If a transaction is recorded in the Journal Proper, which of the following is the most likely scenario?
A. Credit purchase of trading goods
B. Cash payment of wages
C. Cash sale of old furniture
D. Credit purchase of machinery for business use
Answer: Option D
Solution (By JKSSB Mock Tests)
Credit purchases of assets (like machinery) do not go into the Purchases Book (which is only for trading goods) or Cash Book (as it's a credit transaction). They are recorded in the Journal Proper.
A: Errors of complete omission do not affect the Trial Balance. R: In an error of complete omission, neither the debit nor the credit aspect is recorded. Choose the correct option.
A.A is false but R is true
B.A is true but R is false
C.Both A and R are true but R is NOT the correct explanation of A
D.Both A and R are true and R is the correct explanation of A
Explanation:
An error of complete omission means the transaction is not recorded at all. Since neither debit nor credit is entered, the total debits and credits remain equal, and the Trial Balance still agrees. R correctly explains A.
Explanation:
Zero-Based Budgeting requires every expense to be justified for each new period, starting from a 'zero base' rather than using previous budgets.
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