Basic Accounting 23

Lets Crack Online Exam

Objective Questions and Answers of MBA: Basic Accounting 23

Subject: Objective Questions and Answers of MBA: Basic Accounting 23

Part 23: Objective questions and answers of Basic Accounting


Q1. Errors of carry forward from one year to another year affect ______________

a) personal account

b) real account

c) nominal account

d) both personal and real account


Q2. The person upon whom the bill of exchange is drawn is called ______________

a) Drawer

b) Drawer

c) Payee

d) Maker


Q3. A Cheque received and paid into the bank on the same day id recorded in the ___________

a) cash column of the cash book

b) bank column of the cash book

c) both the cash and bank columns of the book

d) the credit balance as per pass book


Q4. Purchase journal is kept to record ______________.

a) cash sales

b) credit sales of assets

c) credit sales of goods

d) credit purchase


Q5. Expenditure incurred by a publisher for acquiring copyrights is a ______________.

a) capital expenditure

b) reserve expenditure

c) deferred reserve expenditure

d) capital receipts


Q6. Subscription received in advance by a club is shown on the ______________ side of the balance sheet.

a) Liabilities

b) Assets

c) credit

d) debit


Q7. The information for the preparation of receipt and payments account is taken from______

a) cash book

b) income and expenditure

c) cash book and balance sheet

d) revenue account


Q8. The main purpose of this ______________ accounting is to ascertain profit or loss during a specific period, to show financial position of the business.

a) financial accounting

b) cost accounting

c) management account

d) human resource accounting


Q9. The prime function of accounting is to ______________

a) record economic data

b) provide the informational basis for action

c) classifying and recording business transactions

d) attain non-economic goals


Q10. The cash book records ______________

a) all cash payments

b) all cash receipts

c) all cash receipts and payments

d) only credit payments


Q11. Errors which affect one side of an account are called ______________

a) single sided errors

b) double sided errors

c) triple sided errors

d) a compensation error


Q12. Trading account is prepared to find out ______________

a) gross profit or loss

b) net profit or loss

c) financial position

d) position of the partners


Q13. A bill which is not an inland bill is a ______________ bill.

a) Outward

b) inward

c) Foreign

d) Ne


Q14. Which one of the following is Current Asset ______________

a) Building

b) Furniture

c) Store

d) Investment


Q15. While discounting the bill, debit should be given to ______________

a) bank account

b) bill receivable account

c) acceptors account

d) cash account


Q16. The balance of cash account indicates ______________.

a) net income for the period

b) net loss for the period

c) net cash on hand

d) net worth of the business


Q17. A Cheque received and deposited in the bank on the same day is recorded in the_____

a) cash column of the cash book

b) bank column of the cash book

c) credited in the cash book

d) debited in the cash book


Q18. Ledger is also called ______________.

a) principal book of accounts

b) cash book

c) subsidiary books

d) petty cash boo


Q19. The receipts and payments account begins with ______________.

a) debit balance

b) credit balance

c) no balance

d) normal balance


Q20. Which of the following items should not be entered in receipts and payments account of a club?

a) Sale of old newspaper

b) Loss on sale of old furniture

c) Subscriptions received in advance

d) Expenses for previous year


Part 23: Objective questions and answers of Basic Accounting


Q1. Answer a


Q2. Answer a


Q3. Answer b


Q4. Answer c


Q5. Answer a


Q6. Answer a


Q7. Answer a


Q8. Answer a


Q9. Answer c


Q10. Answer c


Q11. Answer a


Q12. Answer a


Q13. Answer c


Q14. Answer c


Q15. Answer a


Q16. Answer c


Q17. Answer b


Q18. Answer a


Q19. Answer a


Q20. Answer b

Be the first to comment

Leave a Reply