| 1 |
The system of accounting in which accounting entries are made only when cash received or paid is known as |
- A. Cash system
- B. Accrual system
- C. Mercantile system
- D. Single system
|
| 2 |
An income which has earned but not received is called |
- A. Unearned income
- B. Accrued revenue
- C. Revenue received in advance
- D. None of these
|
| 3 |
A prepaid expense is |
- A. An asset
- B. A liability
- C. An expense
- D. An income
|
| 4 |
All those expenses which have become due but not paid are called |
- A. Accrued revenue
- B. Prapaid revenue
- C. Outstanding expenses
- D. Advance expenses
|
| 5 |
The debts, the recovery or realization of which is uncertain are known as |
- A. Bad bets
- B. Doubtful debts
- C. Provision for doubtful debts
- D. Loan
|
| 6 |
The revenue that has not become due, but received in cash in current year is known as |
- A. Revenue received in advance
- B. Accrued revenue
- C. Unearned revenue
- D. Both a & c
|
| 7 |
From business point of view, Interest on capital is considered as |
- A. An income
- B. An expense
- C. A profit
- D. A liability
|
| 8 |
Interest on drawings is |
- A. An asset
- B. A liability
- C. An expense
- D. A revenue
|
| 9 |
The accounting system in which accounting entries are made on the basis of amount having become due for payment or receipt, is called |
- A. Cash system
- B. Accrual or mercantile system
- C. Outstanding system
- D. None of these
|
| 10 |
Bad debts recovered from debtors should be credited to |
- A. Debtors a/c
- B. Bad debts a/c
- C. Bad debts recovered a/c
- D. Cash a/c
|
