Accounting Mcqs

Page No. 17

Which of the following is NOT an example of intangible assets?


aFranchise rights

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bGoodwill

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cPatents

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dLand

✓


View Answer Land

What type of expenses are paid out of Gross Profit?


aGeneral expenses

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bFinancial expenses

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cSelling expenses

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dAll of the above

✓


View Answer All of the above

Commission to promote credit sale by consignee is known as


aDel credere commission

✓


bOver riding commission

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cOrdinary commission

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dSpecial commission

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A proforma invoice is sent by


aConsignee to consignor

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bConsignee to debtors

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cDebtors to consignee

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dConsignor to consignee

✓



Dividends are usually paid as a percentage of


aNet profit

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bAuthorized share capital

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cCalled up capital

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dPaid up capital

✓


View Answer Paid up capital

Petty cash balance is


aLiability

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bIncome

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cExpense

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dAsset

✓


View Answer Asset

Contra-entries are passed only when


aDouble column cash book is prepared

✓


bThree column cash book is prepared

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cSimple cash book is prepared

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dNone of the above

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One of the Fundamental accounting assumption is


aMateriality

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bGoing concern

✓


cBusiness entity

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dDual aspect

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View Answer Going concern

Transaction between business and owner are recorded following ____ concept


aPeriodicity

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bBusiness entity

✓


cPrudence

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dGoing concern

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View Answer Business entity

Loss leads to reduction in


aCapital

✓


bIncome

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cLiabilities

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dNone of the above

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View Answer Capital

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