Tally ERP 9

If you are an accountant, then you must be aware about Tally, here we have listed most common questions that are likely to use asked in the account interview in relations to Tally ERP9.

Q.1 Define Tally and its uses.

A tally refers to software for accounts and inventory management, which is used for performing many functions like: Performing all basic accounting functions Estimating job costing Storing details and managing inventory items Managing payroll Filing a tax return, managing profit, and loss statement, preparing a balance sheet, VAT forms, trial balance, cash-flow report, etc. Maintaining budget scenarios Calculating interest on the outstanding amount Managing data over different locations and synchronize it

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Q.2 Differentiate between Tally ERP 9 and Tally 7.2.

Tally 7.2 refers to an integrated solution that provides a function related to accounting, reporting, and inventory. This version includes VAT (Value Added Tax) functionality, Licensing, and Tax deduction at the source. Further, it is used because of simplifying VAT, Service Tax, and TDS formalities. On the other hand, Tally ERP 9 is an upgraded version of Tally 7.2 and provides many features like TDS, Payroll management, Excise for dealers, etc. This version includes handling of POS invoicing, Statutory and Taxation, Payroll, Multi-lingual support, etc. And, it is more popular because of providing advanced inventory management and simplifying accounting.

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Q.3 Name the features available in Tally ERP 9 for Accounting?

For Accounting Tally ERP 9 provides: Outstanding Management Cost/Profit Centers Management Invoicing Budget/Scenario Management Other features like Cheque Printing, etc.

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Q.4 Explain the functionalities included in Tally ERP 9?

1. E-mailing option Users can send accounting reports to multiple recipients along with an additional facility like Net-banking and Printing in various formats is provided. 2. Accounting Voucher A new type of numbering feature is added to the voucher, it ensures that the voucher is numbered in order. 3. Print Bank Transaction Details It provides an option to take the print of bank details on formal receipt 4. Credit Limits A warning or alert message will pop up on the credit limit, and the user can still save the voucher 5. CST Even in a simple format the CST form details entered in the invoice will get printed 6. Payroll New TALLY ERP 9, enables processing of salary according to the National Pension Scheme

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Q.5 Name the Mention pre-defined ledgers available in Tally ERP 9?

There are two types of pre-defined ledgers in Tally ERP 9: Firstly, Cash. Under the group Cash-in-hand, this ledger is created, you can enter the opening balance as on the books beginning from. Secondly, Profit and Loss Account. This ledger is created under the group Primary. In this ledger, the previous year’s profit or loss is entered as the opening balance of this ledger.

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Q.6 Name the types of the ledger we can make in Tally ERP 9?

The types of the ledger in Tally ERP 9 are: Firstly, creating a sales/purchase ledger Secondly, creating an Income/Expense ledger Then, creating a party ledger Next, creating a bank account After that, creating a tax ledger Lastly, creating current liabilities

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Q.7 Name the types of Tally ERP 9 vouchers with their shortcuts.

Some types of Tally ERP 9 vouchers include: Contra Voucher: (F4 ) for transferring of funds from bank account to the cash account or cash account to bank account or one bank to another bank account. Payment Voucher: ( F5) for describing payment histories like payment of salary or office rental. Receipt Voucher: (F6) for describing any transaction that involves the receipt like payment made to the bank. Journal Voucher: (F7) covers the expenses to maintain the business or company running like expenses made after marketing. Sales/Invoice Voucher:(F8) for describing the sales made, it displays the sale invoice

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Q.8 Define trial balance in Tally ERP9.

Trial Balance refers to a summary of all the ledger balances and checks whether the figures are correct and balanced. It is a way to confirm that the journal entries are correctly posted to the general ledger. In trial balance, the total of all debts balances should be equal to the total of all the credit balances.

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Q.9 Explain what default configuration Tally ERP 9 provides for the Balance Sheet.

Balance Sheet in Tally ERP 9 will show two columns with Liabilities and Assets. The balance sheet shows the closing balances of all the primary groups or capital accounts and the net profit for the period.

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Q.10 How to view the books of accounts in Tally ERP 9?

For viewing the Books of Accounts: Firstly, press D at the gateway of Tally ERP 9 to bring up the Display menu. Then, at the display menu, press A to bring up the Accounts Books menu.

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Q.11 What is the role of reversing journals?

Reversing journals is a defined entry in Tally which is reversed automatically after the date of issue.

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Q.12 Define contra voucher.

A contra voucher is one that details the transfer of funds from a bank account to a cash account and/or vice versa.

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Q.13 What is the process for creating multiple ledgers in Tally ERP 9?

For creating multiple ledgers, we begin with Accounts Info on the Gateway of Tally and choose Ledgers. After that, locate Multiple Ledgers and click on Create. Then, on the Multi Ledger Creation screen, enter details for Under Group and update information like the name of ledgers. Lastly, press Enter, Accept Yes, and multiple ledgers are created.

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Q.14 Explain the role of the statement of inventory?

A statement of inventory is used for viewing information on inventory based on godowns. This tracks the details of items in inventory carries stock and checks budget variations as compared to forecasts, plans, statistics, etc.

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Q.15 How can we activate GST in Tally ERP 9?

The GST feature can be found under Statutory and Taxation in Tally 9. Firstly, on the screen for Company Operation Alteration, enable GST and choose set/alter GST details. However, at this point, update all the necessary details like name of the state, registration type, the GSTIN which will be printed on invoices, date applicable from, periodicity, e-way bill applicability, the tax liability on receipts, GST rate, and classifications. After this, accept the changes to save them. Then, GST is activated, all GST features will be automatically available for general ledgers, stock items, and transactions in Tally.

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Q.16 Define Tally vault.

Tally Vault is a security feature used for protecting company details by encrypting data. This uses a password secured by an algorithm, so when you select the company from the menu, the details show up as asterisks (*****). Moreover, the data is decrypted only with a valid password.

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Q.17 How to connect remotely to Tally ERP 9?

Tally ERP 9 allows remote connectivity which can be produced if there are a working internet connection and a licensed version of Tally ERP 9 with a Tally.NET subscription on both the customer end and at the remote location. Apart from this, a valid User ID and password are needed so remote users can be validated and they can access the program from their remote location.

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Q.18 Define Standard Tally Driver and Tally Text Driver.

Standard drivers are capable of printing: graphics, True Type fonts as graphics, and printer-resident fonts. Tally Text drivers print only printer-resident fonts.

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Q.19 Define Rally Tally.

Rally tally is a place for finding, publishing, and coordinating civic events.

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Q.20 What are the steps for Tally Votes?

On every individual project page, users can vote on whether in their estimation the project is critical or not. On the project page, we display the results, including the number of votes cast and the percentage of votes on each side. Further, we rank all projects depending on the vote ratio they have received.

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Q.21 What do you understand about the delivery notes?

A record that goes with a product’s shipment and records details about the goods delivered. A delivery note checks what the content of a package is. If few products that were requested are not enclosed because of the absence of stock or due to any other reason then, they will also be noted down on the delivery note.

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Q.22 Where can we find the sales tax on the balance sheet?

Sales Tax is one of the liabilities for the business. It will appear on the liability side of the balance sheet yet before inserting sales tax in liability it is required to have a look where sales tax appears in the trial balancing sheet.

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Q.23 Define bank reconciliation statement.

This refers to a statement that is prepared when the passbook balance has a difference from the cash book balance.

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Q.24 Define depreciation.

Depreciation is that the value of an asset that decreases when it is being used.

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Q.25 How many types of depreciation are available?

There are two types of depreciation: Straight Line Method Recorded Value Method

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Q.26 What is a group in Tally ERP 9?

Group in Tally ERP 9 can be defined as a compilation of ledgers of same nature. In a company, operating costs like electric bills, telephone bill, conveyance, etc. are commonly included in groups. The ledger based on these expenses can be created to be used while accounting vouchers are entered. There are 28 Groups by default in Tally. ERP 9, out of which 15 are Primary Groups and 13 are subgroups.

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Q.27 What is the shortcut to retrieve the last line which is removed in Tally ERP 9?

The shortcut to retrieve the last removed line is Ctrl+U.

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Q.28 What is the shortcut to recall the last narration saved for the first ledger in the voucher?

The short cut to recall the last narration stored for the first ledger in the voucher is Alt+R.

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Q.29 How can you view the Books of Accounts in Tally ERP 9?

In order to view the Books of Accounts on Tally ERP 9, we should press D at the entry of Tally ERP 9 to pull the Display menu. On the display menu, we have to press A to bring up the Accounts Books menu.

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Q.30 Explain how you can view profit and loss statement in Tally ERP 9?

In order to view the profit and loss statement, we should press F1: Detailed which will display the data based on the default primary groups. With every transaction/voucher that has been entered instantly.

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Q.31 How can we generate the schedule VI profit and loss account using an auditors edition of Tally ERP 9?

In order to generate the schedule - VI balance sheet using an auditor’s edition of Tally ERP 9, we are required to go to the gateway of Tally - Audit & Compliance - Financial Statements - Profit & Loss account. After that we should Press Ctrl+3 to load the previous year’s company to generate the Schedule VI profit & loss account with two year’s data.

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Q.32 What is the short cut to cancel a day book or list of vouchers in Tally ERP 9?

In Tally ERP 9, ALT+X is the short cut to cancel a day book or list of vouchers.

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Q.33 What is the short cut to filter the information based on the monetary value all most from all report screens in Tally ERP 9?

You can use the short cut Alt+F12, to filter the information based on the monetary value in Tally ERP 9.

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Q.34 Explain to convert data in encrypted form in Tally ERP9 what features you can use?

To convert data in encrypted form in Tally ERP 9, you can use function Tally Vault. You have to go to the gateway of Tally and press F3 to use Tally Vault and there you can select the company for which you want to encrypt the data. Those encrypted data can be viewed only by one Person having a valid password.

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Q.35 Can you mention what is the shortcut to select the purchase order voucher type?

you can short cut as ALT+F4, to select the purchase order voucher type, at accounting and inventory voucher creation and alteration screens.

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Q.36 How can you copy text from Tally

You can use the shortcut Ctrl+Alt+C to copy text and shortcut Ctrl+Alt+V to paste text.

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Q.37 How can you check company statutory details?

To check statutory details from any screen you can use the shortcut Ctrl+Alt+B.

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Q.38 What is the use of statement of Inventory?

It is used to view the reports on Inventory based on Godowns. Tracking details of items according to the inventory. Also, to query on the stock and check out the budgets forecasts and statistics, plans, etc.

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Q.39 In Tally ERP 9, how Profit and loss statement can be viewed?

Click F1: Detailed to get a view of the profit and loss statement, and it will display the information based on the default primary groups. With every voucher/transaction that is entered is updated instantly.

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Q.40 Mention how you can the Books of Accounts be viewed in the Tally ERP 9?

To view the Books of Accounts.
You have to press D at the gateway of Tally ERP 9 to bring up the Display menu.
Press A to bring up the Accounts Books menu, at the display menu.

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Q.41 What Options are available in Account Books Menu in Tally ERP 9?

Account Books Menu include:
Bank Book (s)
Cash Book (s)
Ledger
Group Summary
Sales Register
Purchase Register
Journal Register

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Q.42 Explain what trial balance is and how you check the trial balance in Tally ERP9?

It basically is a summary of all the ledger balances and checks whether the figures are correct and balanced. It is a way to confirm that the journal entries are correctly posted to the general ledger. The total of all debts balances should be equal the total of all the credit balances, in the trial balance.

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Q.43 Explain the default configuration that Tally ERP 9 provides for Balance Sheet?

Two columns with Liabilities and Assets will be displayed by the Balance Sheet in the Tally EP 9. The closing balances of all the primary groups or capital accounts and the net profit for the period are all displayed by the Balance Sheet.

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Q.44 Mention when you create a company in Tally ERP 9, and what information is stored by the directory stores?

The path where the company data will be stored is specified by the Directory in the Tally ERP 9.

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Q.45 Mention what is the short cut to recall the last narration saved for the first ledger in the voucher?

The short cut to recall the last narration stored for the first ledger in the voucher is Alt+R.

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Q.46 Please mention the shortcut to repeat the narration on a voucher?

Press Ctrl+R, to repeat the narration on a voucher.

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Q.47 Explain what is group in Tally ERP 9?

A collection of ledgers of the same nature is called a Group. In the business, expenses like electric bills, telephone bill, conveyance, etc. are commonly included in groups. Ledger based on these expenses are created to be used while the accounting vouchers are entered.

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Q.48 Please list the features that are available in Tally ERP 9 for Accounting?

For Accounting Tally ERP 9 offers
Outstanding Management
Cost/Profit Centers Management
Invoicing
Budget/Scenario Management
Other features like Cheque Printing, etc.

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Q.49 To select the credit note voucher in Tally ERP 9, mention the short cut.

Press on F8 (cntrl+F8), it enables you to select the credit note voucher in Tally ERP 9.

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Q.50 To duplicate a voucher and to add a voucher in Tally ERP 9, what shortcut is use?

For duplicating a voucher: use short cut keys Alt+2
To add a voucher: use short cut keys Alt+A.

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Q.51 What is the function of Ctrl + N in Tally?

It will Open Calculator

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Q.52 What is the shortcut key to create a new column in the balance sheet?

Alt+C

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Q.53 Revenue Account also known by the name of?

Nominal Account

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Q.54 What is the shortcut key to change date In tally?

F2

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Q.55 Why Tally vault' is used?

For Security mechanism

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