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

61.
A and B have been in partnership sharing profits in the ratio of 7 : 3. C is admitted as a partner. A surrender $$\frac{1}{7}$$ of his share and B surrenders $$\frac{1}{3}$$ of his share in favour of C. The new profit sharing ratio will be-

A. 1 : 1 : 3

B. 3 : 1 : 1

C. 1 : 3 : 1

D. 2 : 1 : 1

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62.
On maturity of joint life policy the amount received from insurance company will be distributed amongst partners:

A. Equally

B. In profit-sharing ratio

C. In capital ratio

D. None of the above

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63.
Which one of the following is not a function of accounting?

A. Profit maximization

B. Meeting statutory requirements

C. Protecting the assets of business

D. Organizing business records

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64.
The expenditure on raw material is-

A. Fixed cost

B. Variable cost

C. Opportunity cost

D. Short-term cost

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65.
Which of the following is/are the method(s) of Human Resource Accounting?

A. Capitalisation of historical cost model

B. Replacement cost model

C. Present value of future earning model

D. All of the above

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66.
Chartered Accountants are-

A. Skilled Auditor

B. Government Auditor

C. Professional Auditor

D. None of the above

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67.
Which of the following is not prepared to ascertain the income of a non-trading concern:

A. Profit and Loss account

B. Balance sheet

C. Receipt and payment Account

D. Income and Expenditure account

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68.
Ram and Shyam are partners in a firm with capital of Rs. 4,50,000 and Rs. 3,10,000 respectively. They admitted Ganesh as a partner with $${\frac{1}{4}^{{\text{th}}}}$$ share of profit. Ganesh brings Rs. 3,00,000 as his capital. Ganesh's share of goodwill will be

A. Rs. 1,10,000

B. Rs. 27,000

C. Rs. 17,500

D. Rs. 70,000

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69.
Redeemable preference shares of Rs. 2,00,000 are redeemed at par for which purpose fresh equity shares are issued for Rs. 80,000 at par, The amount be transferred to Capital Redemption Reserve Account would be:

A. Rs. 80,000

B. Rs. 1,20,000

C. Rs. 2,00,000

D. Rs. 40,000

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70.
When the sale is expected to occur beyond one year, the entity shall measure the costs to sell at their present value. Any increase in the present value of the costs to sell that arises from the passage oftime shall be presented in

A. Capital Reserve A/c

B. Profit or loss as a financing cost

C. General Reserve A/c

D. None of the above

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Accounting MCQ Questions and Solutions with Explanations | Commerce

61. A and B have been in partnership sharing profits in the ratio of 7 : 3. C is admitted as a partner. A surrender $$\frac{1}{7}$$ of his share and B surrenders $$\frac{1}{3}$$ of his share in favour of C. The new profit sharing ratio will be-

Answer & Solution

62. On maturity of joint life policy the amount received from insurance company will be distributed amongst partners:

Answer & Solution

63. Which one of the following is not a function of accounting?

Answer & Solution

64. The expenditure on raw material is-

Answer & Solution

65. Which of the following is/are the method(s) of Human Resource Accounting?

Answer & Solution

66. Chartered Accountants are-

Answer & Solution

67. Which of the following is not prepared to ascertain the income of a non-trading concern:

Answer & Solution

68. Ram and Shyam are partners in a firm with capital of Rs. 4,50,000 and Rs. 3,10,000 respectively. They admitted Ganesh as a partner with $${\frac{1}{4}^{{\text{th}}}}$$ share of profit. Ganesh brings Rs. 3,00,000 as his capital. Ganesh's share of goodwill will be

Answer & Solution

69. Redeemable preference shares of Rs. 2,00,000 are redeemed at par for which purpose fresh equity shares are issued for Rs. 80,000 at par, The amount be transferred to Capital Redemption Reserve Account would be:

Answer & Solution

70. When the sale is expected to occur beyond one year, the entity shall measure the costs to sell at their present value. Any increase in the present value of the costs to sell that arises from the passage oftime shall be presented in

Answer & Solution

Read More Section(Accounting)

61.
A and B have been in partnership sharing profits in the ratio of 7 : 3. C is admitted as a partner. A surrender $$\frac{1}{7}$$ of his share and B surrenders $$\frac{1}{3}$$ of his share in favour of C. The new profit sharing ratio will be-

62.
On maturity of joint life policy the amount received from insurance company will be distributed amongst partners:

63.
Which one of the following is not a function of accounting?

64.
The expenditure on raw material is-

65.
Which of the following is/are the method(s) of Human Resource Accounting?

66.
Chartered Accountants are-

67.
Which of the following is not prepared to ascertain the income of a non-trading concern:

68.
Ram and Shyam are partners in a firm with capital of Rs. 4,50,000 and Rs. 3,10,000 respectively. They admitted Ganesh as a partner with $${\frac{1}{4}^{{\text{th}}}}$$ share of profit. Ganesh brings Rs. 3,00,000 as his capital. Ganesh's share of goodwill will be

69.
Redeemable preference shares of Rs. 2,00,000 are redeemed at par for which purpose fresh equity shares are issued for Rs. 80,000 at par, The amount be transferred to Capital Redemption Reserve Account would be:

70.
When the sale is expected to occur beyond one year, the entity shall measure the costs to sell at their present value. Any increase in the present value of the costs to sell that arises from the passage oftime shall be presented in