Accounting Mcqs

Page No. 13

Expenditure incurred annually on renewal of patent is a


aRevenue expenditure


bCapital expenditure


cFinancial expenditure


dOperating expenditure


View Answer Revenue expenditure

Stock of a Trading concern consists of


aRaw material


bWork in progress


cMerchandise inventory


dAll of the above


View Answer Merchandise inventory

General office expenses are charged to which of the following head?


aAdministrative expenses


bMarketing expenses


cSelling expenses


dFinancial expenses



Which of the following are the owners of a company?


aProprietors


bPartners


cShareholders


dManagers


View Answer Shareholders

The persons who sign Articles and Memorandum of the company and contribute in the initial share capital of the company are called


aSubscribers


bShareholders


cManagers


dDirectors


View Answer Subscribers

Which one of the following can offer its share to public at large?


aPrivate limited company


bListed company


cPartnership firm


dTrust


View Answer Listed company

Which one of the following statement is CORRECT about long term liabilities?


aThese are due within one year


bThese consist of all debts, payable after 12 months


cIn working capital, these are deducted from current assets


dAll of the above



Which one of the following is NOT true about revenue expenditure?


aThese are the running expenses of the business


bThey improve the financial position of the business


cThey reduce the profit of the concern


dThey do not appear in the balance sheet



The maximum amount with which a company is registered is called


aAuthorized capital


bIssued capital


cPaid up capital


dCalled up capital


View Answer Authorized capital

Authorized share capital is also known as


aRegistered capital


bIssued capital


cPaid up capital


dCalled up capital


View Answer Registered capital

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