Accounting MCQs

Match the following

List-I	List-II
a. The document related to sales return is . . . . . . . . note.	1. Business
b. Bank reconciliation statement is prepared by the . . . . . . . . enterprise.	2. Credit
c. Purchases account will always have a . . . . . . . . balance.	3. Cash
d. When the word 'paid' occurs, it means reduction of . . . . . . . .	4. Debit

Given the following data extracted from the book of Abdul traders:
Opening stock = Rs. 30,000
Closing stock = Rs. 40,000
Purchases = Rs. 1,25,000
Carriage inwards = Rs. 2,000
Carriage outwards = Rs. 3,000
Return outwards = Rs. 5,000
Sales = Rs. 1,50,000
The cost of goods sold will be

The Receipt and Payment Account of a club shows the following details of subscriptions:
Arrears Rs. 500, current Rs. 10,500 advance Rs. 800.
There are 1200 members each paying an annual subscription of Rs. 10. The amount of subscription to be credited to Income and Expenditure Account will be:

A trader does not keep a complete set of books and provides the following information-
He started business on 1^st June, 2004 with Rs. 10,000. He made withdrawals at the rate of Rs. 500 per month during the last 6 months. During the year, a further capital of Rs. 2,000 was invested. His total assets as on 31^st December, 2004 were Rs. 23,700, his creditors were Rs. 3,000 on the same date and unpaid expenses were Rs. 500 then his net profit would be-

The Debt Equity ratio of a company for three consecutive years was as follows:

Year	Debt Equity Ratio
1989	$$\frac{{399}}{{28}}$$
1990	$$\frac{{493}}{{34}}$$
1991	$$\frac{{624}}{{42}}$$

The aforesaid ratios show:

A company incorporated on 1^st April 2001 took over a running business from 1^st January, 2001 and prpared its final accounts on 31^st December, 2001. Its grows profit was Rs. 24,000 and sales were as under:
January - Twice the average sale
February - Equal to average sale
May to August - $${\frac{1}{4}^{{\text{th}}}}$$ of average sale, each month
October and November - 3 times the average sale each month
What is the Gross Profit prior to incorporation:

Assessment year starts from:

Assume that
M = opening stock, N = Purchases, O = Closing stock, P = Cost of goods sold.
Then correct equation will be

Bills dishonoured by = Rs. 2,000
Customers = Rs. 13,000
Bills collected = Rs. 1,000
Bill received endorsed to creditors Rs. 1,000 less than at the beginning.
The Amount of bills received from the customers was: