31
Match
List-I with
List-II :
List I List II
a. Interbank call market
1. Money Market
b. Commercial Bills
2. Promissory note
c. Commercial papers
3. Short-term maturity
d. Treasury bills
4. Government papers
A)
a-1, b-2, c-4, d-3
B)
a-3, b-1, c-2, d-4
C)
a-1, b-3, c-4, d-2
D)
a-4, b-3, c-2, d-1
Answer & Solution
Answer: Option
B
32
Which of the following account balance will be shown on debit side of Trial Balance?
A)
Outstanding expenses
B)
Cash a/c
C)
Short-term loan
D)
Creditors
Answer & Solution
Answer: Option
B
33
Accounting does not record non-financial transactions because of:
A)
Accrual concept
B)
Cost concept
C)
Continuity concept
D)
Money measurement concept
Answer & Solution
Answer: Option
D
34
. . . . . . . . cost refers to those cost which have already been incurred and cannot be altered by any decision in the future.
A)
Opportunity cost
B)
Sunk cost
C)
Incremental cost
D)
Decremental cost
Answer & Solution
Answer: Option
B
35
Identify which is wrong rule?
A)
Nominal account - debit all expenses & losses
B)
Real account - credit what comes in
C)
Nominal account - credit all incomes & gains
D)
Personal account - debit the receiver
Answer & Solution
Answer: Option
B
36
The following comments all relate to the recording process. Which of these statements is correct?
A)
The general ledger is a chronological record of transactions
B)
The general ledger is posted from transactions recorded in the general journal
C)
The trial balance provides the primary source document for recording transactions into the general journal
D)
Transposition is the transfer of information from the general journal to the general ledger
Answer & Solution
Answer: Option
B
37
Depreciation is a charge against:
A)
Profit
B)
Assets
C)
Company
D)
Books of A/c
Answer & Solution
Answer: Option
A
38
According to the money measurement concept, the following will be recorded in the books of accounts of the business:
A)
Health of the managing director of the company
B)
Quality of company goods
C)
Value of plant and machinery
D)
Health of labour in factory
Answer & Solution
Answer: Option
C
39
Retained earnings statement depicts:
A)
Appropriation of profits
B)
Estimates of profits
C)
Estimates of costs
D)
None of these
Answer & Solution
Answer: Option
A
40
Which financial statement represents the accounting equation
A)
Income Statement
B)
Cash Flow Statement
C)
Balance Sheet
D)
Fund Flow Statement
Answer & Solution
Answer: Option
C
