Top 1000+ Solved Financial Accounting MCQ Questions Answer

a. Credit purchases ;

b. Purchase returns ;

c. Cash purchases ;

d. Cash/cheques paid

a. Transactions ;

b. Entries ;

c. Accounts ;

d. None of these

a. Business Entity

b. Going Concern

c. Periodicity

d. Consistency

a. Machinery

b. Rent

c. Cash

d. Creditor

a. Decreases the Total Assets

b. Increases the Total Assets

c. Results in no change in the Total Assets

d. Increases the Total Liabilities

a. Folio ;

b. Pages ;

c. Serial Number ;

d. None of these

a. 1,25,000 ;

b. 1,35,000 ;

c. 1,05,000 ;

d. 1,50,000

a. Profit and loss account (Right Answer) ;

b. Balance sheet ;

c. Cash flow statement ;

d. Owner‘s equity

a. Simple posting ;

b. Journal posting ;

c. Transaction ;

d. Ledger posting

a. Debit X A/c; Credit Purchase Return A/c

b. Debit X A/c; Credit Cash A/c

c. Debit Sales Return A/c; Credit X A/c

d. Debit X A/c; Credit Sales A/c

a. The Total Assets will increase

b. The Total Liabilities will increase

c. The Total Assets will decrease

d. There is no change in the Total Assets

a. Debiting Stock Account and crediting Capital Account

b. Debiting Capital Account and crediting Drawings Account

c. Debiting Drawings Account and Crediting Stock Account

d. Debiting Stock Account and Crediting Drawings Account

a. Reduce both Assets and Owner‘s Equity

b. Reduce Assets and increase Liabilities

c. Reduce Owner‘s Equity and increase Liabilities

d. Have no affect on the Balance Sheet

a. The payment of a Liability causes an increase in Owner‘s Equity

b. The collection of an Account Receivable will cause Total Assets to increase

c. The accounting equation may be stated as: Assets+Liabilities = Owners‘ equity

d. The purchase of an asset such as office equipment, either for cash or on credit, does not change the Owners‘ Equity

a. Only (i) above

b. Only (ii) above

c. Only (iii) above

d. Both (i) and (iii) above