📒Accounting MCQs
Accounting MCQs
397 MCQs271
Which of the following statements is false ? select the false from below options
ABalance Sheet discloses financial position of the business
BA person who owes to the business is called Debtor
CDecrease in the value of the asset could decrease the value of a liability
DAssets are to be shown in the Balance Sheet at the realizable value fixed assets are to be shown in the Balance Sheet at their actual cost.
272
Tax deducted at source appears in the Balance Sheet
AOn the assets side under current assets
BOn the assets side under loans and advances
COn the liabilities side under current liabilities
DOn the liabilities side under provisions
273
Which of the following are/is a current asset?
AB. and
BStock
Cabove
DAll of
274
Which of the following are/is not a fixed asset?
Aand
BVehicle
Cabove
DBoth
275
If unexpired insurance appears in the Trial Balance, it should be:
ACredited to the Profit & Loss Account
BDebited to the Profit & Loss Account
CHence
Dis true.
276
Based on which of the following concepts, is Share Capital Account shown on the liabilities side of a Balance Sheet?
ABusiness entity concept
BMoney measurement concept explains that in financial accountancy, a record is made only of information that can be expressed in monetary terms and ignores other events, however significant they may be. It is silent about the treatment of share capital account.
CGoing concern concept
DConservatism concept: The theme behind this principle is that recognition of revenue requires better evidence than recognition of expenses. It deals with revenues and expenses and not the share capital account.
277
Which of the following is a current liability?
APrepaid expenses
BTrademark
CDiscount on issue of shares
Dis correct answer
278
Which of the following is not an intangible asset?
ATrade mark
BFranchise
CAccounts Receivable
DSecret Profit An accounts receivable is not an intangible asset. It is the amount that the business has to receive from its debtors. The other assets mentioned in alternatives a, b, and d- trademark, franchises and secret processes are intangible assets. Hence, the correct answer is
279
Computers taken on hire by a business for a period of twelve months should be classified as:___________?
ACurrent assets
BIntangible assets
CDeferred revenue expenditure
D. Since it is not an asset it cannot be classified as any asset and other alternatives are not the correct answers.
280
Which of the following accounts appear(s) in the Balance Sheet of a business?
AOnly (i) above
BOnly (iii) above
CBoth (i)and (iii) above
D, the combination of all the accounts in alternatives (i), (iii), (iv) and (v) is the correct answer.]