Top 250+ Solved Financial Accounting 2 MCQ Questions Answer

From 181 to 195 of 236

Q. Under hire purchase system who has the right of sell __________

a. buyer

b. hirer

c. hire vendor

d. debtor

  • c. hire vendor

Q. Under hire purchase system, the agreement can be _________

a. renewed

b. registered

c. terminated

d. endorse

  • c. terminated

Q. Installment system is governed by _______

a. hire purchase act

b. sale of goods act

c. installment act

d. properties registration act

  • b. sale of goods act

Q. Under hire purchase system, the retail price of the articles is called ________

a. mrp

b. wholesale price

c. retail price

d. cash price

  • c. retail price

Q. The advance amount under hire purchase system is called __________

a. cash price

b. retail price

c. interest

d. down payment

  • d. down payment

Q. Under hire purchase system, interest is calculated on _______

a. cash price

b. hire purchase price

c. mrp

d. outstanding balance.

  • d. outstanding balance.

Q. If the hire purchaser fails to make payment of any installment, it is called _______

a. default

b. repossession

c. sale

d. purchase

  • a. default

Q. If the hire vendor may take away all the goods on which there is default of installment itis called____________

a. repossession

b. partial repossession

c. complete repossession

d. purchase.

  • c. complete repossession

Q. The hire vendor takes away only a portion of the goods on which there is default ofInstallments it is called _________

a. repossession

b. partial repossession

c. complete repossession

d. purchase

  • b. partial repossession

Q. In the books of hirer, for payment of installment hire vendor account will be ________

a. debited

b. credited

c. rectified

d. reversed

  • a. debited

Q. In the books of hirer, for interest due at the end of the year hire vendor account will be_______

a. debited

b. credited

c. rectified

d. reversed

  • b. credited

Q. In the books of Hirer, the interest and depreciation account will be transferred to ______.

a. trading account

b. p & l account

c. p & l appropriation account

d. balance sheet

  • b. p & l account

Q. Nature of hire purchase agreement is __________.

a. agreement of sale

b. option to transfer

c. option to buy

d. option to sell

  • c. option to buy

Q. In case of Hire-Purchase the total sum payable by the hire-purchaser as per terms in orderto complete the transactions is

a. net cash price

b. net hire-purchase charges

c. hire-purchase price

d. cash price instalment

  • c. hire-purchase price

Q. Under ______ system the buyer does not get ownership of goods immediately

a. installment

b. hp

c. installment and hp

d. none of these

  • b. hp
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