Top 50+ Solved Business Accounting MCQ Questions Answer
Q. Identify which is wrong rule
a. Nominal account- debit all expenses & losses
b. Real account- credit what comes in
c. Nominal account- credit all incomes & gains
d. Personal account- debit the receiver
Q. The main object of cost accounting is:
a. To record day to day transactions of the business
b. To reveal managerial efficiency
c. To ascertain true cost of products and services
d. To determine tender price
Q. Accounting principles are generally based upon:
a. Practicability
b. Subjectivity
c. Convenience in recording
d. None of the above
Q. The system of recording based on dual aspect concept is called:
a. Double account system
b. Double entry system
c. Single entry system
d. All the above
Q. P & L a/c is prepared for a period of one year by following:
a. Consistency concept
b. Conservatism concept
c. Accounting period concept
d. Cost Concept
Q. All those to whom business owes money are:
a. Debtors
b. Investors
c. Creditors
d. Shareholders concept
Q. Bookkeeping is a/an……………………of correctly recording of business transition.
a. Art and Science
b. Art
c. Science
d. Art or Science
Q. The purpose of financial accounts is reporting to
a. Management only
b. Government only
c. Investor only
d. All of these
Q. Accounting principles are divided into two types. These are ---
a. Accounting Concepts
b. Accounting Conventions
c. Accounting Standards
d. Accounting Concepts & Accounting Conventions
Q. A statement containing the various ledgers balances on particular date
a. Compound Journal
b. Ledger
c. Trial balance
d. None of the above
Q. The transferring of debit and credit items from journal to the respective accounts in the ledger is calledas
a. Ledger
b. Posting
c. Forward journal
d. None of these one of these
Q. The basic sequence in the accounting process can best be described as:
a. Transaction, journal entry, source document, ledger account, trial balance.
b. Source document, transaction, ledger account, journal entry, trial balance.
c. Transaction, source document, journal entry, trial balance, ledger account.
d. Transaction, source document, journal entry, ledger account, trial balance.
Q. Debit the receiver credit the giver rule for
a. Real a/c
b. Personal a/c
c. Nominal a/c
d. None of these
Q. What comes in is to be debited, what goes out is to be credited.
a. Rules of Personal
b. Rules of Real
c. Rules of Nominal
d. All of these