Question # 1

An expenditure, incurred to improve the position of the business is known as

Choose an answer

Deferred expenditure

Revenue expenditure

Capital expenditure

Recurring expenditure

Trading account is the account which is prepared to determine the:

Choose an answer

Only gross profit of the business

Only gross loss of the business

Gross pro0fit or the gross loss of the business

None of the above

Expenses paid by a business decrease

Choose an answer

cash

capital

cash & capital

none of these

The accrued income or outstanding income will appear in the balance sheet as

Choose an answer

An expense

A liability

An asset

Both a & b

Expenses related to sale of goods are shown in

Choose an answer

Trading account

Profit or loss account

Balance sheet

Sales account

At the time of drawing a bill the drawer credits:

Choose an answer

Debtors account

Creditors account

bill receivable account

Suppliers account

Errors is casting of subsidiary books are called as

Choose an answer

Error of omission

Compensating error

Error of posting

Clerical errors

An expenditure, which is incurred to increase to profit earning capacity of a business concern, is called

Choose an answer

Deferred expenditure

Current expenditure

Capital expenditure

Recurring expenditure

If amount for Rs. 554 recovered from Ali, previously written off as bad debts we should

Choose an answer

Debited to bad debts recovered account

Credited to Ali account

Debited to bad debts account

Credited to bad debts recovered account

A revenue expenditure, the benefit of which is not confined to one accounting year is called

Choose an answer

Non-current expenditure

Revenue expenditure

Future expenditure

Deferred expenditure

Acceptance to Mr. A was posted to the debit of B's account. The rectification of the entry will.

Choose an answer

Increase the net profit

Decrease the net profit

Have double effect on net profit

Have no effect on net profit

A statement of assets and liabilities is prepared under the single entery system is called.

Choose an answer

Balance sheet

Financial statement

Statement of affair

Cash transaction

In consginee's books the payment of expense by consignee should be debited to

Choose an answer

Consignment account

Consignnors account

Cash account

None of these

Consignee is.

Choose an answer

A principal

An agent

A debtor

A creditor

In the absence of an agreement, the share of new partner in patnership will be.

Choose an answer

In the portion of capital

Equal

According to work

None of the above

Capital of the partners are maintained under.

Choose an answer

Fixed capital method

Fluctuating method

By any two of the above

None of the above

Subscription otstanding in the beginning are shown in the

Choose an answer

Trading account

Income and expenditure account

Balance sheet

Profit and loss account

Partnership is formed by the partners.

Choose an answer

Written agreement

Mutual consent

Verbal agreement

None of these

Realizaton account is a.

Choose an answer

Nominal account

Real account

Personal account

Cash account

In case of public company minimum number of members is.

Choose an answer

Six

Seven

Ten

Fifty

Excess of liablilities over assets is an indication of .

Choose an answer

Solvency

Insolvency

Surplus

Profit

The figure of the bills receivable can be worked out from.

Choose an answer

Total debtors account

Total creditors account

Trail balance

Balance sheet

More Classes

Other Links

Accounting Test Easy Mode MCQs With Answers

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer