Question 1

Interest earned is a

Accepted Answer

A) personal account 
B) real account 
C) nominal account 
D) representative personal account 
A) personal account 
B) real account 
C) nominal account 
D) representative personal account C

Question 2

All the transactions measurable in the terms of money are recorded in accounts is according to

Accepted Answer

A) business entity concept 
B) going concern concept 
C) money measurement concept 
D) accounting period concept 
A) business entity concept 
B) going concern concept 
C) money measurement concept 
D) accounting period concept C

Question 3

In profit and loss account, if credit is more than the debit, the difference is

Accepted Answer

A) net profit 
B) net loss 
C) gross profit 
D) gross loss 
A) net profit 
B) net loss 
C) gross profit 
D) gross loss A

Question 4

All revenue incomes are credited to

Accepted Answer

A) manufacturing account 
B) trading account 
C) profit and loss account 
D) balance sheet 
A) manufacturing account 
B) trading account 
C) profit and loss account 
D) balance sheet

Question 5

Interpretation means

Accepted Answer

A) explanation of meaning and significance of the data in financial statements. 
B) concerned with preparation and presentation of classified data 
C) systematic analysis of recorded data 
D) methodical classification of data given in financial statements. 
A) explanation of meaning and significance of the data in financial statements. 
B) concerned with preparation and presentation of classified data 
C) systematic analysis of recorded data 
D) methodical classification of data given in financial statements.

Question 6

_______ is root cause for financial accounting

Accepted Answer

A) stewardship accounting 
B) social accounting 
C) management accounting 
D) human resource accounting 
A) stewardship accounting 
B) social accounting 
C) management accounting 
D) human resource accounting

Question 7

In income measurement & recognisation of assets & liabilities which of the following concepts goes together?

Accepted Answer

A) periodicity, accural, matching 
B) cost, accural, matching 
C) going concern, cost, realization 
D) going concern, periodicity, reliability 
A) periodicity, accural, matching 
B) cost, accural, matching 
C) going concern, cost, realization 
D) going concern, periodicity, reliability

Question 8

Dividing the expenditure into capital and revenue is according to

Accepted Answer

A) business entity concept 
B) going concern concept 
C) money measurement concept 
D) accounting period concept 
A) business entity concept 
B) going concern concept 
C) money measurement concept 
D) accounting period concept

Question 9

Which of the following is incorrect?

Accepted Answer

A) good will - intangible asset 
B) sundry debtors - current asset 
C) loose tools - tangible fixed asset 
D) outstanding expenses - current asset 
A) good will - intangible asset 
B) sundry debtors - current asset 
C) loose tools - tangible fixed asset 
D) outstanding expenses - current asset

Question 10

The process of recording financial data upto trial balance is

Accepted Answer

A) book keeping 
B) classifying 
C) summarising 
D) analyzing 
A) book keeping 
B) classifying 
C) summarising 
D) analyzing

Question 11

Profit and loss account is a

Accepted Answer

A) personal account 
B) real account 
C) nominal account 
D) representative personal account 
A) personal account 
B) real account 
C) nominal account 
D) representative personal account

Question 12

Provision for discount on debtors is calculated on the amount of debtors.

Accepted Answer

A) before deducting provision for doubtful debts. 
B) after deducting provision for doubtful debts. 
C) before deducting actual debts and provision for doubtful debts. 
D) after adding actual bad and doubtful debts. 
A) before deducting provision for doubtful debts. 
B) after deducting provision for doubtful debts. 
C) before deducting actual debts and provision for doubtful debts. 
D) after adding actual bad and doubtful debts.

Question 13

Human resources will not appear in the balance sheet according to ______ concept.

Accepted Answer

A) accrual 
B) going concern 
C) money measurement concept 
D) none 
A) accrual 
B) going concern 
C) money measurement concept 
D) none

Question 14

Commission paid is a

Accepted Answer

A) personal account 
B) real account 
C) nominal account 
D) representative personal account 
A) personal account 
B) real account 
C) nominal account 
D) representative personal account

Question 15

Which of the following is wrong?

Accepted Answer

A) all real and personal accounts are transferred to balance sheet 
B) nominal accounts are transferred to p & l account 
C) each account is opened separately in ledger 
D) rent is a personal account, outstanding rent is nominal account 
A) all real and personal accounts are transferred to balance sheet 
B) nominal accounts are transferred to p & l account 
C) each account is opened separately in ledger 
D) rent is a personal account, outstanding rent is nominal account

Question 16

Which of the following is not a Real Account?

Accepted Answer

A) cash a/c 
B) investments a/c 
C) outstanding rent a/c 
D) purchases a/c 
A) cash a/c 
B) investments a/c 
C) outstanding rent a/c 
D) purchases a/c

Question 17

Outstanding salary account is a

Accepted Answer

A) natural personal account 
B) artificial personal account 
C) representative personal account 
D) real account 
A) natural personal account 
B) artificial personal account 
C) representative personal account 
D) real account

Question 18

Value of goods withdrawn by the proprietor for his personal use should be credited to ____

Accepted Answer

A) capital a/c 
B) sales a/c 
C) drawings a/c 
D) purchases a/c 
A) capital a/c 
B) sales a/c 
C) drawings a/c 
D) purchases a/c

Question 19

Which accounting concept specifies the practice of crediting closing stock to the trading account?

Accepted Answer

A) cost 
B) realisation 
C) going concern 
D) matching 
A) cost 
B) realisation 
C) going concern 
D) matching

Question 20

Co-operative societies is an example of

Accepted Answer

A) personal account 
B) real account 
C) nominal account 
D) representative personal account 
A) personal account 
B) real account 
C) nominal account 
D) representative personal account

Interest earned is a

All the transactions measurable in the terms of money are recorded in accounts is according to

In profit and loss account, if credit is more than the debit, the difference is

All revenue incomes are credited to

Interpretation means

_______ is root cause for financial accounting

In income measurement & recognisation of assets & liabilities which of the following concepts goes together?

Dividing the expenditure into capital and revenue is according to

Which of the following is incorrect?

The process of recording financial data upto trial balance is

Profit and loss account is a

Provision for discount on debtors is calculated on the amount of debtors.

Human resources will not appear in the balance sheet according to ______ concept.

Commission paid is a

Which of the following is wrong?

Which of the following is not a Real Account?

Outstanding salary account is a

Value of goods withdrawn by the proprietor for his personal use should be credited to ____

Which accounting concept specifies the practice of crediting closing stock to the trading account?

Co-operative societies is an example of

Accounting Concepts and Principles

Accounting and Financial Management for Branches and Head Offices

Accounting for Branches and Partnerships

Accounting for Partnerships: Drawings, Goodwill, and Retirement

Partnership and Dissolution: Understanding the Ins and Outs of a Business Partnership

Hire Purchase System and Dissolution of Assets in a Firm

Hire Purchase Agreements and Company Accounting

Shares, Reserves, and Dividends in Company Law

Issuing and Cancelling Shares and Debentures in a Company

Filters

Exam 1: Accounting and Financial Concepts and Principles

Interest earned is a

All the transactions measurable in the terms of money are recorded in accounts is according to

In profit and loss account, if credit is more than the debit, the difference is

All revenue incomes are credited to

Interpretation means

_______ is root cause for financial accounting

In income measurement & recognisation of assets & liabilities which of the following concepts goes together?

Dividing the expenditure into capital and revenue is according to

Which of the following is incorrect?

The process of recording financial data upto trial balance is

Profit and loss account is a

Provision for discount on debtors is calculated on the amount of debtors.

Human resources will not appear in the balance sheet according to ______ concept.

Commission paid is a

Which of the following is wrong?

Which of the following is not a Real Account?

Outstanding salary account is a

Value of goods withdrawn by the proprietor for his personal use should be credited to ____

Which accounting concept specifies the practice of crediting closing stock to the trading account?

Co-operative societies is an example of

Accounting Concepts and Principles

Accounting and Financial Management for Branches and Head Offices

Accounting for Branches and Partnerships

Accounting for Partnerships: Drawings, Goodwill, and Retirement

Partnership and Dissolution: Understanding the Ins and Outs of a Business Partnership

Hire Purchase System and Dissolution of Assets in a Firm

Hire Purchase Agreements and Company Accounting

Shares, Reserves, and Dividends in Company Law

Issuing and Cancelling Shares and Debentures in a Company

Filters