Journal: Meaning/Definition MCQs Quiz | Class 9
This is a multiple-choice quiz for Class IX, Subject: Elements of Book-Keeping & Accountancy (Code 254), Unit 4: Journal. This quiz covers the fundamental concepts of the Journal, including its meaning as the book of original entry and its format (Date, Particulars, L.F., Dr., Cr.). Attempt all questions and click ‘Submit Quiz’ to see your score. You can download a PDF of your answers after completion.
Understanding the Journal: The Book of Original Entry
In accountancy, the first step in the accounting cycle is to record business transactions as they occur. The book where these transactions are recorded for the very first time, in chronological order, is called the Journal. Because it’s the first place of entry, it is famously known as the Book of Original Entry or the Book of Prime Entry.
Key Concepts of the Journal
- Journalising: The process of recording transactions in the Journal is known as ‘Journalising’.
- Chronological Order: Transactions are recorded date-wise, as they happen. This helps in maintaining a systematic and time-based record of all business activities.
- Narration: After each journal entry, a brief explanation of the transaction is written. This is called a narration and it usually starts with ‘Being…’.
- Basis for Ledger Posting: The entries recorded in the Journal are later transferred (posted) to the principal book of accounts, called the Ledger. The Journal provides all the necessary information for this process.
Format of a Journal
A standard journal has five distinct columns. Understanding the purpose of each column is crucial for correctly recording transactions.
| Column Name | Purpose |
|---|---|
| Date | This column records the date on which the transaction took place. The year is written at the top, followed by the month and then the day for each entry. |
| Particulars | This is the main column. It records the names of the accounts to be debited (Dr.) and credited (Cr.). The debited account is written first, and the credited account is written on the next line, slightly indented. A narration is also written below the entry in this column. |
| L.F. (Ledger Folio) | ‘Folio’ means page number. This column records the page number of the ledger where the journal entry has been posted. This is left blank at the time of journalising and filled in during posting. |
| Amount (Dr.) | This column records the amount that is debited for the respective account mentioned in the Particulars column. |
| Amount (Cr.) | This column records the amount that is credited for the respective account mentioned in the Particulars column. For every transaction, the total debit amount must equal the total credit amount. |
Quick Revision Points
- The Journal is the book of first entry.
- Transactions are recorded in the Journal in the order they occur (chronologically).
- The process of recording in a Journal is called Journalising.
- A journal entry consists of a debit part and a credit part, which must always be equal.
- A narration provides a short description of the transaction.
- The five columns are: Date, Particulars, L.F., Amount (Dr.), and Amount (Cr.).
Extra Practice Questions
- What is the primary purpose of the ‘Narration’ in a journal entry?
- Why is it important to record transactions in chronological order?
- Fill in the blank: The ‘L.F.’ column acts as a cross-reference between the Journal and the ________.
- If a transaction has a debit of Rs. 500, what will be its corresponding credit amount?
- Which column in the journal is used to write the names of the accounts affected by a transaction?
