JAIIB Exam 2025 – AFM Important Questions MCQs Quiz-9

27/02/2025

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JAIIB Exam 2025 AFM Important Questions MCQs Quiz-9

JAIIB Exam Quiz 2025: The JAIIB exam is scheduled for 2025 by IIBF. Here, we are providing JAIIB AFM MCQ-based quizzes on a regular basis. You can attempt the quizzes regularly to prepare for the upcoming JAIIB exam. The quizzes will be provided module-wise and unit-wise. You can attempt the JAIIB AFM quizzes from the links below and improve your preparation by practicing regularly. These quizzes will help you boost your score in the JAIIB exam and guide you to clear the exam on your first attempt.

Q.1 Which of the following is a key feature of the accounting system in banks?
A) Banks primarily rely on books of prime entry such as cash books and journals.
B) Transactions are first recorded in books of prime entry before being posted to ledgers.
C) Banks use the ‘voucher posting’ system, where transactions are directly posted to subsidiary ledgers.
D) The general ledger trial balance is prepared periodically, usually at the end of the financial year.

Q.2 Which of the following statements correctly describes a “transfer transaction” in a bank?
A) It involves only cash-based transactions between the bank and its customers.
B) It includes transactions where one or both accounts involved belong to customers or internal bank accounts.
C) It refers only to transactions involving foreign currency exchange.
D) It requires manual entry into books of prime entry before being recorded in ledgers

Q 3 Which of the following best describes a composite voucher in a bank’s accounting system?
A. A voucher that contains both debit and credit entries affecting different accounts.
B. A voucher that records only a debit or a credit entry to a single account.
C. A voucher used exclusively for cash transactions.
D. A voucher that is used only for internal bank transfers.

Q.4 Which of the following statements best describes the role of debit vouchers in a bank’s accounting system?
A) Debit vouchers are used only for cash withdrawals by customers.
B) Debit vouchers are issued only when a bank initiates a transaction on its internal accounts.
C) Debit vouchers serve as documentary evidence for debiting customer or bank accounts in various types of transactions.
D) Debit vouchers are not required for transactions involving standing instructions

Q.5 Which of the following is NOT a valid example of a debit voucher in banking?
A) A withdrawal form submitted by a savings bank account holder.
B) A cheque issued by a customer.
C) A draft issued by another branch of the same bank and payable at the branch.
D) A deposit slip submitted for cash deposit in a savings account

Q.6 Which of the following best describes the purpose of credit vouchers in a bank’s accounting system?
A) Credit vouchers serve as evidence for crediting amounts to customer or bank accounts.
B) Credit vouchers are used only for government-related deposits.
C) Credit vouchers are required only when issuing drafts and pay orders.
D) Credit vouchers are unnecessary for transactions involving RTGS/NEFT.

Q.7 Which of the following is NOT a valid example of a credit voucher in banking?
A) A pay-in-slip filled by a customer for depositing money into their account.
B) An application for issuing a demand draft.
C) A withdrawal form submitted for cash withdrawal from a savings account.
D) A credit advice received from another branch for a collection instrument.

Q.8 Why do banks prepare consolidated vouchers for certain transactions?
A) To record transactions involving only cash deposits.
B) To group multiple debit or credit transactions of a similar nature affecting multiple accounts.
C) To handle foreign exchange transactions separately.
D) To eliminate the need for checking entries in personal ledgers.

Q.9 Which of the following is NOT a typical use of a composite voucher in a bank?
A) Recording transactions related to internal accounts like bills received for collection.
B) Correcting errors in debit or credit entries between accounts.
C) Documenting periodic payment of interest to depositors.
D) Issuing letters of credit or guarantees by the branch.

Q.10 Why do accounting systems differ among various banks?
A) All banks follow a uniform accounting system mandated by the central bank.
B) Differences arise due to variations in hardware, software, security levels, and transaction types.
C) Banks use only off-the-shelf accounting software with no customization.
D) The accounting system in every bank is identical regardless of its size or operations