A: A Trial Balance agrees when total debits equal total credits. R: An agreeing Trial Balance guarantees the absolute accuracy of the books of accounts. Choose the correct option. MCQ with Answer and Explanation

A: A Trial Balance agrees when total debits equal total credits. R: An agreeing Trial Balance guarantees the absolute accuracy of the books of accounts. Choose the correct option.
A. Both A and R are true and R is the correct explanation of A
B. Both A and R are true but R is NOT the correct explanation of A
C. A is false but R is true
D. A is true but R is false
Answer: Option D
Solution (By JKSSB Mock Tests)
A Trial Balance agrees when total debits equal total credits. However, it does not guarantee absolute accuracy, as errors like compensating errors, errors of principle, or complete omissions do not affect the tally. A is true, R is false.

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Practice More Accountancy and Book Keeping Questions

Question #1
The 'Due Date' for filing income tax return for an individual not subject to audit is generally:
A. 31st July of assessment year
B. 30th September
C. 31st March
D. 31st December

Correct Answer: Option A


Explanation:
For non-audit cases, the due date is 31st July of the assessment year.

Question #2
Under Indian tax law, 'Assessment Year' means:
A. Year following the previous year, in which income is assessed
B. Calendar year
C. Financial year
D. Year in which income is earned

Correct Answer: Option A


Explanation:
Assessment year is the year in which income of the previous year is assessed and taxed.

Question #3
The 'Double Taxation Avoidance Agreement' (DTAA) aims to:
A. Increase tax rates
B. Avoid double taxation of same income in two countries
C. Unify all taxes
D. Tax income twice

Correct Answer: Option B


Explanation:
DTAA provides relief from double taxation through exemption or credit method.