Question 1

If the Going Concern concept is no longer valid, which of the following is true?

Accepted Answer

A) All prepaid assets would be completely written-off immediately 
B) Total contributed Capital and Retained Earnings would remain unchanged 
C) Intangible Assets would continue to be carried at net Amortized historical cost 
D) Land held as an Investment would be valued at its realizable value 
A) All prepaid assets would be completely written-off immediately 
B) Total contributed Capital and Retained Earnings would remain unchanged 
C) Intangible Assets would continue to be carried at net Amortized historical cost 
D) Land held as an Investment would be valued at its realizable value

Question 2

In order to deal with the re possession the hire vendor operates an account called _______

Accepted Answer

A) Asset account 
B) Goods account 
C) Goods repossessed account 
D) None of these 
A) Asset account 
B) Goods account 
C) Goods repossessed account 
D) None of these

Question 3

The process of transfer of entries from day book to ledgers is called _______________

Accepted Answer

A) Simple posting . 
B) Journal posting . 
C) Transaction . 
D) Ledger posting 
A) Simple posting . 
B) Journal posting . 
C) Transaction . 
D) Ledger posting

Question 4

The accounting measurement that is not consistent with the Going Concern concept is

Accepted Answer

A) Historical Cost 
B) Realization 
C) The Transaction Approach 
D) Liquidation Value 
A) Historical Cost 
B) Realization 
C) The Transaction Approach 
D) Liquidation Value

Question 5

Recording of Fixed Assets at cost ensures adherence of

Accepted Answer

A) Conservatism Concept 
B) Going Concern Concept 
C) Cost Concept 
D) Both (a) and (b) above 
A) Conservatism Concept 
B) Going Concern Concept 
C) Cost Concept 
D) Both (a) and (b) above

Question 6

The amount of money owed by a business to outsider is called _____

Accepted Answer

A) Capital 
B) Asset 
C) Liabilities 
D) None of these 
A) Capital 
B) Asset 
C) Liabilities 
D) None of these

Question 7

Which of the following statements is true?

Accepted Answer

A) Going Concern Concept assumes that business will be carried on for a definite period 
B) The Capital Losses need not be deducted to ascertain net income 
C) Provision for bad and doubtful debts is created in recognition of conservatism concept 
D) Materiality concept states that all business transactions are to be recorded however insignificant they may be 
A) Going Concern Concept assumes that business will be carried on for a definite period 
B) The Capital Losses need not be deducted to ascertain net income 
C) Provision for bad and doubtful debts is created in recognition of conservatism concept 
D) Materiality concept states that all business transactions are to be recorded however insignificant they may be

Exam 28: Accounting Concepts and Systems

If the Going Concern concept is no longer valid, which of the following is true?

In order to deal with the re possession the hire vendor operates an account called _______

The process of transfer of entries from day book to ledgers is called _______________

The accounting measurement that is not consistent with the Going Concern concept is

Recording of Fixed Assets at cost ensures adherence of

The amount of money owed by a business to outsider is called _____

Which of the following statements is true?

Exploring Features and Advantages of Computerized Accounting Systems

Exploring Computerized Accounting Systems and Software

Non-Profit Organizations and Financial Statements

Not-For-Profit Organizations and Financial Accounts

Goodwill and Intangible Assets

Valuation and Calculation of Goodwill

Understanding the Concepts of Lessor, Lessee, and Minimum Rent

Royalty Accounting and Partnership Firms

Accounting

Accounting and Corporate Finance

Accounting and Finance

Depreciation, Share Capital, and Forfeiture of Shares

Financial Statements and Accounting Principles

Insurance Provision and Accounting Standards

Formation and Capital Structure of Public Companies

Share Forfeiture, Debentures, and Sinking Fund

Financial Accounting and Banking

Insurance and General Insurance Companies: Understanding Terms and Concepts

Single Entry System and Company Ownership

Share Capital and Shareholders in a Company

Debentures, Bonds, and Shares

Accounting Concepts and Principles

Accounting Concepts and Practices

Financial Statements and Accounting for Nonprofit Organizations

Hire Purchase, Sale of Goods, and Bookkeeping

Accounting and Bookkeeping

Allocation of Selling Expenses Among Departments Based on Sales

Accounting and Financial Transactions

Ac Types, Balances, and Entries

Errors, Adjustments, and Expenditures in Accounting

Capitalization, Errors, Cash Book, and Types of Accounts

Revenue Recognition and Expenditure Classification

Depreciation and Asset Provision

Accounting Adjustments and Financial Statement Treatment

Balance Sheet and Profit Loss Account

Accounting and Financial Management

Bills of Exchange, Consignment, and Partnership

Accounting Standards and Joint Ventures

Accounting and Financial Management : Part A

Accounting and Financial Management : Part B

Accounting: Interest, Bill, Partnership Agreement,insurance, Contingent Liability, and Business Resources

Fundamentals of Accounting: Objectives, Concepts, and Principles

Depreciation and Reserves: Understanding the Accounting Concepts

Underwriting and Creditor Questions in Company Affairs

Amalgamation, Llp, and Single Entry System

Single Entry System and Profit Calculation

Accounting for Receipts, Payments, Income, and Expenditure in Consignment and Joint Venture Businesses

Accounting for Co-Venturers, Consignments, and Branches

Accounting Arrangements and Operations for Branches

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