Top 50+ Solved Principles of Accounting MCQ Questions Answer
Q. Which is true. I)Fixed installation method is recognised by income tax department. II)The amount of depreciation in WDV method remains same.
a. Both I and II
b. None is true
c. Only II
d. Only I
Q. Cost of machine=1,90,000 Installation=10,000 Scrap=50,000 Life=6 yrs Calculate depreciation as perSLM method
a. 25,000
b. 23,333
c. 33,333
d. 21,666
Q. 1 oct Opening balance=400 units @Rs 20 each, 3 Oct:Purchase=300 units @Rs 10 ,5 Oct Sales=500 units.What will be total Sales value(in Rs) as per FIFOMethod?
a. Rs 9000
b. Rs 15000
c. Rs 10000
d. Rs 7500
Q. 2 oct Opening balance=200 units @Rs 15 each, 4 Oct:Purchase=500 units @Rs 10 ,5 Oct Sales=600 units.What will be Closing Inventory value (in Rs) asper LIFO Method?
a. Rs 1000
b. Rs 500
c. Rs 8000
d. Rs 1500
Q. Business enterprise is separate from its owneraccording to concept.
a. Money measurement
b. Cost
c. business entityconcept
d. Dual aspect
Q. When proprietor withdrew cash from business forpersonal use , it is known as -
a. Drawings
b. Investment
c. Furniture
d. BillsReceivable
Q. In trial balance, which accounts with is/are recorded at the credit side? I)Sales II)Sales return III)Cash IV)Loan
a. Only I and II
b. All of these
c. Only I,II and IV
d. Only I and IV
Q. When Salary is paid by cheque, which account iscredited.
a. Cash A/c
b. Bank A/c
c. Salary A/c
d. Personal A/c
Q. The process of transferring the debit and credit items from a journal to their respective account in the ledgeris termed as?
a. Balancing
b. Posting
c. Arithmetic
d. Entry
Q. What are the two statements prepared for summarising the transactions?I)Balance SheetII)Journal III)P&L IV)Cash Book
a. Only I and II
b. Only I,II and III
c. Only I,II and IV
d. Only I and III
Q. Where do we show Gas and Fuel in final accounts?
a. Trading A/c
b. P&L Account
c. Balance Sheet
d. Not shownanywhere
Q. What are the causes of depreciation?
a. Wear and Tear
b. Obsolescence
c. Expiration oflegal rights
d. All of theabove
Q. What is the formula for calculating depreciation in SLMMethod?
a. Cost+Scrap/No of Yrs
b. Scrap-Cost/No ofyrs
c. Cost -Scrap/Useful Life
d. None ofthese