Accounting MCQs

Match List-I with List-II and select the correct answer using the options given below the lists: List-I (Accounting concept) List-II (Principle involved) a. Consistency 1. Losses are anticipated and accounted for in advance but profits are not accounted for until realised. b. Comparability 2. All the relevant financial informations should be summarised and presented in the accounting statements. c. Conservatism 3. Accounting procedures in an entity should be followed uniformly from period to period. d. Disclosure 4. Accounting statement of different periods of an entity and those of different entities of a period should be based on the same accounting principles and procedures. 5. Personal Judgement of accountants should not influence accounting measurements.

Dividend declared in between two annual general meeting is called . . . . . . . .

Goods destroyed by fire should be credited to:

Use of subsidiary books can be made by:

Double entry principle means:

On 1st January 1992 there was a balance of Rs. 4,000 in the plant and machinery account. An addition of Rs. 2,000 was made on 1st July 1992. Accounts were closed for the year on 31st December 1992. If depreciation was charged at 10% per annum, the balance in the plant and machinery account on the closing date would be:

Valuation balance sheet is prepared by . . . . . . . .

While preparing P/L account, rebate on bills discounted to be provided shall be deducted from discount received in . . . . . . . .

If there is a prize fund and prizes are awarded, expenses and income are transferred to . . . . . . . .