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

21.
A bill of exchange is drawn by a:

A. Creditor

B. Debtor

C. Shareholder

D. Debentureholder

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22.
Profit as per accounts from incomplete records may constructed as equivalent of:

A. Excess of assets over liabilities at the close of the period

B. Excess of capital at the end over the capital at the beginning

C. Excess of assets over liabilities at the commen-cement of the period

D. Excess of capital at the beginning over the capital at the end

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23.
Depreciation is provided on:

A. Current Assets

B. Liquid Assets

C. Fictitious Assets

D. Fixed Assets

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24.
Sales to Benson Rs. 500 posted to his account as Rs. 50 would affect . . . . . . . .

A. Sales account

B. Bensons account

C. Cash account

D. Purchases account

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25.
The assets of a business can be classified as . . . . . . . .

A. only fixed assets

B. only current assets

C. fixed and current assets

D. fictitious assets

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26.
A gross profit is transferred to the . . . . . . . . side of the profit and loss account.

A. Debit

B. Credit

C. Current

D. Asset

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27.
If the rate of gross profit is 25% on cost by goods sold and the sales are Rs. 200000, the amount of profit will be . . . . . . . .

A. Rs. 50000

B. Rs. 40000

C. Rs. 45000

D. Rs. 65000

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28.
The short-term advances made by a bank to the stock brokers and bill brokers are called . . . . . . . .

A. money at call

B. short loan

C. short provision

D. inter-office adjustment

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29.
Match List-I (financial statements and accounts) with List-II (special matters associated with statements and accounts) and select the correct answer using the options given below the lists:

List-I List-II

a. Receipts and payments 1. Revenue account

b. Income and expenditure account 2. Cash

c. Dividend equalisation reserve 3. Liability

d. Club subscription received in advance account 4. Balance sheet

5. General reserve

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

B. a-3, b-2, c-4, d-5

C. a-2, b-1, c-5, d-3

D. a-1, b-2, c-4, d-5

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30.
Assets acquired by a bank in satisfaction of a claim are known as . . . . . . . .

A. non-banking assets

B. performing assets

C. standard assets

D. None of these

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1 2 3 4 5 6 7 8 9 10

List-I	List-II
a. Receipts and payments	1. Revenue account
b. Income and expenditure account	2. Cash
c. Dividend equalisation reserve	3. Liability
d. Club subscription received in advance account	4. Balance sheet
	5. General reserve

Accounting MCQ Questions and Solutions with Explanations | Commerce

21. A bill of exchange is drawn by a:

Answer & Solution

22. Profit as per accounts from incomplete records may constructed as equivalent of:

Answer & Solution

23. Depreciation is provided on:

Answer & Solution

24. Sales to Benson Rs. 500 posted to his account as Rs. 50 would affect . . . . . . . .

Answer & Solution

25. The assets of a business can be classified as . . . . . . . .

Answer & Solution

26. A gross profit is transferred to the . . . . . . . . side of the profit and loss account.

Answer & Solution

27. If the rate of gross profit is 25% on cost by goods sold and the sales are Rs. 200000, the amount of profit will be . . . . . . . .

Answer & Solution

28. The short-term advances made by a bank to the stock brokers and bill brokers are called . . . . . . . .

Answer & Solution

Answer & Solution

30. Assets acquired by a bank in satisfaction of a claim are known as . . . . . . . .

Answer & Solution

Read More Section(Accounting)

21.
A bill of exchange is drawn by a:

22.
Profit as per accounts from incomplete records may constructed as equivalent of:

23.
Depreciation is provided on:

24.
Sales to Benson Rs. 500 posted to his account as Rs. 50 would affect . . . . . . . .

25.
The assets of a business can be classified as . . . . . . . .

26.
A gross profit is transferred to the . . . . . . . . side of the profit and loss account.

27.
If the rate of gross profit is 25% on cost by goods sold and the sales are Rs. 200000, the amount of profit will be . . . . . . . .

28.
The short-term advances made by a bank to the stock brokers and bill brokers are called . . . . . . . .

30.
Assets acquired by a bank in satisfaction of a claim are known as . . . . . . . .