The most common imprest system is the ________ system?
Correct answer: A. Petty cash
- A. Petty cash
- B. Cash book
- C. Cash receipt
- D. Discount
Explanation
The petty cash system is the most common imprest system because a fixed amount is advanced for small expenses and restored periodically to its original level. The other options describe cash-book types or discounts, not an imprest fund.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? support@testustad.com
About Accounting Principles
Accounting principles explain the rules used to record, classify and report business transactions. Coverage includes the accounting equation, double-entry system, accrual and cash bases, matching and prudence concepts, consistency, going concern, business entity, and the difference between capital and revenue items.
Practise Accounting Principles
351 free Accounting Principles MCQs from Accounting, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Exams that ask Accounting questions like this
Accounting is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Accounting Principles questions
Which English alphabet is similar to the shape of an account?
The process of paying off debt over time in regular installment of interest & principal sufficient to repay the loan in fully by its maturity date.
Depreciation fund method is also known as__________?
A cash book with cash, bank and discount column is commonly referred as________?
Introduction capital by owner of business is recorded on which side of a cash book?
Cash discount is allowed on _______ repayment of debt.