Which of the following is a contra account? MCQ with Answer and Explanation

Which of the following is a contra account?
A. All of the above
B. Provision for Doubtful Debts
C. Accumulated Depreciation
D. Bank Account in Cash Book
Answer: Option A
Solution (By JKSSB Mock Tests)
Provision for Doubtful Debts is a contra asset to Debtors, Bank/Cash is a contra account in the cash book, and Accumulated Depreciation is a contra asset to Fixed Assets.

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Accountancy and Book Keeping Questions

Question #1
In recent years, which technology has significantly impacted accounting?
A. Cloud computing
B. Blockchain
C. Artificial intelligence
D. All of these

Correct Answer: Option D


Explanation:
All these technologies (cloud, AI, blockchain) are transforming accounting by automating tasks, improving accuracy, and enabling real-time reporting.

Question #2
S1: GST is a destination-based consumption tax. S2: GST is levied only at the central level. Which statement(s) is/are correct?
A. Neither S1 nor S2
B. S2 only
C. S1 only
D. Both S1 and S2

Correct Answer: Option C


Explanation:
GST is a destination-based tax, meaning the revenue goes to the state where the goods are consumed, not where they are produced. It is a dual GST, levied by both the Centre (CGST) and States (SGST). S1 is correct, S2 is incorrect.

Question #3
The 'Statement of Affairs' under single entry is similar to:
A. Cash Flow Statement
B. Balance Sheet
C. Trading Account
D. Profit and Loss Account

Correct Answer: Option B


Explanation:
Statement of affairs shows assets and liabilities, akin to a balance sheet.