Accounting MCQ Questions and Solutions with Explanations

Section 1 Section 2 Section 3 Section 4 Section 5 Section 6 Section 7 Section 8 Section 9 Section 10 Section 11 Section 12 Section 13 Section 14 Section 15 Section 16 Section 17 Section 18 Section 19 Section 20 Section 21 Section 22 Section 23 Section 24 Section 25 Section 26 Section 27 Section 28 Section 29 Section 30

51.
The surplus or deficit revealed by income and expenditure account is transferred to:

A. Receipts and payments account

B. Profit and loss account

C. Capital account

D. Capital fund

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52.
When dividend is actually received on due date

A. the pro-rata amount relating the period before the date of acquisition is entered in the income column (Cr) of the following investment account

B. the pro-rata amount relating to the period after the date of acquisition is entered in the income column (Cr) of the investment account

C. the entire amount is entered in the income column (Dr) of the investment account

D. the entire amount is entered in the capital column (Cr) of the investment account

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53.
If the cost of goods sold is Rs. 1,00,000, the value of opening stock is Rs. 20,000 and closing stock is Rs. 80,000, then the stock turnover ratio will be:

A. 5 times

B. 4 times

C. 2 times

D. 1 times

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54.
Which of the following statements is not true?

A. An expenditure intended to benefit the current year is revenue expenditure

B. Amount paid for acquiring goodwill is capital expenditure

C. Wages paid for the installation of a new machine is usually debited to wages account

D. Revenue expenditure is not intended to benefit future period

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55.
Premium on issue of equity shares is:

A. Capital income

B. Revenue income

C. Incidental income

D. None of these

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56.
Inventory Turnover Ratio is:

A. Sales/closing stock

B. Cash sales/average stock

C. Cost of sales/average stock

D. Cost of sales/closing stock

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57.
When a partner is guilty of fraud or negligence within the scope of his authority:

A. Only he will be liable for his act

B. He can be expelled

C. All partners are liable if there is an agreement to this effect

D. All partners are liable even if there is no such agreement

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58.
Underwriting commission and brokerage on the issue of shares cannot exceed the following percent of issue price of shares:

A. 2.5%

B. 3%

C. 5%

D. 6%

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59.
The balance of DDR or Deposit Fund account is transferred to

A. Profit & Loss

B. General Reserve Account

C. Deposit Fund Investment Account

D. None of the above

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60.
Which one of the following is a capital expenditure:

A. Painting delivery truck at a cost of Rs. 1,000

B. Spent Rs. 250 for repairs in building

C. Purchase of pencil sharpener

D. Purchase of a type-writer

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Accounting MCQ Questions and Solutions with Explanations | Commerce

51. The surplus or deficit revealed by income and expenditure account is transferred to:

Answer & Solution

52. When dividend is actually received on due date

Answer & Solution

53. If the cost of goods sold is Rs. 1,00,000, the value of opening stock is Rs. 20,000 and closing stock is Rs. 80,000, then the stock turnover ratio will be:

Answer & Solution

54. Which of the following statements is not true?

Answer & Solution

55. Premium on issue of equity shares is:

Answer & Solution

56. Inventory Turnover Ratio is:

Answer & Solution

57. When a partner is guilty of fraud or negligence within the scope of his authority:

Answer & Solution

58. Underwriting commission and brokerage on the issue of shares cannot exceed the following percent of issue price of shares:

Answer & Solution

59. The balance of DDR or Deposit Fund account is transferred to

Answer & Solution

60. Which one of the following is a capital expenditure:

Answer & Solution

Read More Section(Accounting)

51.
The surplus or deficit revealed by income and expenditure account is transferred to:

52.
When dividend is actually received on due date

53.
If the cost of goods sold is Rs. 1,00,000, the value of opening stock is Rs. 20,000 and closing stock is Rs. 80,000, then the stock turnover ratio will be:

54.
Which of the following statements is not true?

55.
Premium on issue of equity shares is:

56.
Inventory Turnover Ratio is:

57.
When a partner is guilty of fraud or negligence within the scope of his authority:

58.
Underwriting commission and brokerage on the issue of shares cannot exceed the following percent of issue price of shares:

59.
The balance of DDR or Deposit Fund account is transferred to

60.
Which one of the following is a capital expenditure: