Tally — Part 2 MCQs with Explanations

After creation the company, For altering a company following procedures is to done:- 1) Select ‘F3 Company Info’ on ‘Gate way of Tally’. 2) Select ‘Alter’ 3) Select ‘EXAMVEDA.COM Limited’ 4) Now Screen of Company Alteration shall appear.

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.

After creation the company, For altering a company following procedures is to done:- 1) Select ‘F3 Company Info’ on ‘Gate way of Tally’. 2) Select ‘Alter’ 3) Select ‘EXAMVEDA.COM Limited’ 4) Now Screen of Company Alteration shall appear.

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

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.

Maintain Bill Wise Details is a function that helps to track the details of a voucher entry i.e. Credit Sales or Credit Purchases so important information about that particular voucher or bill is available. It also help to mark payment against particular invoice or bill. To activate this feature in tally: Gateway of Tally > Press - F11: Accounting Features > Set 'Yes' to ' Maintain Bill wise Details

There are 34 Predefined groups are there in Tally ERP 9. Some of them are Bank Accounts, Current Asset, Secured Loan, Indirect Expense etc. Apart from these pre-defined Groups tally allow us to create under these main groups.

In tally Suspense Account Group is defined under Liabilities . A suspense account is an account used to temporarily store transactions for which there is uncertainty about where they should be recorded. Once the accounting staff investigates and clarifies the purpose of this type of transaction, it shifts the transaction out of the suspense account and into the correct account(s). An entry into a suspense account may be a debit or a credit.

Manufacturing Journal is used to make dispatch of multiple components to manufacture a single product. For Example, A Pen is made by following things: Refill, Nib, Upper Cover, Lower Cover & Cap. To create a manufacturing journal in tally Gateway of Tally > Inventory Vouchers > F7 : Stk Jrnl .

Gateway of Tally > Inventory Info. > Voucher Types > Create. Set this option Use a Manufacturing Journal to Yes. Once this option is set to Yes, it will allow to record Manufacturing Journal.

The quantity of stock item is measured in units. You have to create units for stock items because stock items are purchased or sold on the basic quantity Tally provides two type of units, which are follows: Simple: Refers to units, such as pieces, numbers, kilograms, and grams Compound: Refer number of quantities that makes a units, such as 1000 grams makes a 1 kilogram In this section, you learn how to create a simple and compound units, display a units, and alter a unit.

Job costing is a form of specific order costing, which applies to a job undertaken according to customer requirements and specifications. Tally.ERP 9 enables the tracking of cost and revenue information like material, labour, and overhead for a specific job down to the smallest detail. With a view to ascertaining the actual costs incurred for each job, each job is assigned a job number or a job name. Enable job costing 1. Go to Gateway of Tally > F11: Company Features ( F1: Accounting features ). 2. Set the option 'Maintain cost centres?' to Yes . 3. 'Use cost centre for job costing?' to Yes 4. Press Crl+A to save.

There are two pre-defined ledgers available in Tally.ERP 9, they are: Cash - This Ledger is created under the Group Cash-in-hand. You can enter the opening balance as on the date of books beginning from. You can also alter the name and even delete the Ledger. Profit and Loss Account - This Ledger is created under the Group Primary. Previous year’s Profit or Loss is entered as the opening balance for this ledger. The balance entered here is treated as the opening profit/loss and shown in the Balance Sheet as opening balance of Profit and Loss account in the Liabilities side. You cannot delete this ledger, but you can modify the same.

Memorandum voucher is a special voucher which are used to record transactions temporarily in tally. It is a Non-Accounting voucher whose entries do not affect accounts. The entries in this voucher are not posted into ledgers, instead are stored in a separate Memo Register. To view all the memorandum vouchers, go to Gateway of Tally > Display > Exception Reports > Memorandum Vouchers

Gateway of Tally > Balance Sheet > press F12: Configuration and set 'Show Working Capital figures' to 'Yes' > press Alt+F1 Working capital is the difference between current assets and current liabilities.

We can create multiple users in Tally by activating 'Use Security Control'.

Gateway of Tally > F12: Configure > select Accts/Inventory Info. and Set Enable component list details (Bill of Materials)? to Yes .

Retained Earnings (RE) are the portion of a business’s profits that are not distributed as dividends to shareholders but instead are reserved for reinvestment back into the business. It is also called Reserve and Surplus.

A stock journal is used to transfer materials or stock from one location to another location. Stocks could even simply be shown as consumed or even only produced and without both consumption and production. Gateway of Tally > Voucher Entry > ALT+F7 or Click on Stock Journal

Discount Column is available in both Sales Invoice and Purchase Invoice.

Gateway of Tally > Display > Statements of Accounts > Interest Calculations > Ledger .

Gateway of Tally > Display > Job Work In Reports > Job Work Analysis

Gateway of Tally > F11: Features: F2: Accounting Features > Set Use Rev. Journals & Optional Vouchers? to Yes.

The Non Accounting/Unconventional Vouchers are the special vouchers that are used to record provisional or non-accounting transactions. Unconventional vouchers are mainly used to exclude unnecessary entries or provisional entries from the books of accounts and make them available for what if (future reports, projections, forecasts etc.) reports required at any given time.

Gateway of Tally > Display > Exception Reports > Optional Vouchers

Tally gives a handy option of entering vouchers in single entry mode and double entry mode. These options are available for Contra, Receipt and payment vouchers.

Reversing Journals (Non-Accounting/Unconventional Voucher) are special journals that are automatically reversed after a specified date. They exist only till the specified date and are effective only when they are included in reports like the Balance Sheet. Gateway of Tally > Display > Exception Reports > Reversing Journals

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.

Rejection Out/Purchase Returns (Alt + F6 ) Voucher is used to record goods returned back that were rejected by the company.

Branch / Division is a group defined under Liabilities

eTCS stands for Electronic Tax Collected at Source

Gateway of Tally > Display > Payroll Reports

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.

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.

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

A stock journal is used to transfer materials or stock from one location to another location. Stocks could even simply be shown as consumed or even only produced and without both consumption and production. Gateway of Tally > Voucher Entry > ALT+F7 or Click on Stock Journal

Physical Stock Voucher is used for recording the actual stock which is verified or counted. It could happen that the Book Stocks and the Physical Stock do not match. It is not unusual that the company finds a discrepancy between actual stock and computer stock figure.

Budget is a plan quantified in monetary terms prepared and approved prior to a defined period of time, usually showing planned income to be generated and/or expenditure to be incurred during that period and the capital to be employed to attain a given objective.

There are two pre-defined ledgers available in Tally, they are: Cash - This Ledger is created under the Group Cash-in-hand. You can enter the opening balance as on the date of books beginning from. You can also alter the name and even delete the Ledger. Profit and Loss Account - This Ledger is created under the Group Primary. Previous year’s Profit or Loss is entered as the opening balance for this ledger. The balance entered here is treated as the opening profit/loss and shown in the Balance Sheet as opening balance of Profit and Loss account in the Liabilities side. You cannot delete this ledger, but you can modify the same.

The Profit & Loss A/c is a periodic statement, which shows the net result of business operations for a specified period. All the expenses incurred and incomes earned during the reporting period are recorded here. The Profit & Loss A/c is in horizontal form, by default. It can be view in vertical format by enabling the option Show Vertical Profit & Loss? by clicking F12: Configure