MCQOPTIONS
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MCQOPTIONS
This section includes 743 Mcqs, each offering curated multiple-choice questions to sharpen your Teaching knowledge and support exam preparation. Choose a topic below to get started.
| 351. |
Goodwill account is a |
| A. | real account |
| B. | nominal account |
| C. | personal account |
| D. | None of the above |
| Answer» B. nominal account | |
| 352. |
Goods sold on credit are recorded in |
| A. | cash book |
| B. | sales book |
| C. | sales return book |
| D. | journal |
| Answer» C. sales return book | |
| 353. |
Outstanding expenses are shown as |
| A. | an expense |
| B. | an income |
| C. | a liability |
| D. | an asset |
| Answer» D. an asset | |
| 354. |
The balance of petty cash book is |
| A. | an asset |
| B. | a liability |
| C. | an income |
| D. | an expenditure |
| Answer» B. a liability | |
| 355. |
Ledger is a principle book in which |
| A. | all accounts are kept |
| B. | only personal accounts are kept |
| C. | only real accounts are kept |
| D. | only nominal accounts are kept |
| Answer» B. only personal accounts are kept | |
| 356. |
The discount column in triple cash book records |
| A. | cash discount |
| B. | trade discount |
| C. | seasonal discount |
| D. | customer discount |
| Answer» B. trade discount | |
| 357. |
Suspense Account is appearing in Trial Balance is shown in |
| A. | trading account |
| B. | profit and loss account |
| C. | balance sheet |
| D. | ledger account |
| Answer» D. ledger account | |
| 358. |
Any difference in Trail Balance must be entered in |
| A. | capital account |
| B. | suspense account |
| C. | nominal account |
| D. | drawing account |
| Answer» C. nominal account | |
| 359. |
The process of taking entries from subsidiary Books to ledger is called |
| A. | journalising |
| B. | transferring |
| C. | posting |
| D. | balancing |
| Answer» D. balancing | |
| 360. |
Sales Return Journal is also known as |
| A. | returns inward journal |
| B. | returns outward journal |
| C. | purchase journal |
| D. | sales journal |
| Answer» B. returns outward journal | |
| 361. |
The return of goods by a customer should be debited to |
| A. | customer account |
| B. | goods account |
| C. | sales returns account |
| D. | sales account |
| Answer» D. sales account | |
| 362. |
Outstanding salaries are shown as |
| A. | an expense |
| B. | a liability |
| C. | an asset |
| D. | a loan |
| Answer» C. an asset | |
| 363. |
Office equipment purchased on credit will be recorded in the |
| A. | purchase account |
| B. | office equipment account |
| C. | goods account |
| D. | capital account |
| Answer» C. goods account | |
| 364. |
Which of the following items is treated as tangible fixed asset? |
| A. | Goodwill |
| B. | Land and building |
| C. | Trade mark |
| D. | Copyrights |
| Answer» C. Trade mark | |
| 365. |
Trial balance is a |
| A. | Ledger account |
| B. | statement |
| C. | List of debtors |
| D. | list of creditors |
| Answer» C. List of debtors | |
| 366. |
An example of personal account is |
| A. | Machinery account |
| B. | Purchases account |
| C. | Prepaid expenses account |
| D. | Stock account |
| Answer» D. Stock account | |
| 367. |
The proprietor withdrew cash ` 1000 for his personal use, the account to be debited |
| A. | capital account |
| B. | drawings account |
| C. | loan A/c of the proprietor |
| D. | trade expenses A/c |
| Answer» C. loan A/c of the proprietor | |
| 368. |
0. r Practice Drawing account of the proprietor is a |
| A. | personal account |
| B. | real account |
| C. | nominal account |
| D. | None of the above |
| Answer» B. real account | |
| 369. |
The amount brought in by the proprietor in the business should be credited to |
| A. | cash account |
| B. | capital account |
| C. | drawings account |
| D. | income account |
| Answer» C. drawings account | |
| 370. |
Double entry systems rule Debit the receiver and credit the giver is applicable to |
| A. | Personal account |
| B. | real account |
| C. | Nominal account |
| D. | joint account |
| Answer» B. real account | |
| 371. |
Error relating to fundamental aspect of accounting is known as |
| A. | Error or omission |
| B. | error of commission |
| C. | Error of principle |
| D. | compensating error |
| Answer» D. compensating error | |
| 372. |
Goods sold to Ram of ` 4000 was not recorded at all. What will be its effect on the trial Balance? |
| A. | Will tally |
| B. | Will not tally |
| C. | Will have no effect |
| D. | none of the above |
| Answer» B. Will not tally | |
| 373. |
'X' sold goods to 'Y' on credit for ` 15000 but debited to 'Z' instead to 'Y'. The entry would effect |
| A. | Individual ledgers |
| B. | balance sheet |
| C. | Trial balance |
| D. | total debtors |
| Answer» B. balance sheet | |
| 374. |
It is easy to detect.....than to...... |
| A. | Frauds, errors |
| B. | mistakes, frauds |
| C. | Errors, frauds |
| D. | errors, mistakes |
| Answer» D. errors, mistakes | |
| 375. |
` 2000 received form A, is credited in the account B. It is an error of |
| A. | Principle |
| B. | compensatory |
| C. | Commission |
| D. | omission |
| Answer» D. omission | |
| 376. |
A purchase of car was debited to vehicle expenditure account. This is an error of |
| A. | Compensatory error |
| B. | Omission |
| C. | Commission |
| D. | Principle |
| Answer» E. | |
| 377. |
The preparation of a trial balance is for |
| A. | Locating errors of commission |
| B. | Locating errors of principles |
| C. | Locating clerical errors |
| D. | All of the above |
| Answer» D. All of the above | |
| 378. |
Sale of old machinery is wrongly transferred to sales Account. Which type of error is this? |
| A. | Error of Omission |
| B. | Error of Principle |
| C. | Compensating Error |
| D. | Error of Commission |
| Answer» C. Compensating Error | |
| 379. |
When the total of trial balance is not reconciled, the account opened to temporary tallying the trial balance is |
| A. | Profit and loss account |
| B. | Trading account |
| C. | Suspense account |
| D. | None of the above |
| Answer» D. None of the above | |
| 380. |
Wages paid for the construction of office building debited to wages A/c. It is an |
| A. | Clerical error |
| B. | Error of omission |
| C. | Error of principle |
| D. | Error of commission |
| Answer» D. Error of commission | |
| 381. |
Error of commission do not allow |
| A. | Trial balance to agree |
| B. | Correct totalling of balance sheet |
| C. | Both [a] and [b] |
| D. | None of the above |
| Answer» B. Correct totalling of balance sheet | |
| 382. |
A bank reconciliation statement if prepared to know the causes for the difference between |
| A. | The balance as per cash column of cash book and the pass book |
| B. | The balance as per bank column of cash book and the pass and the pass book |
| C. | The balance as per cash column of cash book and balance as per cash column of cash book |
| D. | None of the above |
| Answer» C. The balance as per cash column of cash book and balance as per cash column of cash book | |
| 383. |
When money is withdrawn from bank, the bank |
| A. | Credit customer A/c |
| B. | Debits customers account |
| C. | Credit an debits customers |
| D. | None of the above |
| Answer» C. Credit an debits customers | |
| 384. |
(`) Balance shown by cash book cheques issued but 10000 not presented for payment 4000 Cheques deposited but not yet collected 3000 Balance as per Pass book will be |
| A. | ` 9000 |
| B. | ` 10000 |
| C. | ` 11000 |
| D. | None of the above |
| Answer» D. None of the above | |
| 385. |
When favourable balance as per cash book is the starting point, wrong debit by the bank to the firm will be |
| A. | Added |
| B. | subtracted |
| C. | Both [a] and [b] |
| D. | None of the above |
| Answer» C. Both [a] and [b] | |
| 386. |
Unfavourable bank balance means |
| A. | Credit balance in cash book |
| B. | Credit balance in pass book |
| C. | Debit balance in cash book |
| D. | Favourable balance in cash book |
| Answer» B. Credit balance in pass book | |
| 387. |
Bank balance shown in trial balance |
| A. | Balance as per pass book |
| B. | Balance as per cash book |
| C. | Balance as per purchase book |
| D. | Both [a] and [b] |
| Answer» C. Balance as per purchase book | |
| 388. |
The value of human resources is the function of the average salary of the employees and their average employment tenure in the organisation. This is the essence of the |
| A. | Aggregate payment model |
| B. | Five-dimensional model |
| C. | Causal, intervening and end-result model |
| D. | Unpurchased goodwill model |
| Answer» B. Five-dimensional model | |
| 389. |
The aggregate payment approach in human resource accounting was developed by |
| A. | Myers and Flowers |
| B. | Hermanson |
| C. | S K Chakraborty |
| D. | None of the above |
| Answer» D. None of the above | |
| 390. |
The opportunity cost approach in human resource accounting was introduced by |
| A. | Hekimian and Jones |
| B. | Rensis Likert |
| C. | Eric G. Flamholtz |
| D. | William C Pyle |
| Answer» B. Rensis Likert | |
| 391. |
When the cost incurred on recruiting, training and developing the employees is considered for determining the value of employees, it is called |
| A. | The replacement cost approach |
| B. | The historical cost approach |
| C. | The opportunity cost approach |
| D. | None of the above |
| Answer» C. The opportunity cost approach | |
| 392. |
A statement of assets and liabilities prepared under the single entry system is called |
| A. | Balance sheet |
| B. | financial statement |
| C. | Cash statement |
| D. | statement of affairs |
| Answer» E. | |
| 393. |
Single entry system of bookkeeping is generally followed by |
| A. | Small business |
| B. | Non-trading |
| C. | Large business |
| D. | None of these |
| Answer» B. Non-trading | |
| 394. |
A single entry system is |
| A. | Complete and scientific |
| B. | Incomplete and scientific |
| C. | Incomplete and unscientific |
| D. | Complete and unscientific |
| Answer» D. Complete and unscientific | |
| 395. |
The opening capital is oscerbaised by preparing. |
| A. | Cash book |
| B. | Debtors A/c |
| C. | Creditors A/c |
| D. | Opening statement of affairs |
| Answer» E. | |
| 396. |
According to Income Tax Act, which method of providing depreciation should be followed? |
| A. | Reducing balance method |
| B. | Sinking fund method |
| C. | Annuity method |
| D. | Straight line method |
| Answer» B. Sinking fund method | |
| 397. |
Cost of a machine = ` 500000 Salvage value = ` 20000 Useful life = 5 years Depreciation for the last year using the sum of digits method will be |
| A. | ` 32000 |
| B. | ` 20400 |
| C. | ` 34000 |
| D. | ` 27200 |
| Answer» B. ` 20400 | |
| 398. |
Amortisation refers to writing-off |
| A. | Depleting assets |
| B. | wasting assets |
| C. | Intangible assets |
| D. | fictitious assests |
| Answer» D. fictitious assests | |
| 399. |
Price of the computer = ` 50000 Residual value = ` 10000 Hours worked for the year = 4000 hrs Estimated life of the computer = 20000 hrs Calculate the amount of depreciation. |
| A. | ` 15000 |
| B. | ` 8000 |
| C. | ` 20000 |
| D. | ` 24000 |
| Answer» C. ` 20000 | |
| 400. |
Under annuity method, the amount of depreciation is |
| A. | Fixed |
| B. | Decreasing every year |
| C. | Revalued every year |
| D. | Increasing every year |
| Answer» B. Decreasing every year | |