Top 250+ Solved Financial Accounting 2 MCQ Questions Answer
Q. Goods in transit are shown in the balance sheet at ______
a. head office
b. branch
c. both
d. none of above
Q. H.O. has sent goods on invoice price worth Rs 2,40,000 which are 25% above cost price.What is the loading element?
a. rs 60000
b. rs 240000
c. rs 48000
d. rs 160000
Q. The adjusting entry for difference between the invoice price and cost price of goods areshown in ________
a. balance sheet
b. p & l a/c
c. branch adjustment a/c
d. none of above
Q. Stock and debtors system is generally used when goods are sent to the branch at _____
a. cost price
b. invoice price
c. both
d. none
Q. H.O. sent goods to branch at invoice price 50% plus on original price. How manypercentage of profit will be on Invoice price?
a. 20%
b. 25%
c. 33.33%
d. 16.67%
Q. Goods sent by HO but not received by branch before the end of the year, by debiting it togoods in transit, which account should be credited?
a. cash a/c
b. h.o. a/c
c. trading a/c
d. branch a/c
Q. If the opening balance of debtors is Rs 16,000 and closing balance is Rs 80,000, cash received from debtors is Rs 35,000 and bad debts is Rs 1,000, then what will be the amount ofcredit sales?
a. rs 95000
b. rs 105000
c. rs 100000
d. rs 110000
Q. The system of keeping accounts generally adopted by small size branches are:
a. debtors system
b. stock & debtors system
c. wholesale branch system
d. final account system
Q. Goods are supplied by the head office to dependent branches are at:
a. cost price
b. invoice price
c. market price
d. cost or invoice price
Q. Under debtors system which account is prepared by head office to calculate profit or lossof each branch:
a. capital account
b. debtors account
c. branch account
d. branch adjustment account
Q. Under debtors system depreciation on fixed asset is ________
a. credited to branch a/c
b. debited to branch a/c
c. not shown in branch a/c
d. shown in debtors a/c
Q. Branch Trading &Profit & Loss A/c is only a _________ account not forming part of thefull accounting system.
a. single
b. memorandum
c. capital
d. double
Q. In final account system, Branch Trading and Profit & Loss A/c is prepared at ________
a. invoice price
b. cost price
c. cost & invoice price
d. market price
Q. Under Final A/c system, the profit or loss made by the branch is determined by preparing
a. branch stock a/c
b. branch debtors a/c
c. branch adjustment a/c
d. branch trading & profit &loss a/c
Q. The Branch Account prepared under Final Account System is the nature of:
a. nominal account
b. real account
c. personal account
d. general account