Top 1000+ Solved Financial Accounting MCQ Questions Answer
Q. Excess of hire purchase price over cash price is known as
a. Installment
b. Cash down payment
c. Interest
d. Capital value of asset
Q. Which of the following is/are revenue expenditure?
a. Consumable Stores
b. Taxes and legal expenses
c. Rent of factory building
d. All of Above
Q. AS-9 is related to
a. Revenue Recognition
b. Cash Flow Statement
c. Accounting for Fixed Assets
d. Disclosure of Accounting policies
Q. The person to whom bill is endorsed is known as __________.
a. Endorsee
b. Drawee
c. Drawer
d. None of the above
Q. Which of the following is/are feature/features of Income and Expenditure Account?
a. It follows Nominal Account
b. All Capital incomes and expenditures are excluded
c. Profit on sale of asset is credited
d. All of the above
Q. The debts which are not bad is known as
a. Good debt
b. Bad Debt
c. Doubtful Debt
d. None of the above
Q. A transaction without immediate cash settlement is known as
a. Cash Transaction;
b. Credit Transaction;
c. Deferred Transaction;
d. None of the above.
Q. _________ liabilities represent proprietor’s equity, i.e. all thoseamount which areentitled to the proprietor
a. External;
b. Debenture;
c. Internal;
d. None of the above.
Q. Bad debts Recovered `1,000. It will be
a. Credited to Bad debts A/c
b. Credited to debtor’s personal A/c
c. Debited to creditor’s personal A/c
d. Credited to bad debts recovered A/c
Q. Which of the following purpose is served from the preparation of Trial Balance?
a. To check the arithmetical accuracy of the recorded transactions;
b. To ascertain the balance of any ledger account;
c. To facilitate the preparation of final accounts promptly;
d. All of the above.
Q. _________ contains the transactions relating to goods that are returned by us to ourcreditors
a. Return Inward;
b. Return Outward;
c. Sales Daybook;
d. None of the above.
Q. The basic principles of ____ concept is that business is assumed to exist for anindefinite period
a. Going Concern;
b. Business Entity;
c. Money Measurement;
d. None of the above.
Q. Capital Profit arises from which of the following?
a. Profit prior to incorporation;
b. Premium received on issue of shares;
c. Profit made on re-issue of forfeited shares;
d. All of the above.
Q. Which of the following cannot be detected by Trial Balance?
a. Errors of Omission;
b. Errors of Principal;
c. Errors of Misposting;
d. All of the above.