Preparation of vouchers MCQs Quiz | Class 9
This quiz is for Class IX students studying Elements of Book-Keeping & Accountancy (Code 254). It covers Unit 3: Nature of Accounts & Rules for Debit and Credit, focusing on the topic of Preparation of vouchers. You will be tested on the basics of cash vouchers, debit vouchers, and credit vouchers as applicable at the school level. Attempt all questions and click ‘Submit Quiz’ to see your score. You can then download a PDF of your answers.
Understanding Vouchers in Accountancy
In accounting, every business transaction must be supported by documentary evidence. A voucher is an internal document that serves as this primary evidence. It contains the details of a transaction and is used as a basis for recording it in the books of accounts. Vouchers are essential for accuracy, control, and auditing purposes.
Key Concepts of Vouchers
- Source Document: This is the original proof of a transaction, like a cash memo, invoice, bill, or receipt. Vouchers are prepared based on these source documents.
- Evidence: Vouchers provide verifiable evidence that a transaction has occurred.
- Authorization: They must be signed by an authorized person, which confirms the legitimacy of the transaction.
- Recording: Journal entries are passed based on the information provided in the voucher.
Types of Vouchers (Cash Vouchers)
For school-level accounting, the focus is primarily on cash vouchers, which are prepared for all transactions involving cash or bank. These are mainly of two types:
1. Debit Vouchers
A Debit Voucher is prepared for all cash payments made by the business. When the business spends cash, a debit voucher is created. Examples include:
- Payment of salaries or wages.
- Purchase of goods or assets for cash.
- Payment to creditors.
- Payment of any expense (e.g., rent, electricity bill).
It indicates which account is to be debited. For a cash payment, the Cash/Bank account is always credited, so the voucher specifies the corresponding debit account (e.g., Salaries A/c, Purchases A/c).
2. Credit Vouchers
A Credit Voucher is prepared for all cash receipts by the business. When the business receives cash, a credit voucher is created. Examples include:
- Cash sales of goods.
- Receipt of cash from debtors.
- Income received (e.g., commission, interest).
- Sale of an old asset for cash.
It indicates which account is to be credited. For a cash receipt, the Cash/Bank account is always debited, so the voucher specifies the corresponding credit account (e.g., Sales A/c, Commission Received A/c).
Comparison: Debit vs. Credit Voucher
| Feature | Debit Voucher | Credit Voucher |
|---|---|---|
| Purpose | To record cash payments (outflow) | To record cash receipts (inflow) |
| Color (Traditional) | Often white or a light color | Often a distinct color like pink or green |
| Effect on Cash | Decreases cash/bank balance | Increases cash/bank balance |
| Example Transaction | Paid rent Rs. 5,000 in cash | Received commission Rs. 2,000 in cash |
Quick Revision Points
- A voucher is the first record of a transaction and the basis for a journal entry.
- No entry can be made in the books of accounts without a proper voucher.
- Debit Vouchers are for payments.
- Credit Vouchers are for receipts.
- Every voucher must be serially numbered and dated.
- It must specify the accounts to be debited and credited.
- It must be signed by the person who prepared it and the one who authorized it.
Extra Practice Questions
- If a business buys a computer for cash, which voucher will be prepared?
- A customer, Rohan, pays his due amount in cash. Which voucher should the accountant prepare?
- What is the main difference between a source document and a voucher?
- Why is the signature of an authorized person necessary on a voucher?
- If a business receives interest from its bank account, what kind of voucher is generated?
