Accounting MCQs

What is the correct sequence of the following actions required for the preparation of financial accounts?
1. Trading account
2. Making adjusting entries
3. Balance sheet
4. Profit and Loss account
Select the correct answer:

In liquidation proceedings of a company certain lists are attached with the statement of affairs of the company. Match list-I with list-II and select your answer:

List-I	List-II
a. List E	1. Preference shareholders
b. List F	2. Equity shareholders
c. List G	3. Deficiency account
d. List H	4. Unsecured creditors

Match list-I with list-II and select your answer:

List-I (Assets)	List-II (Method of Depreciation)
a. Patterns	1. Annuity Method
b. Motor Lorries	2. Revalution Method
c. Copy-right	3. Fixed Instalment Method
d. Live Stock	4. Diminishing Balance Method

A machinery was purchased on 1^st January 2000 at a cost of Rs. 1,20,000 and was depreciated by diminishing balance method at the rate of 15% p.a. It was sold on 31^st March 2002 for Rs. 80,000 what was the loss on sale of machine

Match List-I with List-II and select the correct answer using the options given below the Lists:

List-I	List-II
a. Partner's current accounts	1. Dissolution of partnership
b. Goodwill account	2. Admission of a partner
c. Partner’s drawings account	3. Fixed capital of partners
d. Realisation account	4. Goods taken by a partner for self-consumption

Match both the lists and select the correct answer:

List-I	List-II
a. Liquidity test	1. $$\frac{{{\text{All business creditors}}}}{{{\text{Average per day credit purchase}}}}$$
b. Functional ratio	2. $$\frac{{{\text{Subscribers fund}}}}{{{\text{Total assets}}}}$$
c. Prosperity	3. $$\frac{{{\text{Gross profit}}}}{{{\text{Net sales}}}} \times 100$$
d. General profitability	4. $$\frac{{{\text{Current assets}}}}{{{\text{Current liabilities}}}}$$

Consider the following statements:
Assertion (A): Balance Sheet shows realisable value of business on a particular date.
Reason (R): Accounting provides all information needed by a businessman.
Now select your answer:

Given
Net Profit = Rs. 1,50,000
Preference Dividend = Rs. 25,000
Taxes = Rs. 10,000 Equity Capital (Rs. 10 each) = Rs. 10,00,000
What is the Earning Per Share (EPS)?

A company purchased the following assets and paid through 1,00,000 fully paid equity shares of Rs. 10 at a premium of Rs. 2:
Building = Rs. 5,00,000
Machinery = Rs. 4,00,000
Stock in trade = Rs. 1,00,000
In the context of funds flow statement, this transaction will result in: