Basic Accounting 24

Lets Crack Online Exam

Objective Questions and Answers of MBA: Basic Accounting 24

Subject: Objective Questions and Answers of MBA: Basic Accounting 24

Part 24: Objective questions and answers of Basic Accounting


Q1. Average due date can be called as ______________

a) Mean due date

b) Median due date

c) Mode due date

d) Zero date


Q2. When furniture is sold for cash, the entry should be made in ______________.

a) Sales book

b) Cash book

c) Journal.

d) Petty cash book.


Q3. Amount paid for acquiring goodwill is ______________.

a) Revenue expenditure

b) Deferred revenue expenditure

c) Capital expenditure

d) Deferred capital expenditure


Q4. Petty cash may be used to pay ______________.

a) The expenses relating to postage and conveyance

b) Salaries and wages to the final staff

c) For the purchase of furniture and fittings

d) Other recurring expense


Q5. A gross profit is transferred to the ______________side of the profit and loss account.

a) Debit

b) Credit

c) Current

d) Asset


Q6. Interest received on special fund investments will be added to ______________ fund in the balance sheet.

a) Investment fund

b) Bank fund

c) General

d) Special


Q7. Any profit on the sale of furniture of a cricket club will be taken to ______________.

a) Income and expenditure account

b) Cash account

c) Profit and loss account

d) Furniture account


Q8. ______________ is allowed to encourage early cash payment.

a) Cash discount

b) Trade discount

c) Quantity discount

d) Price discount


Q9. The system of recording transactions based on dual aspect concept is called_______

a) Double account system

b) Double entry system

c) Single entry system

d) Single account system


Q10. Bank reconciliation statement is prepared by the ______________

a) Bank

b) Creditors of a business

c) Customer of a bank

d) Suppliers


Q11. Bills payable book is a ______________.

a) Subsidiary book

b) Principal book

c) Ledger

d) Memorandum book


Q12. A bill of exchange payable after a certain period is known as ______________ bill.

a) Time

b) Accommodation

c) Revenue

d) Dishonored


Q13. Donations received for a special purpose will be taken to ______________

a) Income and expenditure account.

b) Asset side of the balance sheet.

c) Liabilities side of the balance sheet.

d) Debit side of the ledger.


Q14. Accounts receivable includes ______________

a) Sundry debtors

b) Bill receivable

c) Promissory note

d) All of the above


Q15. Account current is a journal:

a) True

b) False

c) Partly true

d) Partly false


Q16. The holder of a bill who endorses it is called

a) Endorse

b) Endorse

c) Acceptor

d) Payee


Q17. Wages paid for erection of machinery are debited to ______________.

a) Wages account

b) Machinery account

c) Profit and loss account

d) Deferred wages account


Q18. Expenditure incurred on research is an example of ______________.

a) Capital expenditure

b) Revenue expenditure

c) Deferred revenue expenditure

d) Partly capital expenditure


Q19. Rs. 500 spent on servicing office typewriter should be debited to ______________.

a) Miscellaneous expenses account

b) Typewriter account

c) Repairs account

d) Services account


Q20. A debit balance in the income and expenditure account denotes excess of _____over___

(a)Income, expenditure

b) Assets, liabilities

c) Liabilities, assets

d) Expenditure, income


Part 24: Objective questions and answers of Basic Accounting


Q1. Answer a


Q2. Answer b


Q3. Answer d


Q4. Answer a


Q5. Answer b


Q6. Answer d


Q7. Answer a


Q8. Answer a


Q9. Answer b


Q10. Answer c


Q11. Answer b


Q12. Answer a


Q13. Answer c


Q14. Answer d


Q15. Answer b


Q16. Answer a


Q17. Answer b


Q18. Answer c


Q19. Answer c


Q20. Answer d

Be the first to comment

Leave a Reply