Important Questions Class 11 Accountancy Chapter 4 With Answers

Special purpose books are accounting books used to record similar transactions separately and systematically. They reduce repeated journal entries and make cash, bank, purchases, sales, and return records easier to manage.

Business records become clearer when repeated transactions are entered in separate books. Important Questions Class 11 Accountancy Chapter 4 help students revise cash book, petty cash book, special purpose books, subsidiary books, contra entries, imprest system, purchases book, sales book, returns books, and journal proper. CBSE 2026 questions from this chapter often test formats, posting rules, difference-based answers, and numerical entries. Students should practise both theory and formats because this chapter directly supports ledger posting and trial balance preparation.

Key Takeaways

• Cash Book: It records all cash and bank transactions and works as both journal and ledger.
• Contra Entry: It appears when both debit and credit aspects affect cash and bank columns.
• Imprest System: It fixes petty cash in advance and reimburses actual petty expenses.
• Subsidiary Books: They record repeated credit transactions such as purchases, sales, and returns.

Important Questions Class 11 Accountancy Chapter 4 Structure 2026

Important Questions Class 11 Accountancy Chapter 4 Overview

Class 11 Accountancy Chapter 4 important questions begin with the need for special books. These questions help students understand why every transaction is not recorded in the journal.

Q1. What Is The Main Idea Of Class 11 Accountancy Chapter 4?

Class 11 Accountancy Chapter 4 explains special purpose books used for recording similar transactions separately. These books reduce workload and improve accuracy.

Special books include cash book, purchases book, sales book, purchase return book, sales return book, bills books, and journal proper.

Final Result: Chapter 4 explains how repeated transactions are recorded in separate accounting books.

Q2. Why Are Special Purpose Books Needed?

Special purpose books are needed because businesses have many repeated transactions. Recording every transaction in the journal becomes slow and crowded.

They help divide accounting work, save time, reduce errors, and provide quick information about cash, bank, purchases, sales, and returns.

Final Result: Special books make accounting faster and more organised.

Q3. What Are The Main Types Of Special Purpose Books?

The main special purpose books include cash book, petty cash book, purchases book, sales book, purchase return book, sales return book, bills receivable book, bills payable book, and journal proper.

Each book records one type of transaction. This makes posting and checking easier.

Final Result: Special purpose books divide transactions by nature.

Recording Of Transactions 2 Class 11 Important Questions On Cash Book

Recording of Transactions 2 Class 11 important questions often test cash book format, posting, and contra entries. Students should learn which side records receipts and payments.

Q4. What Is A Cash Book?

A cash book is a book that records all cash and bank transactions. It works as both a journal and a ledger.

Cash receipts are recorded on the debit side. Cash payments are recorded on the credit side.

Final Result: Cash book records cash and bank transactions in one place.

Q5. Why Is Cash Book Called Both Journal And Ledger?

Cash book is called both journal and ledger because transactions are first recorded in it and cash balance is also found from it.

It acts like a journal because entries are recorded date-wise. It acts like a ledger because it directly shows cash or bank balance.

Final Result: Cash book has features of both journal and ledger.

Q6. What Are The Types Of Cash Book?

The main types of cash book are single column cash book, double column cash book, triple column cash book, and petty cash book.

Single column cash book records cash only. Double column cash book records cash and bank, or cash and discount.

Triple column cash book records cash, bank, and discount together.

Final Result: Cash book types depend on the number of amount columns.

Q7. What Is A Single Column Cash Book?

A single column cash book records only cash receipts and cash payments. It has one amount column on each side.

Cash received is entered on the debit side. Cash paid is entered on the credit side.

Final Result: Single column cash book records only cash transactions.

Q8. What Is A Double Column Cash Book?

A double column cash book has two amount columns on each side. It usually records cash and bank transactions together.

It may also contain cash and discount columns. The format depends on the business requirement.

Final Result: Double column cash book records two money-related columns on each side.

Q9. What Is A Triple Column Cash Book?

A triple column cash book has cash, bank, and discount columns on both sides. It records cash transactions, bank transactions, and discount allowed or received.

Discount allowed appears on the debit side. Discount received appears on the credit side.

Final Result: Triple column cash book records cash, bank, and discount together.

Q10. What Is A Contra Entry?

A contra entry is an entry where both debit and credit aspects affect cash and bank columns of the cash book. It is marked with “C”.

Common examples include cash deposited into bank and cash withdrawn from bank for office use.

Final Result: Contra entry affects both cash and bank columns.

Q11. Give Two Examples Of Contra Entry.

Cash deposited into bank and cash withdrawn from bank for office use are contra entries. Both affect cash and bank accounts.

Example 1: Cash deposited into bank.
Bank column is debited, and cash column is credited.

Example 2: Cash withdrawn from bank for office use.
Cash column is debited, and bank column is credited.

Final Result: Contra entries appear on both sides of the cash book.

Q12. What Is The Difference Between Single Column And Double Column Cash Book?

Single column cash book records only cash transactions. Double column cash book records cash and another column, usually bank or discount.

Final Result: Double column cash book gives wider transaction coverage.

Cash Book Class 11 Numericals With Solutions

Cash book Class 11 numericals require correct debit-credit placement. Receipts go on the debit side, and payments go on the credit side.

Q13. Prepare A Simple Cash Book From The Following Transactions.

The closing cash balance is ₹6,000. Receipts appear on the debit side, while payments appear on the credit side.

Transactions:

• Apr 1: Cash in hand ₹10,000
• Apr 3: Cash sales ₹5,000
• Apr 6: Paid rent ₹2,000
• Apr 10: Paid salary ₹3,000
• Apr 15: Purchased goods for cash ₹4,000

Cash Book

Calculation:

1. Total receipts = ₹10,000 + ₹5,000 = ₹15,000
2. Total payments before balance = ₹2,000 + ₹3,000 + ₹4,000 = ₹9,000
3. Closing balance = ₹15,000 - ₹9,000 = ₹6,000

Final Result: Closing cash balance is ₹6,000.

Q14. Record Cash Deposited Into Bank In Cash Book.

Cash deposited into bank means cash decreases and bank balance increases. It is a contra entry.

Transaction: Deposited cash into bank ₹5,000.

Double Column Cash Book Entry

Final Result: Bank column is debited and cash column is credited.

Q15. Record Cash Withdrawn From Bank For Office Use.

Cash withdrawn from bank for office use increases cash and decreases bank balance. It is a contra entry.

Transaction: Withdrawn from bank for office use ₹3,000.

Double Column Cash Book Entry

Final Result: Cash column is debited and bank column is credited.

Petty Cash Book Class 11 Important Questions

Petty cash book Class 11 questions test small expenses and the imprest system. These questions are common because they combine format and concept.

Q16. What Is Petty Cash Book?

Petty cash book records small and regular expenses. Examples include postage, stationery, conveyance, tea, repairs, and cleaning expenses.

A petty cashier maintains this book. The main cashier gives a fixed amount to meet small payments.

Final Result: Petty cash book records small daily expenses.

Q17. What Is The Imprest System Class 11?

Imprest system Class 11 means a fixed amount is given to the petty cashier for small expenses. At the end of the period, the cashier reimburses the amount spent.

Example: If the imprest amount is ₹2,000 and expenses are ₹1,250, reimbursement will be ₹1,250.

Final Result: Imprest system restores petty cash to the fixed amount.

Q18. Why Is Petty Cash Book Prepared?

Petty cash book is prepared to reduce the burden on the main cash book. It records small expenses separately.

It also improves control over minor payments. The petty cashier must account for every small payment.

Final Result: Petty cash book controls and records small payments.

Q19. Prepare A Petty Cash Book Under Imprest System.

The closing petty cash balance is ₹935. Deduct total petty expenses from the imprest amount.

Transactions:

• Imprest received ₹2,000
• Postage ₹250
• Conveyance ₹300
• Stationery ₹400
• Tea expenses ₹115

Petty Cash Book

Calculation:

1. Total petty expenses = ₹250 + ₹300 + ₹400 + ₹115
2. Total petty expenses = ₹1,065
3. Closing balance = ₹2,000 - ₹1,065
4. Closing balance = ₹935

Final Result: Closing petty cash balance is ₹935.

Q20. What Amount Will Be Reimbursed To The Petty Cashier?

The reimbursed amount equals the actual amount spent by the petty cashier. It restores the imprest balance.

Final Result: The petty cashier will receive ₹1,065.

Subsidiary Books Class 11 Important Questions

Subsidiary books Class 11 questions test separate books used for credit purchases, credit sales, and returns. These books do not record cash transactions.

Q21. What Are Subsidiary Books?

Subsidiary books are special books used to record similar transactions separately. They are also called books of original entry.

Examples include purchases book, sales book, purchase return book, sales return book, bills receivable book, and bills payable book.

Final Result: Subsidiary books record repeated transactions of the same type.

Q22. What Are The Advantages Of Subsidiary Books?

Subsidiary books save time, reduce errors, divide accounting work, and provide quick transaction details. They also make ledger posting easier.

Different employees can maintain different books. This improves efficiency in large businesses.

Final Result: Subsidiary books make accounting systematic and faster.

Q23. Which Transactions Are Not Recorded In Subsidiary Books?

Cash purchases, cash sales, asset purchases, asset sales, and special adjustment entries are not recorded in purchases or sales books.

Cash transactions go to cash book. Asset transactions and special entries usually go to journal proper.

Final Result: Subsidiary books record only specific credit business transactions.

Q24. Which Book Is Used For Each Transaction?

The book used depends on whether the transaction is cash, credit, goods, asset, return, or adjustment.

Final Result: The book depends on transaction type.

Purchases Book Class 11 And Sales Book Class 11 Questions

Purchases book Class 11 and sales book Class 11 questions test credit goods transactions. Only goods related to the business are recorded in these books.

Q25. What Is Purchases Book?

Purchases book records only credit purchases of goods. It does not record cash purchases or credit purchase of assets.

Example: Goods purchased from Ramesh on credit will be recorded in purchases book.

Final Result: Purchases book records credit purchase of goods only.

Q26. What Is Sales Book?

Sales book records only credit sales of goods. It does not record cash sales or credit sale of assets.

Example: Goods sold to Mohan on credit will be recorded in sales book.

Final Result: Sales book records credit sale of goods only.

Q27. What Is The Difference Between Purchases Book And Sales Book?

Purchases book records credit purchases of goods. Sales book records credit sales of goods.

Final Result: Purchases book records buying, and sales book records selling.

Q28. Record Credit Purchase Of Goods In Purchases Book.

The purchases book records ₹18,000. Trade discount is deducted before recording the net amount.

Transaction: Purchased goods from Ravi Traders on credit for ₹20,000 less trade discount 10%.

Working:

1. List price = ₹20,000
2. Trade discount = ₹20,000 × 10% = ₹2,000
3. Net purchase = ₹20,000 - ₹2,000 = ₹18,000

Purchases Book

Final Result: Purchases book records ₹18,000.

Q29. Record Credit Sale Of Goods In Sales Book.

The sales book records ₹14,250. Trade discount is deducted from the invoice value.

Transaction: Sold goods to Meena Stores on credit for ₹15,000 less trade discount 5%.

Working:

1. List price = ₹15,000
2. Trade discount = ₹15,000 × 5% = ₹750
3. Net sale = ₹15,000 - ₹750 = ₹14,250

Sales Book

Final Result: Sales book records ₹14,250.

Purchase Return Book Class 11 And Sales Return Book Class 11 Questions

Purchase return book Class 11 and sales return book Class 11 questions test return of goods. These books help track goods sent back or received back.

Q30. What Is Purchase Return Book?

Purchase return book records goods returned to suppliers. It is also called return outward book.

When goods are returned, the supplier account is debited. Purchases return account is credited.

Final Result: Purchase return book records goods returned to suppliers.

Q31. What Is Sales Return Book?

Sales return book records goods returned by customers. It is also called return inward book.

When customers return goods, sales return account is debited. Customer account is credited.

Final Result: Sales return book records goods returned by customers.

Q32. What Is The Difference Between Purchase Return Book And Sales Return Book?

Purchase return book records goods returned to suppliers. Sales return book records goods returned by customers.

Final Result: Purchase return reduces purchases, and sales return reduces sales.

Q33. What Is A Debit Note?

A debit note is a document sent to the supplier when goods are returned. It informs the supplier that their account is debited.

It is used as source document for purchase return book.

Final Result: Debit note supports purchase return entry.

Q34. What Is A Credit Note?

A credit note is a document sent to the customer when goods are returned by the customer. It informs the customer that their account is credited.

It is used as source document for sales return book.

Final Result: Credit note supports sales return entry.

Journal Proper Class 11 Important Questions

Journal proper Class 11 records entries that do not fit into cash book or other subsidiary books. It is useful for special and adjustment entries.

Q35. What Is Journal Proper?

Journal proper is the book used for entries that cannot be recorded in any special purpose book. It records special, adjustment, and residual entries.

Examples include opening entries, closing entries, transfer entries, rectification entries, and credit purchase of assets.

Final Result: Journal proper records special entries outside subsidiary books.

Q36. Which Entries Are Recorded In Journal Proper?

Journal proper records entries that do not belong to cash book, purchases book, sales book, or returns books.

Common entries include:

• Opening entries
• Closing entries
• Adjustment entries
• Transfer entries
• Rectification entries
• Credit purchase of assets
• Credit sale of assets
• Bad debts entry
• Interest on capital entry

Final Result: Journal proper records non-routine and residual entries.

Q37. Why Is Furniture Bought On Credit Not Recorded In Purchases Book?

Furniture bought on credit is not recorded in purchases book because purchases book records only credit purchase of goods. Furniture is an asset.

Journal entry:

Final Result: Credit purchase of furniture is recorded in journal proper.

Class 11 Accountancy Chapter 4 Questions And Answers For Practice

Class 11 Accountancy Chapter 4 questions and answers often mix book selection with accounting logic. These practice questions help revise common exam traps.

Q38. Where Will Cash Purchase Of Goods Be Recorded?

Cash purchase of goods will be recorded in the cash book. Purchases book records only credit purchases of goods.

Cash decreases because payment is made immediately.

Final Result: Cash purchase of goods goes to cash book.

Q39. Where Will Credit Purchase Of Machinery Be Recorded?

Credit purchase of machinery will be recorded in journal proper. Machinery is an asset, not goods.

Purchases book records only credit purchase of goods meant for resale.

Final Result: Credit purchase of machinery goes to journal proper.

Q40. Where Will Goods Sold For Cash Be Recorded?

Goods sold for cash will be recorded in the cash book. Sales book records only credit sale of goods.

Cash increases because payment is received immediately.

Final Result: Cash sale of goods goes to cash book.

Q41. Where Will Goods Sold On Credit Be Recorded?

Goods sold on credit will be recorded in the sales book. This book records only credit sales of goods.

Customer account will be debited later during ledger posting.

Final Result: Credit sale of goods goes to sales book.

Q42. Where Will Return Of Goods To Supplier Be Recorded?

Return of goods to supplier will be recorded in purchase return book. It is also called return outward book.

A debit note is usually prepared for this transaction.

Final Result: Goods returned to supplier go to purchase return book.

Q43. Where Will Goods Returned By Customer Be Recorded?

Goods returned by customer will be recorded in sales return book. It is also called return inward book.

A credit note is usually prepared for this transaction.

Final Result: Goods returned by customer go to sales return book.

Q44. What Is Trade Discount?

Trade discount is a discount allowed by the seller on the list price of goods. It is deducted before recording the transaction.

Trade discount is not recorded separately in books. Only the net invoice value is recorded.

Final Result: Trade discount reduces invoice value before entry.

Q45. What Is Cash Discount?

Cash discount is allowed for prompt payment. It is recorded in the cash book when payment is made or received.

Discount allowed appears on the debit side. Discount received appears on the credit side.

Final Result: Cash discount is recorded in the cash book.

Q46. What Is The Difference Between Trade Discount And Cash Discount?

Trade discount is given on list price, while cash discount is given for early payment.

Final Result: Trade discount is deducted before entry, while cash discount is recorded.

Q47. What Is Posting From Purchases Book?

Posting from purchases book means transferring entries to ledger accounts. Individual suppliers are credited, and purchases account is debited with total.

The total of purchases book is posted to Purchases Account.

Final Result: Purchases book total is debited to Purchases Account.

Q48. What Is Posting From Sales Book?

Posting from sales book means transferring credit sales to ledger accounts. Individual customers are debited, and sales account is credited with total.

The total of sales book is posted to Sales Account.

Final Result: Sales book total is credited to Sales Account.

Class 11 Accountancy Chapter 4 Numericals

Class 11 Accountancy Chapter 4 numericals usually need careful book selection. Identify whether the transaction is cash, credit, goods, asset, or return.

Q49. Identify The Book Used For Each Transaction.

Correct book selection depends on transaction nature. Goods, cash, assets and returns go to different books.

Final Result: Correct book selection depends on transaction nature.

Q50. Prepare Purchases Book From The Following.

The purchases book total is ₹16,600. Furniture is excluded because purchases book records goods only.

Transactions:

• Bought goods from Ram ₹10,000 less trade discount 10%.
• Bought goods from Shyam ₹8,000 less trade discount 5%.
• Bought furniture from Mohan ₹12,000 on credit.

Working:

1. Ram: ₹10,000 - 10% = ₹9,000
2. Shyam: ₹8,000 - 5% = ₹7,600
3. Furniture is an asset, so it is not recorded in purchases book

Purchases Book

Final Result: Purchases book total is ₹16,600.

Q51. Prepare Sales Book From The Following.

The sales book total is ₹29,400. Old furniture is excluded because sales book records goods only.

Transactions:

• Sold goods to Ritu ₹20,000 less trade discount 10%.
• Sold goods to Mohit ₹12,000 less trade discount 5%.
• Sold old furniture to Amit ₹6,000 on credit.

Working:

1. Ritu: ₹20,000 - 10% = ₹18,000
2. Mohit: ₹12,000 - 5% = ₹11,400
3. Old furniture is an asset, so it is not recorded in sales book

Sales Book

Final Result: Sales book total is ₹29,400.

Q52. Prepare Purchase Return Book From The Following.

The purchase return book total is ₹3,000. Furniture return is excluded because it relates to an asset.

Transactions:

• Returned goods to Ram ₹2,000.
• Returned goods to Shyam ₹1,000.
• Returned furniture to Mohan ₹3,000.

Purchase Return Book / Return Outward Book

Furniture return is not recorded in purchase return book because it is asset return.

Final Result: Purchase return book total is ₹3,000.

Q53. Prepare Sales Return Book From The Following.

The sales return book total is ₹2,300. Old furniture return is excluded because it relates to asset sale.

Transactions:

• Ritu returned goods ₹1,500.
• Mohit returned goods ₹800.
• Amit returned old furniture ₹2,000.

Sales Return Book / Return Inward Book

Old furniture return is not recorded in sales return book because it relates to asset sale.

Final Result: Sales return book total is ₹2,300.

CBSE Class 11 Accountancy Important Questions Chapter-Wise