errors will not affect the agreement of trial balance?
a) Errors of Complete Omission
b) Compensatory Errors
c) Error of principle
d) All of the options
Answer: d

Question: Sales Book was overcast by Rs.1,000.
a) Errors of Omission
b) Errors of Commission
c) Errors of Principle
d) None of the options
Answer: b

Question: What is an Example of Errors of Omission?
a) When the transaction recorded is in contravention with the general accounting policies
b) When the account is written on the wrong side or posted in the wrong account or casting errors etc.
c) When a transaction is partially or completely omitted
d) When the effect of errors committed cancel out each other
Answer: c

Question: Purchased goods from Gopal for Rs.3,600 but was recorded in Gopal’s A/c as Rs.6,300. In the rectifying entry, Gopal’s A/c will be debited with:
a) 9,900
b) 2,700
c) 3,600
d) 6,300
Answer: b

Question: It is easy to detect………….… than to…………………….
a) frauds, errors
b) mistakes, frauds
c) errors, frauds
d) errors, mistakes
Answer: c

Question: Rs. 2,000 paid as wages for installing a machine should be debited to
a) Wages Account
b) Machinery Account
c) Capital Account
d) None of the options
Answer: b 

Question: The preparation of Trial Balance helps in
a) Judging the Financial Position
b) Locating Errors of All Types
c) Preparation of Final Accounts
d) None of the options
Answer: c 

Question: Sales to Smita Rs.175 posted to his account as Rs.157. It is an example of
a) Errors of Omission
b) Errors of Commission
c) Errors of Principle
d) None of the options
Answer: b 

Question: A purchase returns of Rs. 100 to Ram, if entered in the sales book would affect:
a) Ram’s account
b) Purchase returns account
c) Purchases returns account and sales account
d) Sales account and purchases account
Answer: c

Question: Which of the following errors is revealed by the Trial Balance:
a) Wrong amount entered into the book of original entry
b) Wrong amount posted in the ledger Account
c) Complete omission of an entry from the books of original entry
d) When accounting principle is violated while recording a transaction in the books of Account
Answer: b