Top 1000+ Solved Financial Accounting MCQ Questions Answer
Q. Loss or profit on realisation a/c is transferred by the transferor company, under amalgamation to
a. (a) Preference shareholders a/c
b. (b) Equity Shareholders Account
c. (c) Profit & loss appropriation a/c
d. (d) Debentureholders Account
Q. If two or more company come together and form anew company which takes over the assets and liabilities of the vendor companies it is called as
a. (a) external reconstruction
b. (b) Internal Reconstruction
c. (c) absorption
d. (d) Amalgamation
Q. At least of the designated partners of every limited liability partnership shall be a resident in India.
a. One
b. Two
c. Three
d. Seven
Q. is a person who is designated as such in the incorporation documents of the limited liability partnership agreement
a. Director
b. Manager
c. Designated Partner
d. Partner
Q. The Charter document or the formation document of LLP is called as
a. Memorandum
b. articles of association
c. LLP agreement
d. Partnership agreement
Q. If there is conversion of private limited company into LLP all the of the company must become partners in the LLP and no one else
a. Shareholders
b. Employees
c. Managers
d. Vendors
Q. Prepaid expenses are shown under
a. Loans and advances asset side
b. Loans and advances liability side
c. In the p and L account
d. They are ignored
Q. In Single entry mostly:
a. Personal aspects of transaction are recorded
b. Nominal aspects of transaction are recorded
c. Real aspects of transaction are recorded
d. All of the above
Q. Statements of assets & liabilities prepared under single entry system is called:
a. Balance sheet
b. Profit & loss statement
c. Statement of affairs
d. Income Statement
Q. Normally single entry system is suitable for:
a. Small scale business
b. Large scale business
c. Both of them
d. None of them
Q. If Building (closing) Rs.100,000, Land (opening) Rs. 100,000, Creditors (opening) Rs.10,000 then opening capital:
a. Rs. 190,000
b. Rs. 210,000
c. Rs. 90,000
d. None of these
Q. If opening capital is Rs.10,000 & closing capital is Rs.15,000 then profit or loss:
a. Loss of Rs.5,000
b. Profit of Rs.2,500
c. Profit of Rs.5,000
d. None of these
Q. In single entry two-fold aspect of transaction are not recorded, so it is:
a. Complete and Scientific
b. Incomplete and Unscientific
c. Complete and Unscientific
d. Incomplete and Scientific
Q. In single entry system profit is calculated by:
a. Opening capital + Drawing – Fresh Capital – Closing Capital
b. Closing capital + Drawing + Fresh Capital – Opening Capital
c. Closing capital – Drawing + Fresh Capital – Opening Capital
d. Closing capital + Drawing – Fresh Capital – Opening Capital