Home » MCQs » Financial Accounting Multiple Choice Questions#2

1) 

Which of the following account will be credited, if business bought goods on credit from Mr. Z


A)  Purchases account WRONG ANSWER

B)  Mr.Z account RIGHT ANSWER!!!

C)  Cash account WRONG ANSWER

D)  Sales account WRONG ANSWER


2) 

Interest on loan paid by business is an example of :

A)  Revenue expense RIGHT ANSWER!!!

B)  IncomeWRONG ANSWER

C)  AssetWRONG ANSWER

D)  Return outwardWRONG ANSWER


3) 

Which of the following is NOT a function of bank reconciliation statement?


A)  To check for errors in balance sheet RIGHT ANSWER!!!

B)  To update omitted entries into the cash book WRONG ANSWER

C)  To update omitted entries into the bank statement WRONG ANSWER

D)  To reconcile the difference in bank statement and cash bookWRONG ANSWER


4) 

Which of the following account will be credited when a typewriter is sold that has been used in the office?


A)  Office Equipment Account RIGHT ANSWER!!!

B)  Cash AccountWRONG ANSWER

C)  Sales AccountWRONG ANSWER

D)  Purchase AccountWRONG ANSWER


5) 

Which of the following subsidiary book(s) is (are) maintained for debtors control account?


A)  Sales Day Book WRONG ANSWER

B)  Sales Return WRONG ANSWER

C)  Debtors Ledger WRONG ANSWER

D)  All of the given options RIGHT ANSWER!!!


6) 

The allocation of the cost of a tangible plant asset to expense in the periods, in which services are received from the asset, is termed as:


A)  Appreciation WRONG ANSWER

B)  Depreciation RIGHT ANSWER!!!

C)  Fluctuation WRONG ANSWER

D)  None of the given options WRONG ANSWER


7) 

Which of the following is NOT a function of bank reconciliation statement?

A)  To check for errors in balance sheet RIGHT ANSWER!!!

B)  To update omitted entries into the cash book WRONG ANSWER

C)  To update omitted entries into the bank statement WRONG ANSWER

D)  To reconcile the difference in bank statement and cash bookWRONG ANSWER


8) 

Which of the following entry will be recorded when the Bad Debts are recovered?


A)  Cash(Dr.) & Bad Debts recovered(Cr) RIGHT ANSWER!!!

B)  A/C Receivable(Dr.) & Bad Debts recovered(Cr.)
WRONG ANSWER

C)  Bad debts recovered(Dr.) and Profit & Loss(Cr.)WRONG ANSWER

D)  Provision for doubtful debts(Dr.) & Cash(Cr.)
WRONG ANSWER



9) 

Which of the following subsidiary book(s) is (are) maintained for debtors control account?


A)  Sales Day Book WRONG ANSWER

B)  Sales Return WRONG ANSWER

C)  Debtors Ledger WRONG ANSWER

D)  All of the given options RIGHT ANSWER!!!


10) 

Which of the following item will be shown on debit side of debtors account?


A)  Discount received WRONG ANSWER

B)  Return inwards WRONG ANSWER

C)  Discount allowed WRONG ANSWER

D)  Credit sales RIGHT ANSWER!!!



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