Practice Summary (16.6) - Journal, Ledger, and Trial Balance - Management 1 (Organizational Behaviour/Finance & Accounting)
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Summary

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Practice Questions

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Question 1 Easy

What is the primary purpose of the Journal?

💡 Hint: Think about where transactions are first written down.

Question 2 Easy

Which accounting method does the Journal follow?

💡 Hint: Remember, every entry must balance debits and credits.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

What is the main function of the Journal?

Is only to keep historical records
To record transactions chronologically
To summarize transactions

💡 Hint: What does the Journal do as transactions happen?

Question 2

The Ledger helps in preparing which of the following?

Trial Balance
Cash Flow Statement
Income Statement

💡 Hint: Think about what comes after classification.

1 more question available

Challenge Problems

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Challenge 1 Hard

A company received a cash payment of ₹2,000 for services rendered but mistakenly recorded it only as a debit to Cash without a corresponding credit. How would this affect the Trial Balance?

💡 Hint: Think about the principles of double-entry accounting.

Challenge 2 Hard

You need to prepare a Trial Balance from the following Ledger data: Cash A/c (Dr ₹3,000; Cr ₹1,000), Sales A/c (Dr ₹1,500; Cr ₹5,000). What is the total for both debits and credits?

💡 Hint: Add up both sides of the Ledger accounts carefully.

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