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

1.
Standard costing means

A. Actual cost

B. Estimated cost

C. Predetermined cost on scientific basis

D. Predetermined cost on estimates

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2.
Which of the following depreciation method would be most suitable for coal mines?

A. Diminishing balance method

B. Depletion method

C. Fixed Installation method

D. The sum of years digits method

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3.
The share of outsiders in the net assets of subsidiary company is known as

A. assets

B. outsiders liability

C. subsidiary company's liability

D. minority interest

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4.
X and Y are partners sharing profits in the ratio 2 : 1. Z is admitted for $${\frac{1}{4}^{{\text{th}}}}$$ share in profits and he brings his share of capital Rs. 12,000 in firm. The adjusted capital of Y is

A. Rs. 18,000

B. Rs. 16,000

C. Rs. 20,000

D. Rs. 12,000

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5.
Income and Expenditure account dipicsts:

A. Cash in hand

B. Cash receipt and payment

C. Surplus or deficit

D. Capital of the firm

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6.
Given:
Stock turnover 6 times
Total Sales Rs. 3,00,000
Gross profit Ratio 20%
Closing stock is Rs. 4,000 more than the opening stock. The opening stock will be:

A. Rs. 36,000

B. Rs. 38,000

C. Rs. 40,000

D. Rs. 42,000

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7.
What will be amount of gross profit/gross loss. If cost of goods sold Rs. 79,000, Sales Rs. 1,10,000, Purchases Rs. 30,000?

A. Rs. 80,000 (Profit)

B. Rs. 31,000 (Profit)

C. Rs. 49,000 (Profit)

D. Rs. 1,000 (Loss)

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8.
Match List-I with List-II and choose the correct answer:

List-I List-II

a. Shareholder 1. Creditor of company

b. Debenture holder 2. To be paid at the end of a pre-determined period

c. Redeemable debenture 3. Co-owner of the company

d. Bearer debenture 4. Transferable mere by delivery

A. a-4, b-1, c-3, d-2

B. a-3, b-1, c-2, d-4

C. a-1, b-2, c-3, d-4

D. a-2, b-3, c-1, d-4

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9.
A firm has total current assets of Rs. 10,000 (including inventory of Rs. 4,000), and total current liabilities of Rs. 3,000. What will be the amount of short-term bank borrowings to make the quick ratio 1.5:

A. Rs. 11,000

B. Rs. 5,000

C. Rs. 3,000

D. Rs. 1,000

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10.
Which among the following belongs to Nominal Account?

A. Bad Debts Recovery A/C

B. Bank A/C

C. Bills Payable A/C

D. Drawings A/C

E. Commission Received in Advance

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1 2 3 4 5 6 7 8 9 10

List-I	List-II
a. Shareholder	1. Creditor of company
b. Debenture holder	2. To be paid at the end of a pre-determined period
c. Redeemable debenture	3. Co-owner of the company
d. Bearer debenture	4. Transferable mere by delivery

Accounting MCQ Questions and Solutions with Explanations | Commerce

1. Standard costing means

Answer & Solution

2. Which of the following depreciation method would be most suitable for coal mines?

Answer & Solution

3. The share of outsiders in the net assets of subsidiary company is known as

Answer & Solution

4. X and Y are partners sharing profits in the ratio 2 : 1. Z is admitted for $${\frac{1}{4}^{{\text{th}}}}$$ share in profits and he brings his share of capital Rs. 12,000 in firm. The adjusted capital of Y is

Answer & Solution

5. Income and Expenditure account dipicsts:

Answer & Solution

6. Given: Stock turnover 6 times Total Sales Rs. 3,00,000 Gross profit Ratio 20% Closing stock is Rs. 4,000 more than the opening stock. The opening stock will be:

Answer & Solution

7. What will be amount of gross profit/gross loss. If cost of goods sold Rs. 79,000, Sales Rs. 1,10,000, Purchases Rs. 30,000?

Answer & Solution

8. Match List-I with List-II and choose the correct answer: List-I List-II a. Shareholder 1. Creditor of company b. Debenture holder 2. To be paid at the end of a pre-determined period c. Redeemable debenture 3. Co-owner of the company d. Bearer debenture 4. Transferable mere by delivery

Answer & Solution

9. A firm has total current assets of Rs. 10,000 (including inventory of Rs. 4,000), and total current liabilities of Rs. 3,000. What will be the amount of short-term bank borrowings to make the quick ratio 1.5:

Answer & Solution

10. Which among the following belongs to Nominal Account?

Answer & Solution

Read More Section(Accounting)

1.
Standard costing means

2.
Which of the following depreciation method would be most suitable for coal mines?

3.
The share of outsiders in the net assets of subsidiary company is known as

4.
X and Y are partners sharing profits in the ratio 2 : 1. Z is admitted for $${\frac{1}{4}^{{\text{th}}}}$$ share in profits and he brings his share of capital Rs. 12,000 in firm. The adjusted capital of Y is

5.
Income and Expenditure account dipicsts:

6.
Given:
Stock turnover 6 times
Total Sales Rs. 3,00,000
Gross profit Ratio 20%
Closing stock is Rs. 4,000 more than the opening stock. The opening stock will be:

7.
What will be amount of gross profit/gross loss. If cost of goods sold Rs. 79,000, Sales Rs. 1,10,000, Purchases Rs. 30,000?

8.
Match List-I with List-II and choose the correct answer:

List-I List-II

a. Shareholder 1. Creditor of company

b. Debenture holder 2. To be paid at the end of a pre-determined period

c. Redeemable debenture 3. Co-owner of the company

d. Bearer debenture 4. Transferable mere by delivery

9.
A firm has total current assets of Rs. 10,000 (including inventory of Rs. 4,000), and total current liabilities of Rs. 3,000. What will be the amount of short-term bank borrowings to make the quick ratio 1.5:

10.
Which among the following belongs to Nominal Account?