Railway Accounts Department Examinations

Showing posts with label bookkeeping. Show all posts
Showing posts with label bookkeeping. Show all posts

Saturday, October 24, 2026

Bookkeeping - MCQ Practice - Youtube Video Bilingual

 




click for Youtube Video on "Bookkeeping - MCQ Practice"


Description: • Bookkeeping — Accounts Department

* Appendix2 & Appendix3 Exam Preparation

* 70 Exam-oriented Multiple-Choice Questions (MCQs)

* Practice with Clear Explanations

* Hindi & English

* Previous Year Questions — Appendix2 Exam 2025

* Expert Faculty: Shri Vijay Kumar Goli


* बहीखाता — लेखा विभाग

* Appendix2 एवं Appendix3 परीक्षा की तैयारी

* 70 परीक्षा-उपयोगी बहुविकल्पीय प्रश्न

* स्पष्ट व्याख्याओं सहित अभ्यास

* हिंदी एवं अंग्रेज़ी

* पिछले वर्ष के प्रश्न — Appendix2 परीक्षा 2025

* विशेषज्ञ संकाय: श्री विजय कुमार गोली


Sunday, October 4, 2026

Accounting Assumptions (Bookkeeping) - PYQ - MCQ: AOM LDCE 2022 - Bilingual

 

PYQ - MCQ: AOM LDCE 2022 

(Important for AFA exam, not for other Depts)


MCQ: All of the following are classified as fundamental accounting assumptions, except:

 

A. Consistency

B. Business Entity

C. Going Concern

D. Accrual

 

Correct Answer: B. Business Entity

 

## 📘 Explanation: According to Accounting Standard 1 (AS 1) - Disclosure of Accounting Policies, issued by the Institute of Chartered Accountants of India (ICAI), there are exactly three fundamental accounting assumptions.

 

> The ICAI mandates that these three assumptions are automatically followed in the preparation and presentation of financial statements. If they are not followed, a specific disclosure is required:

 

* Going Concern: The assumption that the enterprise will continue its operations for the foreseeable future and has neither the intention nor the necessity of liquidation.

 

* Consistency: The assumption that accounting policies are applied consistently from one financial period to another to ensure meaningful comparison.

 

* Accrual: The assumption that revenues and costs are recognized as they are earned or incurred and recorded in the financial statements of the periods to which they relate.

 

## Why "Business Entity" is the Exception;

 

While the Business Entity concept is a foundational pillar of accounting, the ICAI classifies it as a basic accounting principle, not a fundamental assumption. 

 

It states that a business enterprise is a separate legal and financial entity distinct from its owners, meaning personal and business transactions must never be mixed.

------------------------------

 

## 💡 Exam Tip: As per the ICAI guidelines, always use the mnemonic GCA (Going Concern, Consistency, Accrual) to instantly remember the only three fundamental accounting assumptions recognized under AS 1.


Key Takeaways for MCQ:

  1. Total fundamental Accounting Assumptions as per AS - 1 are 3 
  2. 3 Accounting Assumptions are A. Going concern B. Consistency & C. Accrual  (Mnemonic is “G C A”)
  3. AS stands for Accounting Standards issued by ICAI - Institute of Chartered Accountants of India 
  4. AS-1 deals with Disclosure of Accounting policies

 

PYQ - MCQ: AOM LDCE 2022

(यह जानकारी AFA परीक्षा के लिए महत्वपूर्ण है, अन्य विभागों के लिए नहीं)

 

बहुविकल्पीय प्रश्न। निम्नलिखित में से कौन सा मूलभूत लेखांकन मान्यता नहीं है?

ए. संगति

बी. व्यावसायिक इकाई

सी. चालू व्यवसाय

डी. उपार्जन

 

सही उत्तर: B. व्यावसायिक इकाई

 

## 📘 स्पष्टीकरण: के अनुसार भारतीय चार्टर्ड लेखाकार संस्थान (आईसीएआई) द्वारा जारी लेखांकन मानक 1 (एएस 1) - लेखांकन नीतियों का प्रकटीकरणलेखांकन की ठीक तीन मूलभूत मान्यताएँ हैं।

 

ICAI का यह अनिवार्य नियम है कि वित्तीय विवरणों की तैयारी और प्रस्तुति में इन तीन मान्यताओं का स्वतः पालन किया जाए। यदि इनका पालन नहीं किया जाता है, तो एक विशिष्ट प्रकटीकरण आवश्यक है:

 

* वर्तमान चिन्ता:यह मानकर चला जा रहा है कि उद्यम निकट भविष्य में अपना परिचालन जारी रखेगा और उसका परिसमापन करने का न तो इरादा है और न ही आवश्यकता है।

 

* स्थिरतायह मान्यता कि सार्थक तुलना सुनिश्चित करने के लिए लेखांकन नीतियों को एक वित्तीय अवधि से दूसरी वित्तीय अवधि में लगातार लागू किया जाता है।

 

* संचययह मान्यता है कि राजस्व और लागत को अर्जित या व्यय होते ही मान्यता दी जाती है और संबंधित अवधियों के वित्तीय विवरणों में दर्ज किया जाता है।

 

## "व्यावसायिक इकाई" अपवाद क्यों है;

 

हालांकि व्यावसायिक इकाई की अवधारणा लेखांकन का एक मूलभूत स्तंभ है, लेकिन आईसीएआई इसे एक बुनियादी लेखांकन सिद्धांत के रूप में वर्गीकृत करता है, न कि एक मौलिक मान्यता के रूप में।

 

इसमें कहा गया है कि एक व्यावसायिक उद्यम अपने मालिकों से अलग एक स्वतंत्र कानूनी और वित्तीय इकाई है, जिसका अर्थ है कि व्यक्तिगत और व्यावसायिक लेनदेन को कभी भी आपस में नहीं मिलाना चाहिए।

------------------------------

 

💡 परीक्षा संबंधी सुझाव:आईसीएआई के दिशानिर्देशों के अनुसार, हमेशा इसका उपयोग करेंस्मरणीय सूत्र GCA (गोइंग कंसर्न, कंसिस्टेंसी, एक्रुअल)एएस 1 के तहत मान्यता प्राप्त केवल तीन मूलभूत लेखांकन मान्यताओं को तुरंत याद रखना।

 

MCQ के लिए मुख्य बातें:


  1. AS-1 के अनुसार कुल 3 बुनियादी अकाउंटिंग मान्यताएँ (fundamental Accounting Assumptions) हैं।
  2. ये 3 अकाउंटिंग मान्यताएँ हैं: A. गोइंग कंसर्न (Going concern), B. कंसिस्टेंसी (Consistency) और C. एक्रूअल (Accrual) (याद रखने के लिए शॉर्टकट: "G C A")।
  3. AS का मतलब है अकाउंटिंग स्टैंडर्ड्स (Accounting Standards), जिन्हें ICAI (इंस्टीट्यूट ऑफ़ चार्टर्ड अकाउंटेंट्स ऑफ़ इंडिया) द्वारा जारी किया जाता है।
  4. AS-1 अकाउंटिंग पॉलिसीज़ के डिस्क्लोज़र (खुलासे) से संबंधित है।

 

Tuesday, May 27, 2025

How to Prepare Bookkeeping Exam for Appendix3 Exam of Accounts Department

 

How to Prepare for the Advanced Book Keeping Paper 

(Part I of Appendix III-A Examination)

Many candidates find the Advanced Book Keeping paper in Part I of the Appendix III-A Examination quite challenging. Interestingly, a large number of those who fail this paper are commerce graduates. One possible reason is overconfidence, leading to underestimation of the paper’s depth and complexity.

Recommended Books:

  1. Official Textbook:

    • “The Students’ Complete Commercial Book-Keeping, Accounting and Banking” by Arthur Fieldhouse
      This is the officially prescribed book for this paper. However, candidates are advised to check its availability with publishers or suppliers, as it may not be easily accessible.

  2. Reference from Appendix II-A:

    • “Double-Entry Book-Keeping” by Jamshed R. Batliboi (Standard Accountancy Publications).  Although recommended for Appendix II-A, this book can serve as a helpful reference. Please verify its availability.

  3. Suggested by Experts:

    • “Advanced Accounts” by Shukla & Grewal (S. Chand & Co. Pvt. Ltd., New Delhi) -  This book is easy to understand, widely used by students of commerce, and offers clear explanations suitable for exam preparation.


  1. Additional Suggestion:

    • Consult students pursuing B.Com, CA, or ICWA to explore more effective and updated book options.

Key Chapters to Look for in Any Selected Book:

Even if you opt for a different book, ensure that it covers the following essential topics (many of which are part of the Appendix II-A syllabus):

  • Elements of Double Entry

  • Rules for Journalizing

  • Ledger Accounts

  • Sub-Divisions of Journal

  • The Cash Book

  • Banking Transactions

  • Bill Transactions

  • The Journal Proper

  • The Trial Balance

  • The Trading Account

  • The Profit and Loss Account

  • The Balance Sheet

  • Depreciation, Reserve, and Other Funds

Important Tips for Preparation:

  • Thoroughly analyze previous question papers to understand the pattern and frequently asked topics.

  • Begin preparation early. Do not wait for the official notification of the Appendix III-A examination to start studying. Starting ahead gives you a strategic advantage.

Saturday, September 16, 2023

Bookkeeping - Journal Entries - Examples




 Bookkeeping - Journal Entries - Examples  


Nageswara Rao 9492432160


  1. If the Proprietor has withdrawn cash from the Business for Personal use, the journal entry is _________________


  1. Drawings Account is Debited and Capital Account is Credited 

  2. Cash Account is Debited and Drawings Account is Credited

  3. Capital Account is Debited and Cash Account is Credited 

  4. None of these  


Answer: D. None of these.  The correct answer is Drawings Account is Debited and Cash Account is Credited. 


Explanation: 


Drawings mean the amount withdrawn by the Proprietor from the Business. Hence Proprietor’s account is a personal account.  However, we operate Drawings Account in case of withdrawal of money and operate Capital Account in case of inducting the money into the Business.  


The drawing account comes under Personal Account.  The Rule of the Personal Account is Debit the Receiver and Credit the Giver.   


Hence Drawings Account is Debited. 


Cash is a Real Account.  The Rule of a Real Account is Debit what comes in and Credit what goes out. 


Hence the Cash Account is credited. 




First Account

Second Account

The Accounts Involved in the Transaction

Drawings

Cash

Type of Account

Personal Account

Real Account

Rule of Account

Debit the Receiver and Credit the Giver

Debit is What comes in and Credit is What goes out

Debit or Credit

Debited. Because the Proprietor is a receiver

Credited. Because Cash is going out from the Business




  1. Cash Sales to Mr. Mohan.  The Journal Entry is ___________ 


  1. The Cash Account is Debited and the Sales Account is Credited

  2. Cash Account is Debited and Mohan Account is Credited

  3. Mohan's Account is Debited and the Sales Account is Credited 

  4. None of these  


The correct answer is A. Cash Account is Debited and the Sales Account is Credited




First Account

Second Account

The Accounts Involved in the Transaction

Cash

Sales

Type of Account

Real Account

Nominal Account

Rule of Account

Debit is What comes in and Credit is What goes out

Debit all Expenses & losses and Credit all Incomes and Gains

Debit or Credit

Debited (Because cash is received)

Credited (because Sales is income)



Note: Both Purchases and Sales are Nominal Accounts.  Purchases imply expenses, whereas Sales imply generating Revenue (i.e., Incomes and Gains).  Thus as per the Golden Rule of Nominal Accounts, Debit all expenses & losses and Credit all incomes & gains. 



  1. Credit purchases from Mr Krishna.  The Journal entry is _________


  1. Purchase Account is Debited and Cash Account is Credited 

  2. Goods Account is Debited and Krishna Account is Credited

  3. Purchases Account is Debited and Krishna Account is Credited 

  4. Krishna Account is Debited and Purchases Account is Credited 


The Correct Answer is C.  




First Account

Second Account

The Accounts involved in the Transaction

Krishna

Purchases

Type of Account

Personal Account

Nominal Account

Rule of Account

Debit the Receiver and Credit the Giver

Debit all Expenses & losses and Credit all Incomes and Gains

Debit or Credit

Credited. Because Krishna is Giver. 

Debited (Because Purchases is an expenses) 



Note: Both Purchases and Sales are Nominal Accounts.  Purchases imply expenses, whereas Sales imply generating Revenue (i.e., Incomes and Gains).  Thus as per the Golden rule of Nominal Accounts, Debit all expenses & losses and Credit all incomes & gains.  



  1. Salary paid to Ms Sunitha through Cheque.  The Journal entry is _________ 


  1. Sunitha Account is Debited and Bank Account is Credited

  2. Salaries Account is Debited and Bank Account is Credited

  3. Bank Account is Debited and Sunitha Account is Credited

  4. Bank Account is Debited and Salaries Account is Credited 


The correct Answer is B. 


 


First Account

Second Account

The Accounts involved in the Transaction

Bank

Salaries

Type of Account

Real Account

Nominal Account

Rule of Account

Debit What comes in and Credit What goes out

Debit all Expenses & losses and Credit all Incomes and Gains

Debit or Credit

Credited (Because cash goes out from the Bank)

Debited (because Salaries is an expense.)


Notes: Sunitha Account is not comes in records. Because the Firm pays salary for services rendered by Sunitha.  Hence Salaries Account is recorded, not Sunitha Account.  



    


  1. Goods returned to ABC limited.  Journal entry is _______________


  1. Goods outward account is debited and ABC limited account is credited

  2. Purchases Account is debited and ABC limited account is credited

  3. ABC limited account is debited and Goods inward account is credited

  4. None of these  


The Correct answer is ABC Limited Account is Debited and Goods Outward Account is Credited. 


Notes: Goods outward means Purchase Returns  and Goods inward means Sales Returns.  



First Account

Second Account

The Accounts involved in the Transaction

ABC Limited

Goods outward

Type of Account

Personal Account

Nominal Account

Rule of Account

Debit the Receiver and Credit the Giver

Debit all Expenses & losses and Credit all Incomes and Gains

Debit or Credit

Debited.  Because ABC limited is receiver.  

Credited.  Because Purchases is an expenses and Purchase Returns or Goods outward is an gain 



Notes: Candidates are advised to do the above templates initially till become confident in journalising.the transactions. 


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