Accounting Mcqs

Page No. 28

A company cannot issue redeemable preference shares for a period exceeding


a10 years

✖


b20 years

✓


c30 years

✖


d15 years

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View Answer 20 years

Preliminary expenses are treated as


aFixed asstes

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bCurrent assets

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cIntangible assets

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dMiscellaneous expenditure

✓



In case of opening Credit Balance, the word ______ are written on the credit side.


aBy Balance b/d

✓


bTo Balance b/d

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cBy Balance c/d

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dTo Balance c/d

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View Answer By Balance b/d

Revenue expenditures are recorded in the


aManufacturing account

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bTrading account

✖


cProfit & loss account

✖


dAll of the above

✓


View Answer All of the above

Which liability is not included in the total of Balance Sheet?


aCurrent liabilities

✖


bContingent liabilities

✓


cFixed liabilities

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dAll of the above

✖



Which reserve is not shown in the Balance sheet?


aSecret reserve

✓


bGeneral reserve

✖


cCapital reserve

✖


dAll of the above

✖


View Answer Secret reserve

Promissory note is prepared by


aDrawer

✓


bEndorsee

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cDrawee

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dAll of the above

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View Answer Drawer

Petty cash is used for payment of


aSalaries & wages of the staff

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bFor purchase of assets

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cSmall expenses relating to postage's and conveyance etc.

✓


dAll of the above

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Profit is a part of


aIncome

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bOwner's capital

✓


cAssets

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dAll of the above

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View Answer Owner's capital

Drawing is a type of


aExpense

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bWithdrawal of capital

✓


cIncome

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dNone of the above

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View Answer Withdrawal of capital

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