Tally Questions and Answers in English – Hello student! In this post we have brought Tally MCQ Question in English for you. In this paper you will get 30 Multiple Choice Questions which you can prepare from here.
Tally Questions and Answers in English
1) Salary Account comes under which head
A) Indirect Incomes
B) Indirect Expenses
C) Direct Incomes
D) Direct Expenses
Answer : B
Description : Salary Account is generally indirect expense because it cannot be conveniently allocated to a particular product.
2) To get Payroll Reports choose
A) Gateway of Tally > Display
B) Gateway of Tally > Display > Statement of Accounts
C) Gateway of Tally > Display > Statement of Payroll
D) Gateway of Tally > Display > Payroll Reports
Answer : D
Description : Gateway of Tally > Display > Payroll Reports
3) BOM represents
A) Billing of Machines
B) Bill of Materials
C) Bill of Maintenance
D) None of these
Answer : B
Description : A bill of materials (BOM) is a comprehensive inventory of the raw materials, assemblies, subassemblies, parts and components, as well as the quantities of each, needed to manufacture a product. This facilitates immediate reduction in stock of the item automatically. This process of listing the items that make up another item is made possible in Tally by enabling the Bill of Materials Facility.
Bill of Material (BoM) is created only for those items that are being assembled in-house. Therefore, you need to specify a BoM at the time of creating a Stock Item or while altering the stock item. For trading items, you do not need a BoM.
4) “Alias” represents
A) Short name
B) Nick name
C) Code name
D) All of these
Answer : D
Description : An Alias in Tally is, an another name given to Tally master, alias is a Secondary Name to Same master, It can be Short name, Nick Name, Code Name, Part Number etc as per business needs.
5) If we purchase any fixed asset in credit, we can pass it from
A) Payment mode
B) Receipt mode
C) Purchase mode
D) Contra mode
Answer : C
Description : To account a fixed asset purchase in tally, normally we use journal voucher in earlier versions of tally. But now you can use purchase voucher to enter purchase of fixed assets in latest versions of tally ERP9.
To activate fixed asset purchase in purchase voucher,
Gateway of Tally > F12 Configure > Voucher Entry
Allow expense/fixed assets in purchase vouchers : Yes
6) Where do we record interest received, commission received or rent received in Tally
A) Contra
B) Payment
C) Receipt
D) Journal
Answer : C
Description : Receipt voucher is used to record all receipts into Bank or Cash Accounts. Such receipt from debtors, any direct or indirect income, refund of loans or advances given earlier, sale of fixed assets, cash sale etc.
Gateway of tally > Accounting Voucher > Receipt (F6)
7) Where do we record cash sales in Tally
A) Contra
B) Receipt
C) Payment
D) Journal
Answer : B
Description : Receipt voucher is used to record all receipts into Bank or Cash Accounts. Such receipt from debtors, any direct or indirect income, refund of loans or advances given earlier, sale of fixed assets, cash sale etc.
Gateway of tally > Accounting Voucher > Receipt (F6)
8) Where do we record credit purchase of furniture in Tally
A) Purchase
B) Payment
C) Receipt
D) Journal
Answer : A
Description : To account a fixed asset purchase in tally, normally we use journal voucher in earlier versions of tally. But now you can use purchase voucher to enter purchase of fixed assets in latest versions of tally ERP9.
To activate fixed asset purchase in purchase voucher,
Gateway of Tally > F12 Configure > Voucher Entry
Allow expense/fixed assets in purchase vouchers : Yes
9) Where do we record purchase return, sales return, depreciation, bad debts etc.in Tally
A) Journal
B) Payment
C) Contra
D) Receipt
Answer : A
Description : Generally as per option given we use Journal Voucher record purchase return, sales return, depreciation, bad debts etc.in Tally.
But Debit Note voucher (Ctrl+F9) can be used to enter purchase return and Credit Note voucher (Ctrl+F8) can be used to enter sales return in latest versions of tally ERP9.
10) Which of the following equation is true for balance sheet
A) Assets = Liabilities + Capital
B) Liabilities = Assets + Capital
C) Capital = Assets + Liabilities
D) All of these
Answer : A
Description : The balance sheet displays the company’s total assets, and how these assets are financed, through either debt or equity. It can also be referred to as a statement of net worth, or a statement of financial position. The balance sheet is based on the fundamental equation: Assets = Liabilities + Equity(Capital).
11) We can change the Company Information from
A) A Company Info > Back up
B) Company Info > Alter
C) Company Info > Split Company Data
D) None of these
Answer : B
Description : After creation the company, For altering a company following procedures is to done:-
i) Select ‘F3 Company Info’ on ‘Gate way of Tally’.
ii) Select ‘Alter’
ii) Select ‘TAIYARI24HOUR.COM Limited’
iv) Now Screen of Company Alteration shall appear.
12) Company Restore option is available in
A) Company Features
B) Company Information
C) Configuration
D) None of these
Answer : B
Description : Go to Gateway of Tally > F3 : Cmp Info > Restore to view the Restore Companies screen.
Destination – The folder path where your company data is to be restored. Do not restore backup data in the folder where your company data exists, since it may overwrite the existing data.
Source – The folder path where the backup file is stored. You can restore data stored locally on your computer, on any external storage device, or on a storage space on the network.
Select the required companies from the List of Companies .
Select All items to restore data of all companies.
Press Ctrl+A to restore the data backup.
13) Party account can be created through
A) Group creation window
B) Ledger creation window
C) Inventory creation window
D) Any one of them
Answer : B
Description : A business deals with customers, wholesalers, retailers and many such business parties on a day-to-day basis. Party ledgers (Accounts) is used to record transactions which may involve receipts or payments, or supplies or receipts from these parties.
Gateway of Tally > Accounts Info. > Ledgers > Create
14) What is the utility of Tally Vault Password
A) It will lock the period of Company
B) It will lock all voucher entries for that Company
C) It will not show the Company Name in the Company Select List
D) None of these
Answer : C
Description : Tally Vault is like a lock which is not going to show company into the list of companies, due to which your company details will not be accessible by anyone and secrecy and privacy can be maintained with the help of that feature. When company will be selected from ‘select company’ menu, symbol like this will be shown. Thus, not showing any of the details of the company to others.
So Tally Vault is a kind of security feature built in Tally. An advanced level security feature in Tally ERP to keep up confidentiality of information by encrypting the data. Tally Vault uses a password with an advanced algorithm to validate a new user without any prior understanding of the password and the form of data is not located on the device.
15) How many options related to Company Features are there in “F11: Features” in Tally
A) 3
B) 2
C) 4
D) 5
Answer : D
Description : F11 features of company are further divided into different categories
i) Accounting Features
ii) Inventory Features
iii) Statutory and Taxation
iv) Tally Software Services (TSS) Features
v) Add-on Features
16) Which option is used to make changes in created Groups of Ledgers in Tally
A) Create
B) Display
C) Alter
D) Change
Answer : C
Description : You can edit a ledger in the following way.
Accounts info > Ledger > Alter
A List of ledgers will display, select the one you want to modify.
17) Which unit is created for stock items like grain, pulse, sugar, oil, ghee etc.
A) Lts
B) Nos
C) Kgs
D) Box
Answer : C
Description : These product in India generally sold in Kilogram (Kgs), so Kgs unit should be created for stock items like grain, pulse, sugar, oil, ghee etc. It can vary country to country.
18) Which option is used to view Trial Balance from Gateway of Tally?
A) Gateway of Tally > Reports > Trial Balance
B) Gateway of Tally > Trial Balance
C) Gateway of Tally > Display > Trial Balance
D) None of these
Answer : C
Description : Gateway of Tally > Display > Trial Balance
19) How many voucher types are readily available in Tally
A) 18
B) 16
C) 20
D) 28
Answer : A
Description : There are 18 different pre-defined voucher types pertaining to accounting, inventory and payroll. When the payroll feature is enabled, the number of pre-defined voucher types is 20.
20) Which voucher type is used to transfer amount from one bank to another
A) Contra
B) Payment
C) Receipt
D) Post-Dated
Answer : A
Description : As per the Accounting Principles, a Contra entry is a transaction involving transfer of cash between one Bank / Cash account to another Bank / Cash account, Cash Deposit / Withdrawals into / from Bank.
Contra voucher type is used in tally to transfer amount from one bank to another.
Go to Gateway of Tally > Accounting Vouchers > Select F4: Contra from the Button Bar or press F4 .
21) Which option is true for viewing Profit & Loss A/C in Gateway of Tally
A) Gateway of Tally > Reports > Profit ; Loss A/C
B) Gateway of Tally > Display > Profit ; Loss A/C
C) Gateway of Tally > Account Books > Profit ; Loss A/C
D) None of these
Answer : A
Description : Gateway of Tally > Reports > Profit & Loss A/C
22) By default, which mode is on in Purchase and Sales voucher
A) Normal Mode
B) Item Invoice Mode
C) Particulars Mode
D) None of these
Answer : B
Description : By default, Item Invoice Mode (Alt+I) is on in Purchase and Sales voucher
23) Rs. 20,000 withdrawn from State Bank. In which voucher type this transaction will be recorded
A) Payment
B) Receipt
C) Contra
D) Post-Dated
Answer : C
Description : As per the Accounting Principles, a Contra entry is a transaction involving transfer of cash between one Bank / Cash account to another Bank / Cash account, Cash Deposit / Withdrawals into/from Bank.
Contra voucher type is used in tally to withdraw amount from bank.
Go to Gateway of Tally > Accounting Vouchers > Select F4: Contra from the Button Bar or press F4 .
24) Where do we record transactions of salary, rent or interest paid
A) Contra
B) Journal
C) Receipt
D) Payment
Answer : D
Description : Payment voucher is used to paid any type of expenses either direct or indirect expenses by cash/cheque/dd to any party. This voucher is also used to pay bill amount against credit purchases.
Gateway of tally > Accounting Voucher > Payment (F5)
25) Which step is followed to view Purchase Register
A) Gateway of Tally > Display > Sales Register
B) Gateway of Tally > Account Books > Sales Register
C) Gateway of Tally > Display > Account Books > Purchase Register
D) None of these
Answer : C
Description : Gateway of Tally > Display > Account Books > Purchase Register
26) Which of the following is not compulsory to create while entry in Accounts with Inventory
A) Stock Groups
B) Stock Items
C) Stock Categories
D) Units of Measure
Answer : C
Description : Stock Categories offers an alternative classification of Stock Items. Like stock Groups, classification is done based on similarity in behaviour. The advantage of Categorizing items is that you can classify the stock items (based on functionality) together – across different stock groups which enables you to obtain reports on alternatives or substitutes for a stock item. It is not Mandatory. For enabling Stock Category option in the Inventory Info menu, press F11 > Inventory Features > Set Yes for Maintain stock categories .
27) Which reports are prepared monthly in Tally?
A) Profit ; Loss A/C
B) Balance Sheet
C) Trial Balance
D) Cash Flow of Funds Flow
Answer : C
Description : Trial balance is a list of ledger accounts balances, showing debit balances and credit balances, separately on a certain date. Trial balance is only a statement not an account. Every transaction has equal debit and credit aspects so that the trial balance possesses equal debit and credit balances. Preparing trial balances monthly will help you to fix errors as soon as it happens.
28) By which option Purchase or Sales register can be viewed
A) Statutory Books
B) Inventory Books
C) Accounts Books
D) Display
Answer : C
Description : Gateway of Tally > Display > Account Books
29) Which option is used to view Stock Items or Group Summary
A) Accounts Books
B) Inventory Books
C) Statutory Books
D) Display
Answer : B
Description : Gateway of Tally > Display > Inventory Books
30) Predefined groups are also called as
A) Main group
B) Primary group
C) Statutory group
D) Parent group
Answer : C
Description : Predefined groups are also called as Statutory group