MCQ Accounting

[faisal422]

Write only the correct answer in the Answer Book. Do not reproduce the questions.(1) Books of original entry are called:(a) Ledger (b) Work sheets(c) Journal(d) None of these(2) For preparing balance sheets prepaid expenses are shown as part of:(a) Liability(b) Equities(c) Assets(d) None of these(3) Unpaid and unrecorded expenses are called:(a) Prepaid expenses(b) Accrued expenses(c) Additional expenses(d) None of these(4) Amount, cash, or other assets removed from business by owner is:(a) Capital(b) Drawings(c) Assets(d) None of these(5) Under the diminishing balance method, depreciation amount is:(a) Payment(b) Receipt(c) Expenditure(d) None of these(6) Users of accounting information include:(a) The tax authorities(b) Investors(c) Creditors(d) All of these(7) The business form(s) in which the owner(s) is (are) personally liable is (are) the:(a) Partnership only(b) Proprietorship(c) Corporation only(d) Partnership and proprietorship (e) None of these(8) The investment of personal assets by the owner:(a) Increases total assets and increases owner’s equity(b) Increases total assets only(c) Has no effect on assets but increases owner’s equity(d) Increase assets and liabilities(e) None of these(9) All of the following are forms of organizations except:(a) Proprietorship(b) Corporation(c) Retailer(d) Partnership(e) None of these(10) Economic resources of a business that are expected to be of benefit in the future are referred to as:(a) Liabilities(b) Owner’s equity(c) Withdrawals(d) Assets(e) None of these(11) An owner investment of land into the business would:(a) Decrease withdrawals(b) Increase liabilities (c) Increase owner’s equity(d) Decrease assets(e) None of these(12) A cash purchase of supplies would:(a) Decrease owner’s equity(b) Increase liabilities (c) Have no effect on total assets(d) None of these(13) An owner investment of each into the business would:(a) Increase assets(b) Decrease liabilities(c) Increase withdrawals(d) Decrease owner’s equity(e) None of these(14) The payment of rent each month for office space would:(a) Decrease total assets(b) Increase liabilities(c) Increase owner’s equity(d) None of these(15) Real accounts are related to:(a) Assets(b) Expenses and incomes(c) Customers and Creditors etc.(d) None of these(16) Which one of the following accounts would usually have a debit balance?(a) Cash(b) Creditors(c) Accounts payable(d) Salaries Expenses(e) None of these(17) Quick assets include which of the following?(a) Cash(b) Accounts Receivable(c) Inventories(d) Only (a) and (b)(e) None of these(18) Net income plus operating expenses is equal to:(a) Net sales(b) Cost of goods available for sale(c) Cost of goods sold(d) Gross profit(e) None of these(19) The maximum number of partners in Pakistan can be fixed at the following:(a) 20(b) 50(c) 75(d) None of these(20) Balance sheet is always prepared:(a) For the year ended(b) As on a specific date(c) None of these RegardsFaisal03314383564

[kornos123]

1. (d) None of these 2. (c) Assets3. Not clear about this; ideally it should be (d) as accrued expenses are generally unpaid but recorded expenses.4. (d) Drawings, (amount means nothing in the terminology of Accounting, Cash covers the term ‘amount’)5. (c) Expenditure (Depreciation is always an expense irrespective of the method adopted to calculate it.)6. (d) All of these7. (d) Partnership and proprietorship 8. (a) Increases total assets and increases owner’s equity9. (d) partnership ( I’ve guessed it!...please confirm the right answer)10. (a) Assets 11. (c) Increase Owner’s equity 12. (c) No effect on Assets (Cash has been converted into some other form assets, so there is no effect on the total assets)13. (a) Increase Assets (The statement of the question is wrong, it’s the best guess as investment always increases assets)14. (a) Decrease total assets 15. (a) Assets 16. (a) Cash ('Salaries Expense' would usually have a debit balance as well)17. (d) Only (a) and (b) (the formula for Quick Assets is; Current Assets – Inventory, so these current assets can also include some other current assets, it’s not restricted to just Cash and Accounts Receivables.)18. (d) Gross Profit 19. (a) 20 (To have more than 20 partners in business, it has to be registered as a company according to section 14 of Companies’ Ordinance 1984)20. (b) on a specific date( Income statement or statement of comprehensive income is prepared for a whole year or period.)

[kornos123]

are these questions from a css paper?

[umari]

Kia koi exact bta sakta ha kitny islami country hain world mein?

[aishabutt]

Kia koi exact bta sakta ha kitny islami country hain world mein?

57............

[aishabutt]

1. (d) None of these 2. (c) Assets3. Not clear about this; ideally it should be (d) as accrued expenses are generally unpaid but recorded expenses.4. (d) Drawings, (amount means nothing in the terminology of Accounting, Cash covers the term ‘amount’)5. (c) Expenditure (Depreciation is always an expense irrespective of the method adopted to calculate it.)6. (d) All of these7. (d) Partnership and proprietorship 8. (a) Increases total assets and increases owner’s equity9. (d) partnership ( I’ve guessed it!...please confirm the right answer)10. (a) Assets 11. (c) Increase Owner’s equity 12. (c) No effect on Assets (Cash has been converted into some other form assets, so there is no effect on the total assets)13. (a) Increase Assets (The statement of the question is wrong, it’s the best guess as investment always increases assets)14. (a) Decrease total assets 15. (a) Assets 16. (a) Cash ('Salaries Expense' would usually have a debit balance as well)17. (d) Only (a) and (b) (the formula for Quick Assets is; Current Assets – Inventory, so these current assets can also include some other current assets, it’s not restricted to just Cash and Accounts Receivables.)18. (d) Gross Profit 19. (a) 20 (To have more than 20 partners in business, it has to be registered as a company according to section 14 of Companies’ Ordinance 1984)20. (b) on a specific date( Income statement or statement of comprehensive income is prepared for a whole year or period.)

Balance sheet is prepared at the end of the year...............

[Tariq707]

i think total muslim countries should be 58 because sudan has been divided into two.

[Ladykiller]

1: Journal (Journal is the 1st book in which entries are recorded so its also called original book of entries)5: None of these (Dep. is non cash expense and expenditures are only of two types 1st capital expenditure & revenue expenditure)9: Retailer (there r 6 forms of organisations,, Sole Proprietor (1040 Schedule C), Corporation (1120), Partnership (1065), S-Corporation (1120 S), Trust (1041), and Non-profit organization (990)16: Salaries expense a/c18: Question is wrong Operating profit plus operating expenses=Gross profit (ye question ho skta hai) Other than it these are formulas Net sales = Gross sales Gross profit = Net sales - Cost of goods sold Operating Profit = Gross Profit - Total operating expenses Net income (or Net profit) = Operating Profit – taxes – interest(Note: cost of goods sold is calculated differently for a merchandising business than for a manufacturer.)20: As on a specific date Any one need in accounting can contact but yar mujhy Urdu nhi ati kabi urdu ka content b post kr dia kro...

[GgiPunjab]

i think total muslim countries should be 58 because sudan has been divided into two.

I think also the total is 58 insted of 57.