13 Lecture - Vouchers and Posting to Ledger Accounts

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13 Lecture

MGT101

Midterm & Final Term Short Notes

Vouchers and Posting to Ledger Accounts

Vouchers are documents that provide evidence of a financial transaction. They contain details such as the date, amount, and purpose of the transaction. Posting to ledger accounts involves transferring information from vouchers or journal entries


Important Mcq's
Midterm & Finalterm Prepration
Past papers included

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  1. Which of the following is not a type of voucher? a) Purchase voucher b) Sales voucher c) Payment voucher d) Liability voucher Answer: d) Liability voucher

  2. Which document serves as a source document for a payment voucher? a) Sales invoice b) Purchase order c) Receipt d) None of the above Answer: c) Receipt

  3. What is the purpose of posting to ledger accounts? a) To summarize financial transactions b) To provide evidence of transactions c) To calculate financial ratios d) To reconcile bank statements Answer: a) To summarize financial transactions

  4. Which of the following is a liability account? a) Cash b) Accounts receivable c) Accounts payable d) Inventory Answer: c) Accounts payable

  5. Which side of a ledger account is used for debits? a) Left side b) Right side c) Both sides d) None of the above Answer: a) Left side

  6. Which type of account is used for recording sales transactions? a) Revenue account b) Expense account c) Asset account d) Liability account Answer: a) Revenue account

  7. Which of the following is a contra account? a) Accumulated depreciation b) Accounts payable c) Prepaid expenses d) Inventory Answer: a) Accumulated depreciation

  8. When posting to a ledger account, which column of the journal is used to record the account number? a) Debit column b) Credit column c) Particulars column d) None of the above Answer: c) Particulars column

  9. What is the purpose of a trial balance? a) To identify errors in posting b) To calculate net income c) To prepare financial statements d) All of the above Answer: a) To identify errors in posting

  10. Which of the following is a current asset? a) Property, plant, and equipment b) Accounts receivable c) Patents d) Goodwill Answer: b) Accounts receivable



Subjective Short Notes
Midterm & Finalterm Prepration
Past papers included

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  1. What is a voucher? Answer: A voucher is a document that serves as proof of a financial transaction.

  2. What is the purpose of a payment voucher? Answer: The purpose of a payment voucher is to document a payment made by a company to a third party.

  3. What is a ledger account? Answer: A ledger account is a record of all the transactions related to a specific account in a company's accounting system.

  4. What is the difference between a debit and a credit in accounting? Answer: In accounting, a debit is an entry that increases an asset or expense account, or decreases a liability or equity account. A credit is an entry that increases a liability or equity account, or decreases an asset or expense account.

  5. What is the purpose of posting to ledger accounts? Answer: The purpose of posting to ledger accounts is to summarize financial transactions in a way that makes it easy to see the total amount for each account.

  6. What is a contra account? Answer: A contra account is an account that is used to offset another account, such as accumulated depreciation for a fixed asset.

  7. What is a trial balance? Answer: A trial balance is a report that lists all the accounts in a company's accounting system and their balances, to ensure that debits equal credits.

  8. What is the purpose of a general journal? Answer: The purpose of a general journal is to record all types of transactions that cannot be recorded in any other specialized journal.

  9. What is double-entry accounting? Answer: Double-entry accounting is an accounting system where every financial transaction is recorded in two different accounts, with one entry as a debit and one as a credit.

  10. What is the difference between a general ledger and a subsidiary ledger? Answer: A general ledger contains all the accounts in a company's accounting system, while a subsidiary ledger contains details of a specific account within the general ledger.

Vouchers are important documents used in accounting to record financial transactions. A voucher can be defined as any written evidence that supports a transaction. It provides proof that a financial transaction has occurred and is typically used to support payment for goods or services. Vouchers can come in many forms, such as cash receipts, invoices, or checks. When a voucher is received by a company, it must be recorded in the company's accounting system. This is where the process of posting to ledger accounts comes in. Ledger accounts are records that show all the transactions that have been made for a particular account. Each transaction must be posted to the appropriate ledger account, so that the balance of the account can be determined at any given time. To post a transaction to a ledger account, the transaction must first be analyzed to determine which accounts are affected. Then, the transaction is entered into the appropriate journal, such as the cash receipts journal or the sales journal. After the journal entry is made, the transaction is posted to the corresponding ledger account. Each transaction must be posted to at least two ledger accounts - one debit and one credit - in order to maintain the balance of the accounting equation. Posting to ledger accounts is an important part of the accounting process, as it helps to keep track of all the financial transactions made by a company. By keeping accurate records of these transactions, companies can make informed decisions about their financial health and plan for the future. It also provides a system of checks and balances, ensuring that financial records are accurate and reliable.

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