Refer to MCQs for Accountancy Class 11 with Answers Chapter 6 Trial Balance and Rectification of Errors designed as per the latest syllabus issued by CBSE. All Multiple choice questions have been provided with solutions and have been prepared based on the expected pattern in upcoming board exams. MCQs Chapter 6 Trial Balance and Rectification of Errors have been prepared by our team of best accountancy teachers.

Question  Goods of Rs. 500 given as charity should be credited to 
(a) Charity Account.
(b) Sales Account.
(c) Purchases Account.
(d) None of these.

Question An Asset Account shows a __________ balance. 
(a) credit
(b) debit
(c) debit or credit
(d) None of these.

Question. Goods lost by fire should be credited to:
(a) Trading A/c
(b) Loss by Fire A/c
(c) Sales A/c
(d) Profit & Loss A/c

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

Question. Trial Balance might match in spite of presence of:
(a) Errors of complete omission, Errors of principle
(b) Errors of complete omission
(c) Errors of commission
(d) Errors of principle

Question. Rectification entries are passed in –
(a) Journal Proper
(b) Purchase Book
(c) Sales Book
(d) None of the options

Question. A Suspense Account will give the
(a) Debit or Credit balance
(b) Debit balance
(c) Credit balance
(d) None of the options

Question  Goods of Rs. 1,000 taken by the proprietor for personal use should be credited to 
(a) Sales Account.
(b) Proprietor’s Personal Expenses Account.
(c) Purchases Account.
(d) None of these.

Question A Trial Balance shows 
(a) only credit balance.
(b) only debit balance.
(c) both debit and credit balances.
(d) either debit or credit balance.

Question. Rs. 2000 received from Smith whose account was previously written off as bad debt should be credited to –
(a) Bad debts recovered Account
(b) Smiths Account
(c) Cash Account
(d) None of the options

Question. Errors of complete omission permit
(a) Correct totalling of Trial Balance
(b) Correct totalling of B/S
(c) The Trial balance to agree
(d) All the above

Question. On purchase of old furniture, the amount of Rs. 1,000 spent on its repairs should be debited to –
(a) Furniture Account
(b) Repairs Account
(c) Cash Account
(d) None of the options

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

Question. Suspense Account is a 
(a) Real Account
(b) Personal Account
(c) Nominal Account
(d) Any of these

Question. Wages paid to a worker making additions to machinery amounting to Rs. 5,000 were debited to the Wages account. Identify the type of error.
(a) Error of principle
(b) Compensating error
(c) Error of omission
(d) Error of commission

Question. The error which can be disclosed by Trial balance-
(a) Error of omission
(b) Error of principal
(c) Compensatory error
(d) None of these.

Question Preparation of a Trial Balance is 
(a) compulsory.
(b) optional.
(c) compulsory or optional.
(d) None of these.

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 these.

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.

Question. What kind of accuracy is tested by Trial balance-
(a) Theoretical
(b) Practical
(c) Arithmetical
(d) None of these.

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 these.

Question. Which of the following is prepared on the basis of Trial Balance –
(a) Journal
(b) Ledger
(c) Final Accounts
(d) None of these.

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.

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

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

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

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 these.

Question. Which item shows a debit balance in the Trial Balance?   
(a) Purchase Return
(b) Salary outstanding
(c) Sales
(d) Prepaid Expense

Question. Errors are   
(a) Undetected mistakes
(b) Intentional Mistakes
(c) Frauds
(d) Unintentional Mistakes

Question. Rs. 10,000 received from Apoorva is credited in the account of Prachi. It is an error of   
(a) Principle
(b) Omission
(c) Commission
(d) Compensatory

Question. Account which is opened to put the different in the trial balance by some name so that trial balance can be tallied.
(a) Personal A/C
(b) Real A/C
(c) Suspense A/C
(d) None of these

Question. One sided Errors are Located before which account.
(a) Closing Account
(b) Opening Account
(c) Both
(d) None of these

Question  Trial Balance is prepared to locate 
(a) Errors of Principle.
(b) Errors of omission.
(c) Compensating Errors.
(d) None of these.

Question  Errors of omission permit   
(a) correct totalling of the Balance Sheet.
(b) correct totalling of the Trial Balance,
(c) the Trial Balance to match.
(d) None of these.

Question Which item is shown as debit balance in the Trial Balance 
(a) Cash in Hand.
(b) Rent Outstanding.
(c) Creditors.
(d) Bank Overdraft.

Question. Rs 550 enter as 500 which type of error
(a) Omission
(b) Commission
(c) Principle
(d) Compensating

Question. Charity expense is credit to sales
(a) Charity    Dr   to sales
(b) Charity    Cr   sales   Cr 
(c) Charity    Dr   sales   Dr
(d) Charity    Cr   sales   Dr 

Question. Which of the following error will be rectified through suspense account

(a) Purchase return to Vishal Rs.1000 not recorded
(b) Purchase return to Vishal Rs.1000 recorded through Sales return book
(c) Purchase return book under cast by 1000
(d) Purchase return to Vishal Rs.1000 recorded as Rs.100

Question. Which of the following is not an error of commission
(a) Wrong balancing of machinery account
(b) Credit sales to Pawan Rs.5000 credited to his account
(c) Cash sales not recorded in cash book
(d) Overcasting of sales book

Question. Sale of typewriter that has been used in the office should be credited to : 
(a) Sales A/c
(b) Cash A/c
(c) Capital A/c
(d) Typewriter A/c

Question A Trial Balance is 
(a) a statement.
(b) a summary,
(c) an account.
(d) None of these.

Question  On purchase of old furniture, the amount of Rs. 1,000 spent on its repairs should be debited to 
(a) Repairs Account.
(b) Furniture Account.
(c) Cash Account.
(d) None of these

Question. Rs. 1,500 received from Bahadur whose account was previously written off as bad-debt should be credited to 
(a) Bahadur’s A/c
(b) Bad-debts Recovered A/c
(c) Suspense A/c
(d) Cash A/c

Question. Suspense account is opened when ____ does not tally
(a) Balance sheet
(b) Trial balance
(c) Profit and loss
(d) Trading account

Question. Which of the following error would be disclosed by the Trial Balance
(a) Selling expenses have debited to Sale account
(b) Credit sales of Rs.2500 entered in both the account Rs.250
(c) Cheque Rs.5000 from Ram entered in Shyam account
(d) A purchase of Rs.3500 was omitted entirely from the books

Question. Rs.4,200 paid for conveyancing has been written off instead of capitalizing. This is an error of
(a) Commission
(b) Principle
(c) Compensating
(d) Omission

Question. A machine is purchased for Rs. 10,000 which was wrongly recorded in purchase account. Due to this error……..   
(a) Trial balance will show difference of Rs. 10,000
(b) Trial balance will not show any difference
(c) Trial balance will show the difference of Rs.20,000
(d) Trial balance will show a difference of Rs.5,000

Question  Purchase of office furniture for Rs. 1,200 was debited to the General Expenses Account. It is 
(a) a clerical error.
(b) an error of principle,
(c) an error of omission.
(d) None of these.

Question. Which of the following errors will not affect the trial balance :   
(a) Wrong balancing of an account
(b) Wrong totalling of an account
(c) Omission of an account from the trial balance
(d) Writing an amount in the wrong account but on the correct side

Question. Trial balance is prepared to check
(a)The arithmetical accuracy of books
(b)The honesty of the management
(c)Accuracy of the book-keeper
(d)Financial position

Question. Rent paid to landlord amounting to Rs.500 was credited to Rent A/c with Rs.5,000. In the rectifying entry, Rent A/c will be debited with :  
(a) 5,000
(b) 500
(c) 5,500
(d) 4,500

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.

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

Question. Which of the following errors will not affect the trial balance?
(a)Wrong balancing of an account. 
(b)Writing an amount in the wrong account but on the correct side.
(c)Wrong totalling of an account.
(d)Writing wrong account balance in the trial balance.

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 these.

Question  Suspense Account will give the   
(a) Debit balance.
(b) Credit balance.
(c) Debit or credit balance, as the case may be.
(d) None of these.

Question  Error not shown by Trial Balance are: 
(a) Errors of Principle.
(b) Compensating Errors.
(c) Errors of Complete Omission.
(d) All of the above.

Question. Which of the following statement is true?
(a)Error of recording is subsidiary books does not affect trial balance.
(b)Error in totalling of subsidiary book does not affect trial balance.
(c)A trial balance is a part of the journal and ledger.
(d)Agreement of a trial balance is a conclusive proof that all the transactions have been recorded.

Question  Goods destroyed by fire is credited to 
(a) Trading Account.
(b) Goods lost by Fire Account. .
(c) Sales Account.
(d) None of these.

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

Question. Which of the following statement is false?
(a)All rectification entries are passed through Journal Proper.
(b)A suspense account is created when the total of a trial balance do not agree.
(c)The trial balance is a prima facie evidence of the accuracy of the book-keeping.
(d)Trial balance can agree despite errors.

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.

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

 Question Sale of office furniture is credited to   
(a) Sales Account.
(b) Office Furniture Account.
(c) Cash Account.
(d) None of these.

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

Question Suspense Account is opened when:   
(a) Balance Sheet does not match.
(b) Trial Balance does not match.
(c) Total of Sales Account does not agree.
(d) None of these.

Question. Which of the following has credit balance?
(a)Capital
(b)Bank overdraft
(c)Profit from branch
(d)All of the above

Question. Which of the following errors are not disclosed by trial balance?
(a)Wrong totalling of subsidiary books.
(b)Posting of amount on the wrong side of ledger.
(c)Posting of wrong amount in two accounts.
(d)Capital expenditure shown as revenue expenditure.

Question  Rs. 2,000 received from Smith whose account was previously written off as Bad 
Debt should be credited to
(a) Bad Debts Recovered Account.
(b) Smith’s Account.
(c) Cash Account.
(d) None of these.

Question. Which of the following statement is false?
(a)Errors of omission arise due to complete omission of the transaction in the books or omission of posting to the ledger.
(b)Under or overcast of a subsidiary book is an example of error of commission.
(c)All errors are rectified by means of journal entries.
(d)Double sided compensating errors are possible.

Question. Sohan returned goods to us amounting Rs.4,200 but was recorded as Rs.2,400 in his account. In the rectifying entry, Sohan’s A/c will be credited with : 
(a) 1,800
(b) 4,200
(c) 2,400
(d) 6,600

Question. Freight expenses for moving machinery to factory are?
(a) Capital expenditure
(b) Deferred revenue expenditure
(c) Revenue expenses
(d) None of the above

Question. Failure to differentiate between capital and revenue expenditures so this error is called?
(a) Error of omission
(b) Compensating error
(c) Error of Principles
(d) none of them

Question. Wages paid to Mohan for erecting a machine should be debited to : 
(ia) Wages A/c
(b) Machine A/c
(c) Mohan’s A/c
(d) Cash A/c

Question. The Company incorrectly recorded a deposit of daily credit sales of Rs. 4,500 as Rs. 5,400. What is the appropriate entry, the company should follow regarding the error of Rs. 900?
(a) Add Rs.900 to its Cash account|
(b) Sales (Dr) and Account Receivable (Cr) with Rs. 900
(c) Account Receivable (Dr) and Sales (Cr) with Rs. 900
(d) None of above

Question. Errors which affect one side of an account are called?
(a) Single sided errors
(b) Double sided errors
(c) a and b
(d) None of the above

Question  An amount of Rs. 5,000 received from Ram is credited to Shyam. It is an error of   
(a) Omission.
(b) Commission.
(c) Compensation.
(d) Principle.

Question. Disagreement of trial balance includes which errors?
(a) Errors of omission
(b) Wrongly totaling of subsidiary books
(c) Compensating errors
(d) a and c only

Question. Which of the following is the error of principle? 
(a) The purchase book was over casted by Rs.500
(b) Credit sale to Arun Rs.700 recorded as purchase from Arun
(c) Goods returned to Charu Rs.4,000, posted in Chinoo’s A/c
(d) Wages paid for installation of machinery debited to Wages A/c

Question  Which of the following is not an error of principle?   
(a) Purchase of machinery debited to Purchase Account.
(b) Sale of old furniture credited to Sales Account.
(c) Repairs on the overhauling of existing Machinery debited to Machinery Account.
(d) Cash received from Mohan posted to Sohan.