Top 250+ Solved Fundamentals of Accounting MCQ Questions Answer
Q. Which of the following item is shown in the Receipt and Payment account?
a. Only items of capital nature.
b. Only items of revenue nature which are received during the period of accounts.
c. Only items of revenue nature pertaining to the period of accounts.
d. Both the items of capital and revenue nature which are received during the
Q. Any income arising from special fund will be credited to
a. General fund in the Balance Sheet
b. Receipt and Payment account
c. Income and Expenditure account
d. Special fund in the Balance sheet
Q. When opening stock 50,000; closing stock 40,000; purchases 1,90,000 profit margin is 16.67% on sales, the sales are:
a. 2,40,000
b. 2,36,000
c. 2,00,000
d. 2,44,000
Q. Goods bought for 25,000 passed through sales day book will result in
a. No effect on gross profit
b. Decrease in gross profit
c. Decrease in net profit
d. Increase in gross profit
Q. Which of the following will result in disagreement of Trial Balance?
a. Sales return treated as purchase.
b. Purchase return treated as sales.
c. Ram a/c wrongly credited instead of Sham a/c
d. Under casting cash book by 1,100
Q. What is the nature of joint venture with co-venture account?
a. Nominal account
b. Personal account 2
c. Real Account
d. Memorandum Account
Q. Which of the following term is applicable about consignment?
a. Sale of goods
b. Hypothecation of goods
c. Shipment of goods
d. Mortgage of goods
Q. Retirement of bill means
a. sending the bill for collection
b. cancellation of the bill
c. endorsing the bill in favour of third party
d. making payment before the due date.
Q. Which one of these documents is not required for bank reconciliation?
a. Bank Column of cash book
b. Bank pass book
c. Previous year’s balance sheet
d. Bank statement
Q. In a overdraft balance as per cash book, a cheque of 1,250 deposited into bank but notrecorded in cash book will be
a. deducted by 1,250
b. added by 1,250
c. added by 2,500
d. deducted by 2,500
Q. Which of these errors affects only one account?
a. Error of casting
b. Error of posting
c. Error of carry forward
d. All of the above
Q. Which of the following error is an error of principle?
a. 4,000 received from Sham credited to Shamu a/c
b. 5,000 incurred on installation of new plant debited to salary a/c
c. 6,000 paid for wages debited to salary a/c
d. 7,000 being purchase of raw material debited to purchase a/c
Q. In case of depreciable assets are revalued, the provision for depreciation is based on
a. Market value of the assets
b. Historical cost of the asset
c. Written down value of the asset
d. the revalued amount over the estimate of the remaining useful life of such asset.