Accounting MCQs

Balance sheet is a:

An entry of Rs. 500 was wrongly posted to wages account instead of machinery account, as wages are to be capitalised. It is an error of:

To test the liquidity of a concern, which of the following ratios are useful? I. Acid test ratio II. Capital turnover ratio III. Bad debts to sales ratio IV. Inventory turnover ratio Select the correct answer using the options given below:

Preference shareholders are . . . . . . . . of the company:

From the following find out the correct equation: I. A represents opening stock II. B represents purchases III. C represents closing stock IV. D represents cost of goods sold

Match List-I with List-II and select the correct answer using the options given below the lists: List-I List-II a. Income measurement 1. Accrues to owner's equity b. Expense recognition 2. Revenue recognition c. Basis for realisation in accounting 3. Matching revenues d. Recognised revenue 4. Accounting period

Sales of old material must be shown on the credit side of . . . . . . . .

In triple column cash book, cash withdrawn from bank for office use will appear in:

The process of transferring the credit and debit items form a journal to their respective accounts in the ledger is termed as . . . . . . . .