Accounting MCQs

A plant was purchased on 1^st January 1999. It was depreciated at the rate of 12% P.A. by diminishing balance method. It was sold on 31^st March 2001 when its depreciated value was Rs. 1,50,234. What was its value on 1^st January 1999.

Study the following transactions.
1. Raising of short-term loans.
2. Goods purchased for cash.
3. Payment of bonus in the form of shares.
4. Issue of shares in lieu of raw materials.
Select the correct answer:

In which order should the following items be shown in the Balance Sheet of a company:
1. Fixed Assets
2. Share held as permanent investments
3. Current Assets
4. Profit and Loss (Dr.)
Select your answer:

Some of the items of liability are given below
i. Bank overdraft
ii. Debenture
iii. Loan from financial institution
iv. Unpaid wages
v. Creditors
Current liabilities in the above are

On 1^st January, 2005 the plant and machinery was valued at Rs. 80,000 and on 31^st December, 2005 it was valued at Rs. 1,20,000. Rs. 10,000 was written off as depreciation during the year. This will result in:

Match the following

List-I	List-II
a. Income is measured and financial position is assessed	1. Consistency concept
b. Anticipate no profit and provide for all possible losses	2. Going concern concept
c. Assets are depreciated on the basis of expected life rather than on the basis of market value	3. Conservatism concept
d. The comparison of one accounting period with that in the past is possible	4. Matching concept

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

List-I	List-II
a. Uncertain liability	1. Amortisation
b. Expiry of tangible asset	2. Long-term liability
c. Basis for all valuations in the balance sheet	3. Research and development
d. Accounting standard-As-8	4. Estimated obligation
	5. Conservatism convention

Arrange the following liabilities in the order of company balance sheet.
i. Bank Overdraft
ii. Bank Loan
iii. Share Capital
iv. Provision for Taxation

According to records of a firm which not keep its accounts on double entry systems, all sales were made on credit so as to realise a profit of $$33\frac{1}{3}\% $$  on sales proceeds. The stock of unsold goods at the beginning and at the end of the trading period were valued at Rs. 21,000 and Rs. 18,000 respectively. Goods worth Rs. 1,39,500 were purchased for resale during the period.
The proprietor withdraw goods worth Rs. 1,500 during accounting period for personal use. What were the total sales during the period?