MCQOPTIONS
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MCQOPTIONS
This section includes 7 Mcqs, each offering curated multiple-choice questions to sharpen your Bachelor of Commerce (B Com) knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
A firm has reported a profit of Rs.1,47,000 for the year ended 31-3-2014 after taking into consideration the following items.(i) The cost of an asset Rs.23,000 has been taken as an expense(ii) The firm anticipated a profit of Rs.12,000 on the sale of an old furniture(iii) Salary of Rs.7,000 outstanding for the year has not been taken into account.(iv) An asset of Rs.85,000 was purchased for Rs.75,000 and was recorded in the books at Rs.85,000.What is the correct amount of profit to be reported in the books? |
| A. | Rs.1,47,000 |
| B. | Rs. 1,51,000 |
| C. | Rs.1,63,000 |
| D. | Rs.1,41,000 |
| Answer» C. Rs.1,63,000 | |
| 2. |
If wages are paid for construction of business premises ______ A/c is credited and _A/c is debited. |
| A. | Wages, Cash |
| B. | Premises, Cash |
| C. | Cash, Wages |
| D. | Cash, Premises |
| Answer» E. | |
| 3. |
If nothing is given in the financial statements about the three accounting assumptions then it is to be treated as it |
| A. | Is assumed that it is not followed |
| B. | Is assumed to be followed |
| C. | Is assumed to be followed to some extent |
| D. | None of the above |
| Answer» C. Is assumed to be followed to some extent | |
| 4. |
If one of the cars purchased by a car dealer is used for business purpose, instead of resale, then it should be recorded by_____ |
| A. | Dr Drawing A/c & Cr Purchases A/c |
| B. | Dr Office Expenses A/c & Cr Motor Car A/c |
| C. | Dr Motor Car A/c & Cr Purchases A/c |
| D. | Dr Motor Car & Cr Sales A/c |
| Answer» D. Dr Motor Car & Cr Sales A/c | |
| 5. |
The policy of anticipate no profit and provide for all possible losses arise due to the concept of _____ |
| A. | Consistency |
| B. | Disclosure |
| C. | Conservatism |
| D. | Matching |
| Answer» D. Matching | |
| 6. |
According to the money measurement concept, the following will be recorded in the books of account of the business: |
| A. | Health of Managing Director of the company |
| B. | Quality of company s goods |
| C. | Value of Plant & Machinery |
| D. | Strike by employees |
| Answer» D. Strike by employees | |
| 7. |
Small items like, pencils, pens, files, etc. are written off within a year according to _ concept. |
| A. | Materiality |
| B. | consistency |
| C. | Conservatism |
| D. | Realization |
| Answer» B. consistency | |