Top 1000+ Solved Financial Accounting MCQ Questions Answer
Q. The document listing the latest balances of all Real and Personal A/c in the ledger on a given date is known as —
a. Trial Balance ;
b. Positional Statement ;
c. Income Statement ;
d. Charter of Accounts
Q. A sent some goods to B to be sold on consignment basis. 1/10 of the goods valued ` 25,000 were lost in transit. Find the value of goods sent of consignment basis —
a. 2,50,000 ;
b. 25,000 ;
c. 2,500 ;
d. None
Q. A company sends its cars to dealers on 'sale or return' basis. All such transactions ire however treated like actual sales and are passed through the sales day book. Just before the end of the financial year, two cars which had cost ` 55,000 each have been sent on sale or return and have been debited to customers at ` 75,000 each, cost of goods lying with the customers will be
a. 1,10,000.
b. 35,000.
c. 75,000.
d. None of the above.
Q. From the following details estimate the capital as on 31.03.2013, Capital as on 01.04.2012 ` 2,05,000.Drawing ` 20,000, Profit during the year ` 25,000
a. 2,05,000 ;
b. 2,25,000 ;
c. 2,10,000 ;
d. 2,00,000
Q. S issued cheque worth ` 35,000 in March 2013 out of which cheques worth ` 15,000 were presented forpayment after by 31st march, 2013. What amount should be added to balance as per pass book
a. 15,000 ;
b. 10,000 ;
c. 25,000 ;
d. None of the above
Q. Depletion method is more suitable for
a. Service industry
b. mining industry
c. intangible assets
d. all of these
Q. Depletion is a process of
a. Valuation
b. allocation
c. both valuation and allocation
d. none of these.
Q. The main objective of providing depreciation is
a. To calculate true profit
b. to show the true financial position
c. to reduce tax burden
d. to provide fund for replacement of assets.
Q. Under diminishing balance method, depreciation is calculated on
a. Original cost
b. written down value
c. scrap value
d. market value
Q. Loss on sale of machinery should be written off against
a. Security premium
b. sales account
c. depreciation fund account
d. none of these
Q. Depreciation arises because of
a. Fall in market value of asset
b. wear and tear
c. recession
d. none of these.
Q. When provision for depreciation account is maintained, the amount of depreciation is debitedto
a. Asset account
b. depreciation account
c. provision for depreciation account
d. none of these.
Q. If original cost of an asset is rs. 60000 and its scrap value is Rs. 10000, its depreciable cost is
a. 70000
b. 50000
c. 60000
d. none of these.