Question 1

In single entry system sales are computed by adding

Accepted Answer

A) Cash sales and cash received from debtors 
B) Cash sales and credit sales 
C) Credit sales and cash received from debtors. 
D) None of these. 
A) Cash sales and cash received from debtors 
B) Cash sales and credit sales 
C) Credit sales and cash received from debtors. 
D) None of these.

Question 2

Bill dishonored is shown in

Accepted Answer

A) Bills receivable account 
B) Bills receivable account and Debtor account. 
C) Debtor account. 
D) None of the Above 
A) Bills receivable account 
B) Bills receivable account and Debtor account. 
C) Debtor account. 
D) None of the Above

Question 3

To ascertain the real profit, the difference between the closing capital and opening capital is adjusted by:

Accepted Answer

A) Deducting the drawings and adding the additional capital introduced 
B) Adding the drawings and deducting the additional capital introduced 
C) Deducting both the drawings and the additional capital 
D) Adding both the drawings and the additional capital. 
A) Deducting the drawings and adding the additional capital introduced 
B) Adding the drawings and deducting the additional capital introduced 
C) Deducting both the drawings and the additional capital 
D) Adding both the drawings and the additional capital.

Question 4

The single entry system cannot be adopted by

Accepted Answer

A) Sole proprietorship 
B) Partnership concern 
C) Joint stock companies 
D) All of the above 
A) Sole proprietorship 
B) Partnership concern 
C) Joint stock companies 
D) All of the above

Question 5

Legacy for specific purpose is :

Accepted Answer

A) Added to the specific fund 
B) Shown in Income and expenditure account 
C) Shown as separate liability 
D) None of the above 
A) Added to the specific fund 
B) Shown in Income and expenditure account 
C) Shown as separate liability 
D) None of the above

Question 6

Entrance fees are generally

Accepted Answer

A) Capitalised 
B) Taken as income 
C) Treated as a liability 
D) Special reserve 
A) Capitalised 
B) Taken as income 
C) Treated as a liability 
D) Special reserve

Question 7

The amount of credit sale is ascertained by :

Accepted Answer

A) Preparing Total Debtors' Account 
B) Prepare Trading Account 
C) Preparing Statement of affairs 
D) None of the above 
A) Preparing Total Debtors' Account 
B) Prepare Trading Account 
C) Preparing Statement of affairs 
D) None of the above

Question 8

In not-for-profit organisations, excess of expenditure over income is called-

Accepted Answer

A) Loss 
B) Profit 
C) Deficit 
D) Surplus 
A) Loss 
B) Profit 
C) Deficit 
D) Surplus

Question 9

Under single entry system, only personal accounts are kept and in some cases:

Accepted Answer

A) Cash account is maintained 
B) Fixed assets accounts are maintained 
C) Liabilities account are maintained 
D) All of the above 
A) Cash account is maintained 
B) Fixed assets accounts are maintained 
C) Liabilities account are maintained 
D) All of the above

Question 10

Income and expenditure account reveals

Accepted Answer

A) Cash in hand 
B) Surplus or deficiency 
C) Capital account 
D) None of the above 
A) Cash in hand 
B) Surplus or deficiency 
C) Capital account 
D) None of the above

Question 11

Net Profit under single entry system is equal to

Accepted Answer

A) Capital+ Additional Capital - Drawings- Opening Capital 
B) Capital - Additional Capital -Drawings - Opening Capital 
C) Capital - Additional Capital + Drawings - Opening Capital 
D) Capital+ Additional Capital +Drawings + Opening Capital 
A) Capital+ Additional Capital - Drawings- Opening Capital 
B) Capital - Additional Capital -Drawings - Opening Capital 
C) Capital - Additional Capital + Drawings - Opening Capital 
D) Capital+ Additional Capital +Drawings + Opening Capital

Question 12

Donations received for a special purpose are

Accepted Answer

A) Asset 
B) Revenue receipt 
C) Capital Receipt 
D) None of the above 
A) Asset 
B) Revenue receipt 
C) Capital Receipt 
D) None of the above

Question 13

Single entry system contains

Accepted Answer

A) All the relevant accounts 
B) Only personal accounts 
C) Real accounts only 
D) Personal accounts and cash book. 
A) All the relevant accounts 
B) Only personal accounts 
C) Real accounts only 
D) Personal accounts and cash book.

Question 14

General donations of relatively large amount is recorded on the

Accepted Answer

A) Income side of Income and Expenditure Account 
B) Liabilities side of Balance Sheet 
C) Receipts side of Receipts and Payments Account 
D) both b. and c. 
A) Income side of Income and Expenditure Account 
B) Liabilities side of Balance Sheet 
C) Receipts side of Receipts and Payments Account 
D) both b. and c.

Question 15

Donation received for a special purpose:

Accepted Answer

A) Should be credited to Income and Expenditure Account 
B) Should be credited to separate account and shown in the Balance Sheet 
C) Should be shown on the assets side of the Balance Sheet 
D) Should not be recorded at all 
A) Should be credited to Income and Expenditure Account 
B) Should be credited to separate account and shown in the Balance Sheet 
C) Should be shown on the assets side of the Balance Sheet 
D) Should not be recorded at all

Question 16

The Income and expenditure account begins with

Accepted Answer

A) Debit balance 
B) Credit balance 
C) No balance 
D) Balance from the previous year 
A) Debit balance 
B) Credit balance 
C) No balance 
D) Balance from the previous year

Question 17

The amount of 'Subscription received from members' by a Not-for Profit Organisation is shown in which of the following:

Accepted Answer

A) Debit side of Income and Expenditure Account 
B) Credit side of Income and Expenditure Account 
C) Liability side of Balance Sheet 
D) Assets side of Balance Sheet 
A) Debit side of Income and Expenditure Account 
B) Credit side of Income and Expenditure Account 
C) Liability side of Balance Sheet 
D) Assets side of Balance Sheet

Question 18

Not - for - profit organisations institutions prepare

Accepted Answer

A) Profit and loss account 
B) Manufacturing account 
C) Income and expenditure account 
D) All of the above 
A) Profit and loss account 
B) Manufacturing account 
C) Income and expenditure account 
D) All of the above

Question 19

Income and Expenditure A/c is a

Accepted Answer

A) Nominal A/c 
B) Real A/c 
C) Personal A/c 
D) None of the above 
A) Nominal A/c 
B) Real A/c 
C) Personal A/c 
D) None of the above

Question 20

From incomplete records, it is possible to prepare

Accepted Answer

A) Ledger accounts 
B) Trial balance 
C) Statement of affairs 
D) All of the above 
A) Ledger accounts 
B) Trial balance 
C) Statement of affairs 
D) All of the above

Exam 47: Single Entry System and Profit Calculation

In single entry system sales are computed by adding

Bill dishonored is shown in

To ascertain the real profit, the difference between the closing capital and opening capital is adjusted by:

The single entry system cannot be adopted by

Legacy for specific purpose is :

Entrance fees are generally

The amount of credit sale is ascertained by :

In not-for-profit organisations, excess of expenditure over income is called-

Under single entry system, only personal accounts are kept and in some cases:

Income and expenditure account reveals

Net Profit under single entry system is equal to

Donations received for a special purpose are

Single entry system contains

General donations of relatively large amount is recorded on the

Donation received for a special purpose:

The Income and expenditure account begins with

The amount of 'Subscription received from members' by a Not-for Profit Organisation is shown in which of the following:

Not - for - profit organisations institutions prepare

Income and Expenditure A/c is a

From incomplete records, it is possible to prepare

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 Concepts and Systems

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

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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