Accounting MCQs

Question 1

Journal Proper is meant for recording . . . . . . . .

Accepted Answer

all such transactions for which no special journal has been kept by the business

Answer

credit purchase of fixed assets

Answer

return of goods

Answer

supply of goods

Question 2

Stock as on 5th January - Rs. 27,000; purchases between 31st December and 5th January - Rs. 700; cost of sales between 31st December and 5th January - Rs. 1,500 what was the stock on 31st December?

Accepted Answer

Rs. 26,200

Answer

Rs. 27,800

Answer

Rs. 26,300

Answer

Rs. 28,500

Question 3

The payment side of the cash book is undercast by Rs. 200. When overdraft as per pass book is the starting point, to get the overdraft as per cash book . . . . . . . .

Accepted Answer

Rs. 200 will be deducted

Answer

Rs. 200 will be added

Answer

Rs. 400 will be added

Answer

Rs. 400 will be deducted

Question 4

Wages paid to workers must be debited to . . . . . . . . account.

Accepted Answer

Wages

Answer

Machinery

Answer

Factory expenses

Answer

Offices expenses

Question 5

The convention of conservatism will have the effect of:

Accepted Answer

Under statement of assets

Answer

Over statement of assets

Answer

Under statement of liabilities

Answer

Under statement of provision for bad and doubtful debts

Question 6

Interest on debenture is . . . . . . . .

Accepted Answer

a charge against profit

Answer

an appropriation of profit

Answer

an adjustment of profit

Answer

None of these

Question 7

Trial balance is a proof that:

Accepted Answer

every transaction is recorded twice

Answer

no error remains in the books of accounts

Answer

books are authentically and correctly written

Answer

None of these

Question 8

Any excess amount paid to preference share holders is debited to . . . . . . . . account.

Accepted Answer

realisation

Answer

preference shareholders

Answer

P&L

Answer

preference share capital

Question 9

The account current method in which the days are calculated from the date of transaction to the commencement date is known as . . . . . . . .

Accepted Answer

Epoch method

Answer

Forward method

Answer

Daily balance method

Answer

Backward method