Accounting · Cash Book
Which of the following correctly describes the difference between a cash book and a cash account?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1Cash book is prepared by the bank, whereas cash account is prepared by the businessman.
- 2Cash account is the first step of recording transactions, while cash book is prepared after journalizing.
- 3Cash account is a ledger account within the general ledger, while cash book is a separate book of original entry that also serves as a ledger account.✓
- 4Cash account records both cash and bank transactions, whereas cash book records only cash transactions.
Correct answer
Cash account is a ledger account within the general ledger, while cash book is a separate book of original entry that also serves as a ledger account.
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Preparing for Accounting?
Practice full-length Accounting mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice Cash Book MCQs →Want more practice questions on Cash Book?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Accounting · Cash Book