Top 1000+ Solved Financial Accounting MCQ Questions Answer
Q. Every transaction has two aspects i.e., debit and credit, under which of the followingaccounting principles:
a. Cash Accrual Principle
b. Revenue Accrual Principle
c. Dual Aspect Principle
d. Double Entry Book-keeping System
Q. Anticipate no profits and provide for all possible losses. This is essence of which of thefollowing accounting principles:
a. Materiality Principle
b. Timeliness Principle
c. Consistency Principle
d. Conservatism Principle
Q. Accounting procedures and accounting practices should remain same from year to year under which of the following accounting principles:
a. Dual Aspect Principle
b. Materiality Principle
c. Timeliness Principle
d. Consistency Principle
Q. An ink-stand has been purchased by a firm for a nominal amount that is to last for 4 year. It should not be classified as a fixed asset under which of the following accounting principles:
a. Dual Aspect Principle
b. Materiality Principle
c. Timeliness Principle
d. Consistency Principle
Q. When a machinery is purchased for cash, the cash balance is reduced and to that extent, the amount of machinery as an asset is recorded. This is done to follow which of the following accounting principles:
a. Dual Aspect Principle
b. Materiality Principle
c. Timeliness Principle
d. Consistency Principle
Q. Rules of revenue recognition determine that earning process should be either complete ornear completion under:
a. Realization Concept
b. Materiality Concept
c. Historical Record Concept
d. Accounting Period Concept
Q. Recording of a transaction in a Journal is called
a. Posting
b. Journalising
c. Transfer
d. Ruling
Q. Value of goods withdrawn by the proprietor for his personal use should be credited to ____.
a. Capital A/c
b. Sales A/c
c. Drawings A/c
d. Purchases A/c
Q. Outstanding salary account is58
a. Real Account
b. Personal Account
c. Nominal Account
d. None of the above
Q. M/s Stationery Mart will debit the purchase of stationery to _______
a. Purchases A/c
b. General Expenses A/c
c. Stationery A/c
d. None
Q. Goods distributed as free samples is debited to
a. Advertisement A/c
b. Charity A/c
c. Purchases A/c
d. Goods A/c
Q. Journal entry for wages paid Rs. 5,000 for installation of plant will be
a. Dr. Plant Repairs A/c and Cr. Cash A/c Rs. 5,000
b. Dr. Wages A/c and Cr. Cash A/c Rs. 5,000
c. Dr. Plant A/c and Cr. Cash A/c Rs. 5,000
d. None of the Above
Q. Interest of Drawings is:
a. Expenditure for the business
b. Expense for the business
c. Gain for the business
d. none
Q. Drawings account is the nature of
a. Personal Account
b. Real Account
c. Nominal Account
d. None of the above