| 1 |
Net profit plus expenses is equal to |
- A. purchases
- B. Cost of goods sold
- C. Capital
- D. Gross profit
|
| 2 |
Assets which have no market value are called |
- A. Wasting assets
- B. Fictitious assets
- C. Intangible assets
- D. Tangible assets
|
| 3 |
Goodwill, patent, copyright and trade mark are |
- A. Wasting assets
- B. Intangible assets
- C. Fictitious assets
- D. Liquid assets
|
| 4 |
Gross profit equals to |
- A. Net profit minus expenses
- B. Sales minus closing stock
- C. Purchases minus closing stock
- D. Sales minus cost of goods sold
|
| 5 |
A balance sheet is a |
- A. Statement of income and expenditure
- B. Statement of debtors and creditors
- C. Financial statement of a business on a particular date
- D. Statement of profit earned by a busniess
|
| 6 |
It is prepared to determine the net profit or net loss |
- A. Trading account
- B. Profit or loss account
- C. Cash book
- D. Balance sheet
|
| 7 |
Debts which are repayable in the course of less than one year bur more than one month are called |
- A. Quick liabilities
- B. Deferred liabilities
- C. Contingent liabilities
- D. Liquid liabilities
|
| 8 |
It is prepaid to determine the gross profit or gross loss |
- A. Trading account
- B. Profit or loss account
- C. Balance sheet
- D. None of these
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| 9 |
If the gross profit is Rs. 5000 and the net profit is 35% of the gross profit then the expenses must be |
- A. 3250
- B. 1250
- C. 3750
- D. 1750
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| 10 |
The valuation of closing stock is at |
- A. Cost price
- B. Market price
- C. Cost or market price whichever is lower
- D. Cost or market price whichever is higher
|