Gujarat Board GSEB Class 11 Commerce Accounts Important Questions Part 1 Chapter 6 Subsidiary Books Important Questions and Answers.

GSEB Class 11 Accounts Important Questions Part 1 Chapter 6 Subsidiary Books

Very Short Questions (VSQs)
Answer the following questions in one sentence : [1 mark each]

Question 1.
What is Credit note book ?
Answer:
A subsidiary book in which only credit transactions of purchase of goods are recorded is called Credit note book.

Question 2.
What is Debit note book ?
Answer:
A subsidiary book in which only credit transactions of sales of goods are recorded is called Debit note book.

Question 3.
What is the other name of Purchase book ?
Answer:
Purchase book is also known as Credit note book or Jamavahi.

Question 4.
For what time interval (period) traders can maintain for the purchase book?
Answer:
According to the convenience and needs, traders can maintain purchase book for a fixed period. This time interval (period) may be on weekly, fortnightly, monthly, quarterly, etc. basis.

Question 5.
How many types of purchase book are there? Which are they?
Answer:
There are two types of purchase book :

1. Simple purchase book and
2. Columnar purchase book.

Question 6.
When columnar purchase book according to types of goods is used ?
Answer:
When a businessman purchases goods of more than one type, columnar purchase book for each type of goods is prepared instead of simple purchase book to know the details and information about each variety of goods.

Question 7.
Explain any two advantages of subsidiary books.
Answer:
Two advantages of subsidiary books are as under :

1. Because of preparing the subsidiary books, benefit of division of labour can be obtained.
2. Audit work becomes easier and speedy.

Question 8.
Which types of transactions are recorded in sales book?
Answer:
Transactions of only credit sales of goods are recorded in sales book.

Question 9.
By which other name purchase returns book is known ?
Answer:
Purchase returns book is also known as Goods returns debit book.

Question 10.
Who writes the debit note for whom?
Answer:
Trader of goods purchaser writes debit note on trader of goods seller.

Question 11.
When is the credit note written ?
Answer:
While intimating the customer about credit to his account in respect of returned goods, a credit note is written and sent to the customer.

Question 12.
Which document is more important for the preparation of sales return book ?
Answer:
Credit note is an important document for the preparation of sales return book.

Question 13.
For which reasons credit note is written ?
Answer:
A credit note is written for the following reasons:

1. Due to any reason, customer returns goods out of credit sales made.
2. When the invoice sent is for more amount than the amount of actual goods sold.
3. If any error in calculation at the time of accounting.
4. If any type of rebate is given to the customer.

Question 14.
Which types of transactions are recorded in bills payable book?
Answer:
Transactions relating to bills payable s accepted are recorded in the bills payable book.

Question 15.
Why ‘Mahajan Lago’ is not considered, when columnar purchase returns book according to goods and expenses is prepared ?
Answer:
When columnar purchase returns book according to goods and expenses is prepared, amount of Mahajan Lago is not considered because of it is not refunded.

Question 16.
Which types of transactions are recorded in the goods subsidiary books ?
Answer:
Only credit purchase of goods, credit sales of goods, credit purchase returns of goods and credit sales returns of goods are recorded in the goods subsidiary books.

Question 17.
Which types of transaction are recorded in the subsidiary books for bills ?
Answer:
Transactions for bills receivable drawn and bills payable accepted are recorded in the subsidiary books for bills.

Question 18.
In which subsidiary book Debit note number is to be recorded?
Answer:
In purchase returns book Debit note number is to be recorded.

Question 19.
What is shown in remark column of bills receivable book?
Answer:
In remark column of bills receivable book, details of use or disposal of such bill is shown.

Question 20.
Which document is prepared when the discount is received from the trader?
Answer:
Debit note is prepared when the discount is received from the trader.

Question 21.
Which type of document is prepared when any type of rebate is given to the customer ?
Answer:
Credit note is prepared, when any type of rebate is given to the customer.

Question 22.
Explain full form of GST.
Answer:
Goods and Services Tax is the full form of GST.

Question 23.
When simple purchase book is maintained ?
Answer:
When a businessman is purchasing only one type of goods, generally simple purchase book is maintained.

Question 24.
Where will be recorded, the total amount of credit purchase ?
Answer:
The total amount of credit purchase will be recorded on debit side of purchase account.

Question 25.
How many types of columnar Sales book are there ? Which are they ?
Answer:
There are two types of columnar sales book :

1. According to types of goods and
2. Sales book with columns for goods and expenses.

Question 26.
What are called goods subsidiary books ?
Answer:
The books in which the business entity, records credit purchase-sales and returns transactions are called goods subsidiary books.

Question 27.
Which transactions are not recorded in the purchase book?
Answer:
Cash purchase transactions and purchase of any assets are not recorded in purchase book.

Question 28.
Explain the formula of Net amount of purchase.
Answer:
Net amount of purchase = Total amount of credit purchase – Amount of trade discount + Purchase expenses

Question 29.
When columnar sales book is maintained ?
Answer:
When a businessman is selling more than one type of goods, generally columnar sales book is maintained.

Question 30.
Why purchase book is also known as Credit book?
Answer:
Purchase book is also known as Credit book as in this book the account of supplier (trader) of the goods is credited.

Question 31.
Why sales book is also known as Debit book?
Answer:
Sales book is also known as Debit book, as in this book the account of customer (purchaser) is debited.

Question 32.
Which types of subsidiary books are not popular in practice?
Answer:
Bills receivable book and Bills payable book are not popular in practice.

Question 33.
Which types of subsidiary books are more popular in practice ?
Answer:
Cash book, Goods subsidiary books and Journal proper are more popular subsidiary books in practice.

Question 34.
How many types of cash book are there ? Which are they ?
Answer:
There are three types of cash book:

1. Simple cash book,
2. Two columnar cash book and
3. Three columnar cash book.

Question 35.
Which vouchers / documents are necessary for the preparation of goods subsidiary books ?
Answer:
Inward invoice for purchase book, outward invoice for sales book, debit note for purchase return book and credit note for sales return book are necessary vouchers / documents for the preparation of goods subsidiary books.

Question 36.
How many types of subsidiary books for bills are there? Which are they?
Answer:
There are two types of subsidiary books for bills:

1. Bills receivable book and
2. Bills payable book.

Question 37.
Which book is maintained when the trader deals with only one type of goods?
Answer:
When the trader deals with only one type of goods, a simple sales book is maintained.

Question 38.
Transaction of goods return – credit is recorded in which subsidiary book ?
Answer:
Transaction of goods return – credit is recorded in sales return book.

Question 39.
In which book trade discount and cash discount is recorded ?
Answer:
Trade discount is not recorded in any book while cash discount is recorded in three columnar cash book.

Question 40.
Name of supplier and name of customer are recorded in which subsidiary books?
Answer:
Name of supplier is recorded in Purchase book while name of customer is recorded in sales book.

Short Sums for Subsidiary Book Prepare a necessary subsidiary book from the given below transactions: [3 marks each]

Question 1.
Prepare a Purchase Book in the book of Suresh from the following transactions :
2019
Oct. 1 Purchased goods of ₹ 10,000 from Dipak.
3 Purchased goods of ₹ 20,000 from Sardar Stores at 10 % trade discount. Invoice no. 116.
7 Purchased goods ₹ 18,000 from Pankaj on cash.
Answer:

Question 2.
From the following transactions, prepare a Purchase Book in the book of Jaydeep: 2019
March 10 Place an order with Kumar for supply of goods of ₹ 25,000 at 10 % trade discount.
13 Kumar supplied goods as per order and sent his Invoice no. 444 after adding 12% GST.
15 Purchased goods of ₹ 6,000 from Samir at 10 % cash discount. Bill no. 505.
Answer:

Note: Date 13 : Input COST of ₹ 1.350 and Input SGST of ₹ 1,350 will be recorded in Journal Proper.

Question 3.
Shri AmMka Stores is dealing in wood. From the following transactions, prepare its Sales Book:
2019
May 1 Sold goods of ₹ 20,000 at 15 % trade discount and 10% cash discount to Krishna on 3 month’s credit and sent bill no. 1514.
8 Sold old furniture of ₹ 7,500 on credit to Laxmaia.
10 Sold goods of ₹ 10,000 to Amba at 10 % trade discount. Sent bill no. 4140 after adding carriage of ₹ 500 and 12 % GST.
Answer:

Note : Date 10 : Output COST of ₹ 540, Output SGST of ₹ 540 and carriage of ₹ 500 will be recorded in Journal Proper.

Question 4.
From the following transactions, prepare Sales Book in the books of Ganesh Trading
Company:
2019
March. 10 Govind Traders placed an order for supply of goods of ₹ 30,000 at 10 % trade discount and 5 % cash discount.
12 Supplied goods to Govind Traders as per his order. Sent, bill No. 154.
15 Sold goods of ₹ 20,000 to Amar Stores at 10% trade discount on two months’ credit. Amar Stores paid half of the amount immediately.
Answer:

Question 5.
From the following transactions, prepare Purchase Return Book in the books of Haresh Kumar:
2019
July 8 Goods of ₹ 4,000, which were purchased from Naresh, were returned as it is in
damaged condition.
10 Goods of ₹ 3,500 returned to Mahesh and debit note no. 20 sent to Mm.
12 As per the mutual understanding, return empty boxes and containers of ₹ 1,500 to Shah Stores and sent a debit note no. 30 for the same.
Answer:

Question 6.
From the following transactions, prepare Sales Return Book of Shri Murarilal:
2019
April 10 Mugerilal returned goods of ₹ 3,000 for which credit note number 30 was sent to him.
14 Goods of ₹ 8,000 were sold to Alpa on credit. Out which she returned half of the
goods. Credit note no. 45.
16 Nanu returned goods of ₹ 3,900 and it was agreed to give rebate of ₹ 100 towards carriage.
Answer:

Question 7.
From the following information, prepare Columnar Purchase Book, with a columns of Bulb, Switch and Wire in the books of Bharat Electricals of Ahmedabad:
2019
Feb. 1 Purchased on credit the following items, bill No. 60 from Raj Electric Bhandar:
300 bulbs each of ₹ 50, 100 switches each of f 60 and 800 metre wire at the rate of ₹ 10 per metre.
12 Purchased 200 bulbs at the rate of ₹ 75 each and 1000 metre wire at the rate of ₹ 8 per metre, at 10 % trade discount from Mahajan Wire House. They have send the invoice no. 120. 12% GST is applicable.
Answer:

Note : Date 12 : Input CGST of ₹ 1,242 and Input SGST of ₹ 1,242 will be recorded in Journal Proper.

Multiple Choice Questions (MCQs)
Write the correct option from those given below each question : [ 1 mark each]

Question 1.
What is sent by the customer along with goods sold on credit are returned by them ?
(a) Debit note
(b) Credit note
(c) Bills receivable
(d) Bills payable
Answer:
(a) Debit note

Question 2.
Which types of transactions are recorded in Journal Proper ?
(a) Credit purchase of goods
(b) Credit sales of goods
(c) Credit purchase-sales of assets
(d) Returns of goods
Answer:
(c) Credit purchase-sales of assets

Question 3.
In which subsidiary book goods returned by customer are recorded ?
(a) Purchase book
(b) Sales book
(c) Purchase return book
(d) Sales return book
Answer:
(d) Sales return book

Question 4.
Which types of transactions are recorded in Purchase returns book ?
(a) Credit sales of goods transactions
(b) Credit purchase of goods transactions
(c) Credit purchase return of goods transactions
(d) Credit sales return of goods transactions
Answer:
(c) Credit purchase return of goods transactions

Question 5.
How many types of Purchase book are there ?
(a) Two
(b) Three
(c) Four
(d) Five
Answer:
(a) Two

Question 6.
What is the other name of purchase return book ?
(a) Goods return-debit book
(b) Goods return-credit book
(c) Debit book
(d) Credit book
Answer:
(a) Goods return-debit book

Question 7.
Which note is issued when bill for goods purchased on credit is received with excess amount ?
(a) Debit note
(b) Credit note
(c) Promissory note
(d) Bills payable
Answer:
(a) Debit note

Question 8.
Which one of the following is an important document related to sales returns book ?
(a) Credit note
(b) Debit note
(c) Credit memo
(d) Cash memo
Answer:
(a) Credit note

Question 9.
Goods-return debit means ……………… .
(a) Purchase
(b) Purchase return of goods
(c) Sales
(d) Sales return of goods
Answer:
(b) Purchase return of goods

Question 10.
Goods of ₹ 700 received as free sample. In which subsidiary book this transaction is recorded ?
(a) In Rough book
(b) In Purchase book
(c) Not any book
(d) In Journal Proper
Answer:
(c) Not any book

Question 11.
How many types of columnar debt-book are there ?
(a) Two
(b) Three
(c) Four
(d) Five
Answer:
(a) Two

Question 12.
Specific transactions are recorded in specific books. Such separate books of journal are known as ……………… .
(a) Rough book
(b) Journal book
(c) Subsidiary book
(d) Special book
Answer:
(c) Subsidiary book

Question 13.
Subsidiary books are also known as ………………. .
(a) Rough books
(b) Separate books
(c) Day books
(d) Ledger books
Answer:
(c) Day books

Question 14.
Whom account is to be debited based on received credit note ?
(a) Trader A/c
(b) Customer A/c
(c) Bank A/c
(d) Purchase-return A/c
Answer:
(a) Trader A/c

Question 15.
How many types of subsidiary books are there ?
(a) Four
(b) Ten
(c) Nine
(d) Eight
Answer:
(d) Eight

Question 16.
How many types of subsidiary books for bills are there ?
(a) Two
(b) Three
(c) Four
(d) Five
Answer:
(a) Two

Question 17.
In which subsidiary book credit purchase of computer is recorded ?
(a) Journal book
(b) Journal proper book
(c) Purchase book
(d) Cash book
Answer:
(b) Journal proper book

Question 18.
What is the other name of Debit book ?
(a) Purchase book
(b) Sales book
(c) Debit note
(d) Credit note
Answer:
(b) Sales book

Question 19.
What is the other name of Goods return credit book ?
(a) Purchase return book
(b) Sales book
(c) Sales return book
(d) Purchase book
Answer:
(c) Sales return book

Question 20.
Transactions of other forms of goods outward are recorded in which subsidiary book ?
(a) Purchase book
(b) Sales book
(c) Journal book
(d) Journal proper book
Answer:
(d) Journal proper book

Question 21.
important for preparation book ?
(a) Credit note
(b) Inward invoice
(c) Debit note
(d) Outward invoice
Answer:
(c) Debit note

Question 22.
Which document is important for preparation of sales book ?
(a) Inward invoice
(b) Outward invoice
(c) Purchase bill
(d) Credit note
Answer:
(b) Outward invoice

Question 23.
Which one of the following expense is not considered in columnar purchase returns book ?
(a) GST
(b) Railway-Freight
(c) Wages
(d) Mahajan Lago
Answer:
(d) Mahajan Lago

Question 24.
In which subsidiary book credit note number is to be recorded ?
(a) Sales book
(b) Sales return book
(c) Purchase book
(d) Purchase return book
Answer:
(b) Sales return book

Question 25.
Out of the following, which is the last column of bills receivable book?
(a) Amount of bills
(b) Bills no.
(c) Period of bills
(d) Remark
Answer:
(d) Remark

Question 26.
Which document is prepared by the trader, when the invoice is sent for more amount than the amount of actual goods sold ?
(a) Debit note
(b) Credit note
(c) Promissory note
(d) Credit-Debit note
Answer:
(b) Credit note

Question 27.
Which note is prepared, when the amount of empty bags or containers returned is to be recovered ?
(a) Credit note
(b) Promissory note
(c) Debit note
(d) Cash memo
Answer:
(c) Debit note

Question 28.
Where will be recorded, the total amount of credit sales ?
(a) Credit side of Sales account
(b) Credit side of Trading account
(c) Credit side of Profit & Loss account
(d) Credit side of Debtor’s account
Answer:
(a) Credit side of Sales account

Question 29.
How many types of subsidiary books of goods are there ?
(a) TWo
(b) Three
(c) Four
(d) Five
Answer:
(c) Four

Question 30.
When GST is added in sales invoice, then amount of GST is credited to which account?
(a) Sales A/c
(b) Government A/c
(c) Sales tax A/c
(d) GST A/c
Answer:
(d) GST A/c

Question 31.
Sub-division of journal is known as ………………. .
(a) Journal proper book
(b) Separate book
(c) Subsidiary book
(d) Bills book
Answer:
(c) Subsidiary book

Question 32.
Goods-return credit means ……………….. .
(a) Sales
(b) Sales return of goods
(c) Purchase
(d) Purchase return of goods
Answer:
(b) Sales return of goods

Question 33.
Which note is issued, when more amounts are credited to supplier’s account due to error in calculation at the time of accounting?
(a) Debit note
(b) Credit note
(c) Promissory note
(d) Credit-Debit note
Answer:
(a) Debit note

Question 34.
Out of the following, which voucher is not used in subsidiary books for goods ?
(a) Inward invoice
(b) Outward invoice
(c) Debit/Credit note
(d) Cash memo
Answer:
(d) Cash memo

Question 35.
Which subsidiary book is not popular in practice ?
(a) Purchase book
(b) Sales book
(c) Bills book
(d) Cash book
Answer:
(c) Bills book

Question 36.
Which one of the following is a part of goods subsidiary books?
(a) Sales account
(b) Sales return account
(c) Sales note
(d) Sales book
Answer:
(d) Sales book

Question 37.
In how many ways cash book is prepared ?
(a) Two
(b) Three
(c) Four
(d) Five
Answer:
(b) Three

Question 38.
Which type of cash book is more popular?
(a) Simple cash book
(b) Two columnar cash book
(c) Three columnar cash book
(d) Petty cash book
Answer:
(c) Three columnar cash book

Question 39.
Which column of subsidiary book is not filled at the time of recording the transaction ?
(a) Inward invoice No.
(b) Ledger folio No.
(c) Outward invoice No.
(d) Debit/Credit note No.
Answer:
(b) Ledger folio No.

Question 40.
Which document is important for preparation of credit note book ?
(a) Debit note
(b) Credit note
(c) Inward invoice
(d) Outward invoice
Answer:
(c) Inward invoice