Chapter trial-balance-and-rectification-of-errors: Trial Balance and Rectification of Errors Assertion-Reason Questions | accountancy Class 11 CBSE

Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 1

Logic Check

Assertion (A): A trial balance that tallies is conclusive proof of the accuracy of accounts. Reason (R): Equal totals of debit and credit balances ensure that all entries are correct in every respect.

Reasoning Options

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Assertion-Reason

Easy difficulty • Check the statement and reason

Easy

Question 2

Logic Check

Assertion (A): The Balances Method is the most widely used method for preparing a trial balance. Reason (R): Under the Balances Method, account balances summarise the net effect of all transactions and help in preparing financial statements.

Reasoning Options

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Assertion-Reason

Easy difficulty • Check the statement and reason

Easy

Question 3

Logic Check

Assertion (A): Compensating errors do not affect the agreement of the trial balance. Reason (R): Compensating errors are two or more errors whose combined net effect on debits and credits is nil.

Reasoning Options

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Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 4

Logic Check

Assertion (A): Furniture purchased for ₹10,000 debited to Purchases Account will cause disagreement in the trial balance. Reason (R): Errors of principle affect two accounts but do not disturb the equality of total debits and total credits.

Reasoning Options

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Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 5

Logic Check

Assertion (A): A suspense account is a permanent account that remains open throughout the life of the business. Reason (R): The suspense account is closed only when all one-sided errors affecting the trial balance have been located and rectified.

Reasoning Options

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Assertion-Reason

Easy difficulty • Check the statement and reason

Easy

Question 6

Logic Check

Assertion (A): An error of complete omission does not affect the agreement of the trial balance. Reason (R): When a transaction is completely omitted, neither the debit nor the credit is recorded, so both sides are equally unaffected.

Reasoning Options

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Assertion-Reason

Easy difficulty • Check the statement and reason

Easy

Question 7

Logic Check

Assertion (A): Overcasting of the Sales Book will cause an excess credit in the trial balance. Reason (R): The total of the Sales Book is posted as a credit to the Sales Account; overcasting inflates this credit, creating excess on the credit side.

Reasoning Options

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Assertion-Reason

Easy difficulty • Check the statement and reason

Easy

Question 8

Logic Check

Assertion (A): A trial balance is prepared after the financial statements are finalised. Reason (R): The trial balance helps in preparing financial statements by providing balances of all accounts at one place.

Reasoning Options

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Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 9

Logic Check

Assertion (A): Errors that affect only one account are rectified with the help of a suspense account. Reason (R): One-sided errors disturb the equality of debits and credits and cannot be corrected by a simple two-sided journal entry alone.

Reasoning Options

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Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 10

Logic Check

Assertion (A): If a difference in the trial balance is exactly divisible by 9, the error is likely due to transposition of figures. Reason (R): Transposition errors create a difference equal to 9 times the digit difference, which is always divisible by 9.

Reasoning Options

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Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 11

Logic Check

Assertion (A): Sale of old machinery credited to Sales Account is an error of commission. Reason (R): Sale of old machinery is a capital receipt and crediting it to Sales Account violates the distinction between capital and revenue transactions.

Reasoning Options

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Assertion-Reason

Hard difficulty • Check the statement and reason

Hard

Question 12

Logic Check

Assertion (A): Casting errors in subsidiary books affect the personal accounts of individual parties. Reason (R): In subsidiary books, individual transactions are separately posted to personal accounts, so a casting error in the total does not disturb those individual postings.

Reasoning Options

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Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 13

Logic Check

Assertion (A): An error discovered after preparing the trial balance but before preparing financial statements does not require a suspense account for rectification if it is a two-sided error. Reason (R): Two-sided errors affect two accounts and are corrected by a straightforward journal entry crediting one account and debiting the other.

Reasoning Options

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Assertion-Reason

Hard difficulty • Check the statement and reason

Hard

Question 14

Logic Check

Assertion (A): Errors committed during a financial year and discovered in the next year are rectified by debiting or crediting the Profit and Loss Adjustment Account in place of income or expense accounts. Reason (R): This prevents distortion of the current year's Profit and Loss Account for errors belonging to a prior period.

Reasoning Options

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Assertion-Reason

Easy difficulty • Check the statement and reason

Easy

Question 15

Logic Check

Assertion (A): Errors should be corrected by erasing the wrong entry and writing the correct one. Reason (R): Erasing reduces the authenticity of accounting records and may give the impression that something is being concealed.

Reasoning Options

ByteNotes

Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 16

Logic Check

Assertion (A): Goods withdrawn by the proprietor for personal use debited to Sundry Expenses Account affects the agreement of the trial balance. Reason (R): This is an error of principle affecting two accounts — Drawings Account and Sundry Expenses Account — and does not disturb the debit-credit equality.

Reasoning Options

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Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 17

Logic Check

Assertion (A): Partial omission of a transaction is a one-sided error that affects the trial balance. Reason (R): In partial omission, a transaction is recorded in the subsidiary book but posting to one of the accounts is omitted, leaving only one side of the double entry.

Reasoning Options

ByteNotes

Assertion-Reason

Easy difficulty • Check the statement and reason

Easy

Question 18

Logic Check

Assertion (A): The Totals Method of preparing a trial balance is the most commonly used in practice. Reason (R): Under the Totals Method, both debit and credit totals of each account are shown, making it more detailed and useful for preparing financial statements.

Reasoning Options

ByteNotes

Assertion-Reason

Medium difficulty • Check the statement and reason

Medium

Question 19

Logic Check

Assertion (A): When cash received from Govil ₹5,000 is posted to his account as ₹500, it is an error of commission affecting the trial balance. Reason (R): Only Govil's Account is posted with the wrong amount (short debit), leaving the Cash Account correctly credited, resulting in a one-sided error.

Reasoning Options

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Assertion-Reason

Easy difficulty • Check the statement and reason

Easy

Question 20

Logic Check

Assertion (A): A trial balance serves as the connecting link between accounting records and the preparation of financial statements. Reason (R): All revenue and expense accounts from the trial balance are transferred to Trading and Profit & Loss Account, and all assets, liabilities, and capital are transferred to the Balance Sheet.

Reasoning Options

ByteNotes

Chapter sections

Chapter trial-balance-and-rectification-of-errors: Trial Balance and Rectification of Errors | Assertion-Reason

Assertion (A): A trial balance that tallies is conclusive proof of the accuracy of accounts. Reason (R): Equal totals of debit and credit balances ensure that all entries are correct in every respect.

Assertion (A): The Balances Method is the most widely used method for preparing a trial balance. Reason (R): Under the Balances Method, account balances summarise the net effect of all transactions and help in preparing financial statements.

Assertion (A): Compensating errors do not affect the agreement of the trial balance. Reason (R): Compensating errors are two or more errors whose combined net effect on debits and credits is nil.

Assertion (A): Furniture purchased for ₹10,000 debited to Purchases Account will cause disagreement in the trial balance. Reason (R): Errors of principle affect two accounts but do not disturb the equality of total debits and total credits.

Assertion (A): A suspense account is a permanent account that remains open throughout the life of the business. Reason (R): The suspense account is closed only when all one-sided errors affecting the trial balance have been located and rectified.

Assertion (A): An error of complete omission does not affect the agreement of the trial balance. Reason (R): When a transaction is completely omitted, neither the debit nor the credit is recorded, so both sides are equally unaffected.

Assertion (A): Overcasting of the Sales Book will cause an excess credit in the trial balance. Reason (R): The total of the Sales Book is posted as a credit to the Sales Account; overcasting inflates this credit, creating excess on the credit side.

Assertion (A): A trial balance is prepared after the financial statements are finalised. Reason (R): The trial balance helps in preparing financial statements by providing balances of all accounts at one place.

Assertion (A): Errors that affect only one account are rectified with the help of a suspense account. Reason (R): One-sided errors disturb the equality of debits and credits and cannot be corrected by a simple two-sided journal entry alone.

Assertion (A): If a difference in the trial balance is exactly divisible by 9, the error is likely due to transposition of figures. Reason (R): Transposition errors create a difference equal to 9 times the digit difference, which is always divisible by 9.

Assertion (A): Sale of old machinery credited to Sales Account is an error of commission. Reason (R): Sale of old machinery is a capital receipt and crediting it to Sales Account violates the distinction between capital and revenue transactions.

Assertion (A): Casting errors in subsidiary books affect the personal accounts of individual parties. Reason (R): In subsidiary books, individual transactions are separately posted to personal accounts, so a casting error in the total does not disturb those individual postings.

Assertion (A): Errors should be corrected by erasing the wrong entry and writing the correct one. Reason (R): Erasing reduces the authenticity of accounting records and may give the impression that something is being concealed.

Assertion (A): Partial omission of a transaction is a one-sided error that affects the trial balance. Reason (R): In partial omission, a transaction is recorded in the subsidiary book but posting to one of the accounts is omitted, leaving only one side of the double entry.

Assertion (A): The Totals Method of preparing a trial balance is the most commonly used in practice. Reason (R): Under the Totals Method, both debit and credit totals of each account are shown, making it more detailed and useful for preparing financial statements.

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