Question # 1

Financial accounting is mainly confined to preparation of:

Choose an answer

Manufacturing statement

Financial statements

Production statement

Sale statement

In the preparation of worksheet the amounts in the trail balance are taken directly form the ______

Choose an answer

Ledger

Trail balance

Balance sheet

None of these

The margin that is available to cover the other expenses for a period and to yield net income is known as

Choose an answer

Net profit

Gross profit

Net sales

Cost of goods sold

Book used to record petty expenses and receipts

Choose an answer

Single Column Cash Book

Petty Cash Book

Double Column Cash Book

Treble Column Cash Book

Transaction are recorded data wise, so journal is also called:

Choose an answer

Entry book

Transaction book

Chronological book

Voucher

A credit sale was wrongly passed through purchases book, the rectification of the entry will:

Choose an answer

Increase the net profit by, double amount

Decrease the net profit

Decrease the net profit by double amount

Have no effect on the net profit

Distinction between capital and revenue items is important for the preparation

Choose an answer

Balance sheet

Trading and profit or loss a/c

Bank reconciliation statement

Both a & b

All the transactions recorded to credit sales are recorded in:

Choose an answer

Sale return book

Sales book

Cash book

Debtor's book

The effect of drawing on accounting equation is

Choose an answer

decrease in assets and decrease in liabilities

increase in both assets & liabilities

decrease in assets and increase in capital

none of these

Adjusted ______ is used to prepare the income statement and balance sheet

Choose an answer

Trail balance

Ledger

Balance sheet

Bank statement

The balance of petty cash book is a/an

Choose an answer

Asset

Liability

Expense

Income

How many categories of accounts are

Choose an answer

two

three

four

five

A bank reconciliation statement is prepared by:

Choose an answer

banker

Accountant of the business

Statutory auditors

Rigistar

All those expenses which have not become due but paid in advance are called

Choose an answer

Accrued expenses

Outstanding expenses

Prepaid expenses

Payable expenses

The book use to record all credit purchases is called:

Choose an answer

Purchases book

Purchase return book

Cash book

Creditor book

More Classes

Other Links

Principles of accounting Icom Part 1 English Medium Online Test 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