Accounting Mcqs

Page No. 42

Which of the following is not a contingent liability?


aDebts included in Sundry Debtors which are doubtful in nature


bUncalled liability on partly paid shares


cClaims against the company not acknowledged as debts


dArrears of fixed cumulative dividend



Based on which of the following concepts, is Share Capital Account shown on the liabilities side of a Balance Sheet?


aBusiness entity concept


bMoney measurement concept


cGoing concern concept


dMatching concept



Which of the following is a current liability?


aPrepaid expenses


bTrademark


cDiscount on issue of shares


dOutstanding Salaries


View Answer Outstanding Salaries

Which of the following is not an intangible asset?


aTrade mark


bFranchise


cAccounts Receivable


dSecret Profit


View Answer Accounts Receivable

Computers taken on hire by a business for a period of twelve months should be classified as:___________?


aCurrent assets


bIntangible assets


cDeferred revenue expenditure


dNot an asset


View Answer Not an asset

Which of the following accounts appear(s) in the Balance Sheet of a business? 0 i. Stock at the end of the financial year ii. Stock at the beginning of the financial year iii. Drawings iv. Prepaid Rent v. Interest received but not yet earned


aOnly (i) above


bOnly (iii) above


cBoth (i)and (iii) above


d(i), (iii), (iv) and (v) above



The Balance Sheet gives information regarding the____________?


aResults of operations for a particular period


bFinancial position during a particular period


cProfit earning capacity for a particular period


dFinancial position as on a particular date



Which of the following statements is false ? select the false from below options


aBalance Sheet discloses financial position of the business


bA person who owes to the business is called Debtor


cDecrease in the value of the asset could decrease the value of a liability


dAssets are to be shown in the Balance Sheet at the realizable value



Tax deducted at source appears in the Balance Sheet


aOn the assets side under current assets


bOn the assets side under loans and advances


cOn the liabilities side under current liabilities


dOn the liabilities side under provisions



Which of the following are/is a current asset?


aSundry Debtors


bStock


cPrepaid insurance


dAll of A. B. and C. above



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