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

61.
State which of the following errors will not be revealed by the trial balance?

A. errors of complete omission

B. errors of carrying forward

C. wrong totalling of the purchases book

D. error of partial omission

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62.
. . . . . . . . is a reserve created to meet any loss due to natural calamities.

A. Revenue reserve

B. Capital reserve

C. Catastrophe reserve

D. None of these

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63.
Which of the following fictitious assets is not taken over by the transferee company?

A. Preliminary expenses

B. Underwriting commission

C. Discount on issue of shares

D. All of these

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64.
Bonus payable on maturity of the policy is termed as:

A. cash bonus

B. capital bonus

C. reversionary bonus

D. None of these

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65.
Profit under single entry system of Book Keeping means:

A. the difference between opening and closing cash balances and reduced by fresh capital introduced

B. the difference between opening net assets and closing net assets as increased by drawings and reduced by new capital introduced

C. profit shown by Trading and Profit and Loss Account and Balance sheet

D. the amount of closing cash balance as reduced by expenses

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66.
In the case of a sole proprietorship, Assets in Balance sheet items are conveniently shown in:

A. Order of fixity

B. Order of liquidity

C. Alphabetical order

D. Order of dates of acquisition

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67.
When debentures are redeemed out of profits, an equal amount is transferred to . . . . . . . .

A. CRR

B. capital reserve

C. revenue reserve

D. debenture redemption reserve

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68.
Dividend may be declared out of . . . . . . . .

A. current profit

B. past reserves

C. money provided by government

D. All of these

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69.
Debit means:

A. Decrease in asset

B. Increase in liability

C. An entry on the left hand side of an account

D. Moderate increase in liability

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70.
Fictitious assets are shown on the asset side of the balance sheet of a company under the heading . . . . . . . .

A. fixed asset

B. current asset

C. foot note

D. None of these

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Accounting MCQ Questions and Solutions with Explanations | Commerce

61. State which of the following errors will not be revealed by the trial balance?

Answer & Solution

62. . . . . . . . . is a reserve created to meet any loss due to natural calamities.

Answer & Solution

63. Which of the following fictitious assets is not taken over by the transferee company?

Answer & Solution

64. Bonus payable on maturity of the policy is termed as:

Answer & Solution

65. Profit under single entry system of Book Keeping means:

Answer & Solution

66. In the case of a sole proprietorship, Assets in Balance sheet items are conveniently shown in:

Answer & Solution

67. When debentures are redeemed out of profits, an equal amount is transferred to . . . . . . . .

Answer & Solution

68. Dividend may be declared out of . . . . . . . .

Answer & Solution

69. Debit means:

Answer & Solution

70. Fictitious assets are shown on the asset side of the balance sheet of a company under the heading . . . . . . . .

Answer & Solution

Read More Section(Accounting)

61.
State which of the following errors will not be revealed by the trial balance?

62.
. . . . . . . . is a reserve created to meet any loss due to natural calamities.

63.
Which of the following fictitious assets is not taken over by the transferee company?

64.
Bonus payable on maturity of the policy is termed as:

65.
Profit under single entry system of Book Keeping means:

66.
In the case of a sole proprietorship, Assets in Balance sheet items are conveniently shown in:

67.
When debentures are redeemed out of profits, an equal amount is transferred to . . . . . . . .

68.
Dividend may be declared out of . . . . . . . .

69.
Debit means:

70.
Fictitious assets are shown on the asset side of the balance sheet of a company under the heading . . . . . . . .