| 1 |
From business point of view, Interest on capital is considered as |
- A. An income
- B. An expense
- C. A profit
- D. A liability
|
| 2 |
Outstanding expense given in adjustment is called |
- A. An asset
- B. A gain
- C. An expense
- D. A liability
|
| 3 |
Interest due but not received is an |
- A. Outstanding expense
- B. Accrued income
- C. Prepaid expense
- D. Unearned income
|
| 4 |
Net profit is always |
- A. Equal to gross profit
- B. More than gross profit
- C. Less than gross profit
- D. None of these
|
| 5 |
Patent is an example of |
- A. Assets
- B. Liabilities
- C. Income
- D. Expense
|
| 6 |
All those expenses which have become due but not paid are called |
- A. Accrued revenue
- B. Prapaid revenue
- C. Outstanding expenses
- D. Advance expenses
|
| 7 |
The amount becomes due from the customers is called |
- A. Allowance
- B. Loan
- C. Debts
- D. Doubtful debts
|
| 8 |
A prepaid expense is |
- A. An asset
- B. A liability
- C. An expense
- D. An income
|
| 9 |
Provision for the doubtful debts is debited to |
- A. Debtors a/c
- B. Provision for bad debts a/c
- C. Profit or loss a/c
- D. Bad debts recovered a/c
|
| 10 |
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
|
