Practice Test


1) Which of the following is not a subfield of accounting


2) Financial accounting information is characterized by all of the following except


3) Book keeping is mainly concerned with


4) All of the following are functions of accounting except


5) Financial Statement is a part of


6) Financial position of the business is ascertained on the basis of


7) Users of accounting information include


8) Financial statements do not consider


9) On January 1, Sohan paid rent of Rs.5,000. This can be classified as


10) On March 31 , 2006 after sale of goods worth Rs. 2,000, he is left with the closing stock of Rs.10,000. This is


11) MATCH THE FOLLOWING :- Financial statements


12) Accounting


13) Book-keeping


14) Transactions


15) Events


16) Government & their agencies


17) Management of the business


18) Purchase of goods worth Rs.1,000


19) Which definition of accounting is the most appropriate now-a-days


20) Accounting covers only the following activities


21) Book-keeping covers only the following activities


22) the basic objective of the book -keeping is


23) The basic objective of the accounting is


24) Internal users of accounting information includes


25) external users of accounting information includes


26) limitations of accounting includes


27) an economic event that involves transfer of money or money's worth is


28) sale of goods to R for cash Rs.1,000 is a


29) current asset are those assets


30) fixed assets are those assets


31) current liabilities are those liabilities which


32) long-term liabilities are those liabilities which


33) capital is the


34) drawing represents


35) a person who owes money of the firm is


36) a person to whom money is owed by the business


37) income is reflected in the form of


38) expenses is reflected in the form of


39) gains represents


40) losses represents


41) The excess of income & gains over expenses & losses represents


42) The excess of expenses & losses over income & gains represents


43) which of the following is correct


44) on January 1, Sajan paid rent of Rs.10,000. This can be classified as


45) financial statements only consider


46) Accounting is defined as -


47) Accounting in modern age regarded as


48) What is the method of summarizing and classifying the record of financial transaction of the monetary terms ?


49) Accounting means recording of ----------


50) Accounting is also defined as an 'Information System' because


51) Money owed from an Outside is an -


52) Fixed assets are assets which are -


53) The obligation of an enterprise other than owner's fund are known as -


54) Unpaid expenses are -


55) Which of the following transaction would cause decrease in owner's equity ?


56) Which of these transaction would cause increase in owner's equity ?


57) An exchange of goods between two parties


58) ----------- are business performance of trading activities -


59) On 31st December, 2010 Ashok Ltd. purchased machine from Mohan Ltd. For Rs. 1,75,000. This is : (Year end : 31st December)


60) --------- are the end result to transaction


61) On 31.03..2010 , a trader, after sale of goods, is left with closing stock of Rs. 10,000.This closing stock is


62) On march 31,2010 Narain Enterprises purchased a vehicle from Hyundai for Rs. 1,75,000. This is -


63) Exchanges of a financial benefit (goods,services etc.) for cash


64) Exchanges of a financial benefit (goods, property etc.) for cash receivable or payable transaction


65) Accounting is concerned with -


66) Tick the wrong statement -


67) Which of the following of subject matter of accounting ?


68) Which is not a subject matter of accounting


69) Tick the true statement -


70) Accounting is basically concerned with


71) What are the important objective of accounting


72) Objectives of Accounting is /are -
(i) Systematic recording of transaction
(ii) Ascertainment of result of recorded transaction
(iii) Ascertainment of the financial position of the business
(iv) Providing information to end user for rational decision-making
(v) To know the solvency position
Which combination is correct ?


73) The direct advantages of accounting do to not include -


74) Need for Accounting :-


75) ------------- of American Institute of Certified public Accountants enumerated the function of Accounting -


76) Function of accounting include :


77) Basic function of financial accounting is to


78) Which of the following is not a function financial accounting ?


79) Which statement is correct ?


80) Which of these is not available in the financial Statements of a Company ?


81) An Accountant -


82) ------------ is a broader concept of than Book-Keeping -


83) -------------- constitutes as a base for accounting ?


84) Book keeping include ---------- of the financial transactions and events of business.


85) Book Keeping records only --------- transaction of business


86) Objectives of Book Keeping is -


87) The problems the related to price-rise are handled under


88) Management Accounting -


89) Maintaining records of various assets is -


90) Financial statements are used by


91) Which one of the following types of information, a long term Creditor would be interested to gather while reading Annual Reports of an Enterprise ?


92) Accounting principles are the ---------- followed by all accountants while recording and reporting the business transaction -


93) Generally Accepted Accounting principles can be applied to the financial statements of -


94) --------- refers to the general usage and practices in day-to -day social or economic life.


95) GAAP's are -


96) All the following items the classified as fundamental accounting assumptions except


97) Fundamental accounting assumptions are


98) Fundamental accounting assumptions are


99) Which of the following is not as accounting assumption ?


100) It is generally assumed that the business will not liquidate in the near foreseeable future because of


101) Economic life of an enterprise is split into the periodic interval as per----------


102) According to Going Concept the time period of business is -


103) Depreciation is charged on fixed assets due to which concept / Convention


104) According to Going Concern concept, a business is viewed as having -


105) As per which is following concepts, Fixed Assets are depreciated over their useful rather than over a shorter period on the expectation of early liquidation ?


106) Going concern concept is not following -


107) Going concern concept assumes that


108) An uncertainty associated with how long a business enterprise survive given rise to


109) If Going concern concept is no longer valid, which of the following is true ?


110) Fixed assets and Current asset are categorized as per concept of -


111) 'Advance received from customers is not taken as sale' is based on


112) At the end of the accounting period the provision is made for the amount outstanding for the electricity that has been consumed during the said period. the statement is based on -


113) Revenue from sale of produces, is generally, realized in the period in which


114) Adjustment entries are necessary in accrual system of accounting because -


115) ABC Co. whose accounting year beings on 1st April, has invested Rs. 50,000 with a bank on 1-10-2008 for 1 year. The interest @ 12% p.a. will be paid on maturity on 01-10-2009. ABC Co. shows Rs.3,000 as interest receivable on the credit (income) side in the profit and Loss Account for the year 1st April 2008 to 31st march 2009 -


116) Recording is done on that receipt of income and on then accrual of expenditure is based on the Accounting Concept of :


117) Out of following, which is not an Accounting Concept?


118) Accounting policies should not be changed from one period to another is passed on the principles of


119) Accounting rules, procedures and method should be observed alike and should not be changed from year to year. This is called accounting convention of -


120) Same items should be treated in the same way from year to year, according to the accounting concept of


121) Follow the same rate for depreciating a particular asset year after year -


122) "Business unit is separate and distinct from the person who supply capital to it",is based on


123) The capital contributed by the proprietor is treated as a liability according to-


124) According to which of the following concept, the owner of the business is considered creditor of the business


125) According to which concept owner and business are considered separate and separate records maintained for both.


126) An obligation of the entity to Owners treated as a liability in the balance Sheet according to :


127) Under the business entity concept


128) Which of the following is an example of business entity


129) Select the wrong statement-


130) Which of the following is not Accounting Convention ?


131) If a radio seller-proprietor buys a radio for his personal use from out of business funds, the amount paid the radio will be treated as "drawing" of the proprietor because of the


132) A sole proprietor decided to use the same bank account for his personal affairs as for his business. Which of the following accounting principle is violated?


133) The personal traveling expenses of Mr.ABC of Rs. 1,000 paid by M/s ABC and Co.are debited to his paronal account (as drawing) in the books of M/s ABC & Co.


134) The owner of the company included is personal medical expenses in the company's income statement. Indicate the principle that is violated -


135) According to money measurement, currency transaction & events are recorded in books of accounts


136) Human Assets have no place in accounting records is based on-------


137) Transaction and events not capable of expressed on terms of money are not to be recorded in accounting due to -


138) According to Money Measurement Concept of accounting theory, the value of Money will


139) Money Measurement Concept lacks on the ground that -


140) Which of the following is an Accounting Concept?


141) The qualitative aspect of business is not recorded in the books of accounts as per the basic concept of -


142) During the life time of an entity, accountants prepare financial statements at arbitrary points of time as per-


143) Accounts are regularly made after a fixed period usually a year, this concept is based on:


144) Income is measured on the basic of -


145) Income is measured and financial position is assessed on the basic of


146) According to which of the following concepts, all expenses are matched with the revenue of that period-


147) The Accounting Concept of matching Means:


148) The underlying accounting principle(s) necessitating amortization of intangible asset(s) is/are-


149) According to which of the following principle all costs which are applicable to revenue of the period should be charged against that revenue.


150) M purchased goods for Rs. 15,00,000 and sold 4/5th of the goods for Rs. 18,000,000 and expenses Rs.2,50,000 in the year 2009. He counted net profit as Rs.3,50,000. Which of the accounting concept was following by him ?


151) Accounting is the process of matching


152) "Assets should be valued at the price paid to acquire them" is based on


153) Objectivity is involved concept


154) Cost Concept assumes


155) Assets in the balance sheet are shown at cost rather than at their market value due to -


156) Ignore the market value of Long Term Assets -


157) ABC purchased a building in 2011 for Rs. 75 lakhs; however, today fair market value of the building is Rs. 1 crore. But the building will continue to be recorded in the book it at the actual cost Rs. 75 lakhs because of -


158) Mr. A purchased machinery Rs. 1,00,000 on 1.10.2008.Installation charges Rs. 14,000 Dismantling charges of old machine in place of which new machine was purchase Rs. 10,000. Market value of the machine was estimated at Rs. 1,20,000 on 31.03.09. A value the machinery at Rs. 1,20,000 in his books.
Which of the following concept was violated by A?


159) If machinery a purchase for Rs.1,00,000 the asset would be recorded in book at Rs. 1,00,000 even if its market value at the time happens to be Rs.1,40,000 In case a year after, the market value of the asset comes down to Rs.90,000 it will ordinarily continue to be shown at Rs. 1,00,000 and not Rs.90,000 due to -


160) Assets acquired are recorded in the books


161) According to the realization concept, accounting is done


162) Revenue is generally recognized when earning process is virtually and significant risks and reward are exchanged. What principle is described herein -


163) A machine was purchase for Rs. 1,00,000 on 01.01.10 and on 31.12.10, its net realization value was Rs. 1,50,000. Do you prefer to count this profit? If you count, which of the concept will be violated -


164) The realization concept envisages


165) "Holding gains in relation to stocks should not be used for payment of dividend," Which one of the following accounting principle is involved in this?


166) Capital brought in the proprietor is an example of ?


167) Decrease in the amount to creditors result in


168) The Accounting Equation that "Assets = Capital + Liabilities' is based on which of the following concept :


169) A purchased a Car for Rs. 5,00,000 Making a down payment of Rs. 1,00,000 and signing a Rs. 4,00,000 Bill payment blue in 60 days. As a result of this transaction -


170) Dinesh purchased furniture wroth Rs. 50,000 in credit. By this transaction assets would :


171) When Fixed assets are sold -


172) Double Entry Principle means -


173) Ram starts business with Rs.90,000 and then buys goods from Shyam on credit for Rs. 23,000. The Accounting Equation based on Assets = Credit + Liabilities will be -


174) Ram purchased a car Rs. 10,000 paid Rs. 3,000 as cash and balance amount will be paid in three equal installments. Due to this


175) An assets was purchased for Rs.6,60,000. Cash was paid Rs. 1,20,000 and for the balance a bill was drawn for 60 days. What will be the effect on Fixed Assets?


176) What is the effect on the Net Assets if cash is received from debtors of Rs.50,000 ?


177) Market value of investment is shown outside the Balance Sheet as a footnote according to


178) The practice of appending note regarding contingent liabilities in the accounting statements is in pursuant to -


179) Disclosing essential information in accounting observes the principle of -


180) A businessman purchased goods Rs.25,00,000 and sold 70% of such goods during the accounting year ended 31st march, 2011,the market value of the remaining goods was Rs. 5,00,000. He valued the closing stock at Rs.5,00,000 and not Rs.7,50,000 due to -


181) An accounting convention which provides that when doubt, choose the solution least likely to overstate assets and income is -


182) Prudence principle is an exception to -


183) Stock is valued at cost or market value, whichever is less, is based on----------


184) Policy of making provision for all possible losses and not for profits is followed


185) According to the Convention of Conservatism assessment of the stock of the business is done -


186) According to which of the following Conventions, Secret Reserves are not permitted ?


187) Provision for bad and doubtful debts is created in anticipation of actual bad debts on the basic of ?


188) Under which of the following Conventions, the practice of Window Dressing is prohibited ?


189) Window dressing of Accounts means -


190) If the principle of conservatism is stretched without reservation, it may result in :


191) The application of principle for Inventory Valuation at Cost Price or market price, whichever is lower,will result in the valuation of Inventory something at lost price and at other times at the market price. This is an application of Principle of


192) Which of the following statement is correct ?


193) Which of the following is/are an example of application of conservatism concept ?


194) In which the following situations the principle of conservatism is applied -


195) During the life-time of an entity accounting produce financial statements in accordance with which basic accounting concept -


196) When applied to the balance-sheet, the convention of conservatism result in -


197) Making the provision for doubtful debts in anticipation of actual bed debts is no the basic of -


198) The use of an accelerated method of depreciation is based of -


199) The Convention of ---------- is the common rule of acting prudently, carefully or cautiously


200) If a company fails to make mention of a major law suit filed against it, which it might well lose, the accounting principle violated is that of.


201) Accounting policy for Inventories of Xeta Enterprise states that inventories are valued at the lower of the cost determined on weighted average basic or Net realizable value. Which accounting principle is following in adopting the above policy ?


202) The cost of a stationery is accounted as an expense and not shown as an asset in a financial statement of a business entity due to----------


203) Insignificant events are not recorded in the books of accounts with due regard to


204) The convention of -------- is the common rule following by all accounting of separately recording the material detail of business transaction


205) The important item, should be recorded and reported separately, according to the Accounting concept of-


206) The verifiable objective evidence concept envisages the recording of all accounting transactions.


207) Accounting has certain norms to be observed by the accounting in recording in transaction on preparation of financial statements These norms reduce the vegueness and chances of misunderstanding by harmonizing the varied accounting parctices. these norms are


208) According Standards refer to specific Accounting -


209) Objective of Accounting Standards is-


210) Accounting Standards are to be used -


211) Accounting Standards --------- the statue -


212) It is essential to standardize the accounting principle and policies in order to ensure


213) Which of the following is one of the advantages of accounting Standards?


214) Which are limitations of Accounting Standards -


215) Accounting Standards give the disadvantages by -


216) The number of accounting standards issued by the Institute of Chartered Accountants of India till 31.03.2010


217) Revenue is generally considered as realized


218) Which of the following statement shows the details of Cash generating and utilization activities of a Company during a given of time ?


219) NACAS stands for -


220) Which of the following Statements is true?


221) Which of the following bodies are not represented in ASB?


222) Which of the following bodies is represented in ASB ?


223) IASB stands for -


224) The Accounting Standards are mandatory for -


225) Select the correct statement-


226) Accounting standards issued by the Institute of Chartered Accountants of India are mandatory to which of the following-


227) A change in the accounting policy should be made if the adoption of a different accounting policy is required -


228) Which of the following is one of the major considerations governing the selection and application of accounting policies ?


229) Accounting policies followed by the companies are -


230) If the change in the accounting policy has a material effect in the current put which is reasonably expected to have material effect in the letter periods -


231) In which of the following areas different accounting policies may be adopted by different enterprises -


232) Which of the following statements is correct ?


233) Selection of inappropriate accounting policy decision may -


234) Accounting policies -


235) Following is an example of accounting policy -


236) If Fundamental Assumptions are not followed, the fact should be disclosed as per -


237) As per AS-1, the fact must be disclosed with person in the financial statements if the following concept is not followed


238) Accounting Standard (AS)-1 is -


239) Purpose of AS-1 is to establish a standard as to -


240) AS-1 require the significant accounting policies -


241) As per AS-1, Fundamental Accounting Assumptions should


242) Accounting to AS-1, Disclosed should be made for -


243) Accounting to AS-1, disclosed should form part of -


244) Accounting to AS-1, Disclosed should be made -


245) Which of the following is not valuation principles -


246) In Accounting Money is the -


247) Money is a measurement scale and has a universal denomination -


248) Estimated selling price less estimated cost of sales is -


249) The accounting measurement that is not consistent with the going concern concept is


250) Gross Book Value of a Fixed Asset is its -


251) ABC Ltd. Purchased a building by paying Rs. 50,00,000 as on 1st April, 2000. On 1st April, 2008 it found that it would cost Rs. 1,50,00,000 to purchase that similar building. This value of Rs. 1,50,00,000 is known as -


252) There are--------- generally accepted measurement bases or valuation principles -


253) The primary qualities that make accounting information useful for decision making are :


254) What is the amount of profit added to the Capital?
Capital as on 1.4.10 Rs. 90,000
Capital introduced Rs. 25,000
Drawings made Rs. 35,000
Capital as on 31.3.11 Rs. 1,25,000


255) Calculate the closing capital from following details -
(a) Suresh commenced business with cash Rs.36,000
(b) Paid rent in advance Rs. 300
(c) Purchased for cash Rs. 18,000 and credit Rs.12,000
(d) Sold goods for cash Rs. 18,000 costing Rs.12,000
(e) paid salary Rs. 300 and salary outstanding Rs. 60
(f) Bought motorcycle foe personal use Rs. 3,000


256) Calculate the total assets from the following details -
(a) X invested Rs. 9,000 in cash
(b) Purchased securities for Rs. 4,500 in cash
(c) Purchased a home for staff Members Rs.9,000 giving Rs. 3,000 in cash and balance through a loan
(d) Sold securities costing Rs. 600 for 900
(e) Purchased an old car for Rs.1,600 in cash
(f) Received cash as salary Rs. 2,160
(g) Paid Rs. 300 for loan and Rs. 180 for interest
(h) Paid cash for household expenses Rs. 180
(i) Received cash for dividend on securities Rs.120


257) Calculate closing capital from the following details -
(a) Shri Ram commenced business with Rs. 30,000
(b) Paid rent in advance Rs. 1,200
(c) Purchase a typewriter for Rs. 4,200
(d) Bought furniture from M/s Mohan Furnitures on credit for Rs. 1,800
(e) Purchased goods from Sohan for Cash Rs.21,000
(f) Sold to Shyam for cash Rs. 24,000 ( costing Rs. 18,000)
(g) Bought goods from Ramesh for Rs. 18,000
(h) Sold to Shyam costing Rs. 18,000 for Rs. 30,000
(i) Purchased household goods for Rs. 9,000 giving Rs. 3,000 in cash and the balance through a loan
(j) Goods lost by fire (cost Rs. 300, Sale Price Rs 360)
(k) paid half the amount owed to Mohan Furniture
(l) Paid cash Rs. 300 for loan and Rs. 180 for interest
(m) withdrew goods for self use (Sale Rs. 366, Rs. 360)
(n) received Rs. 29,700 from Shyam in full settlement
(o) Paid Rs. 17,820 to Ramesh in full settlement
(p) Paid salary Rs. 300 and Salary outstanding Rs. 60
(q) Charged depreciation of Rs.180 on furniture and Rs. 60 on typewriter


258) Capital of business is Rs. 75,000 and Liability is Rs. 25,000, then total assets of business would be -


259) The total assets of business is Rs. 1,30,000 and creditors is Rs. 60,000. Other liabilities of the business will amount to :


260) If Assets - Rs.36,000, Liabilities - Rs. 15,000, Capital is


261) If Capital is Rs. 15,000 and liabilities are Rs. 18,000 then the total Assets are


262) If total assets are Rs. 42,000 and capital is Rs. 27,000 then liabilities are


263) Opening Capital - Rs. 6,000; Profit - Rs. 3,000; Drawings - Rs. 1,200; Fresh Capital - Rs. 600; Closing Capital - ?


264) If the capital on the last day of the year is Rs.12,000; loss during the year is Rs.(600); drawings during the year are Rs. 1,800 and fresh capital introduced during the year is Rs. 2,400 then what is the amount of capital on the first day of the year -


265) Capital on the first of year the day = Rs.6,000
Capital on the last day of year = Rs. 12,600
Drawing on the last day of year = Rs. 1,200
Fresh capital introduction = Rs. 6,000
Profit /(Loss) for the year =?


266) If Capital on 1-1-09 = Rs.12,000
Capital on 31-12-09 = Rs. 6,000
Profit / (Loss) during the year = Rs. 3,000
Fresh Capital introduced = Rs. 600
Then the amount of drawings


267) What is the correct amount of profit to be reported in the books?


268) Which measurement base should be followed in the statement (iv) ?


269) Which concept should be followed in statement (ii)?


270) Which concept should be followed in statement (iii)?


271) If capital of M/s XYZ and Co. on the first and last day of the accounting year is Rs. 18,000 and Rs. 9,000 respectively. Profit/(Loss) for the year is Rs. (4,800) and Goods or cash withdrawn by partners from business were Rs. 4,200 then the amount of fresh introduced by partners is -


272) Mrs. X commenced chocolates business on 31st Jan. 2009 with a capital of Rs. 18,000. On 31st Dec. 2009 her assets were worth Rs. 30,000 and liabilities of Rs.6,000. Find out her closing capital and profit earned during the year -


273) If the capital of a business is Rs. 42,000 and liabilities are Rs. 24,000. Calculate Total assets


274) T. Harikrishna stared a business on 1.1.2009 with a capital of Rs. 10,00,000 and a loan of Rs. 5,00,000 borrowed from Balakrishna. On 31st Dec. his assets were Rs.30,00,000. Apart from loan, Harikrishna owner Rs. 2,50,000 to Kalkrishna (supplier of goods). Find out his capital on 31.12.2009 and profit -


275) Chang started a business on 1.1.2009 with a capital of Rs.6,000 and a loan of Rs.13,000 borrowed from yang. During the year he made a profit of Rs. 3,000. His capital and Assets on 31-12-09 -


276) Shyam started a business on 1.1.2009 with a capital of Rs. 60,000 and a loan of Rs. 13,000 borrowed from Mohan. He introduced additional capital of Rs. 30,000. Drawings made by him were Rs. 18,000. He made a profit of Rs. 30,000 Total Capital and Assets will be -


277) On 31-12-2009 the total Assets and external liabilities were Rs. 30,000 and 900 respectively. During 2004 the Proprietor earned Rs.3,000. Capital on 1-1-2009 was -


278) If in the preceding case the proprietor had introduced additional Capital Rs. 3,000 and had withdrawn Rs.1,800 for personal purposes, capital on 1-1-2009 was -


279) On 31-12-2009, Total Assets and Capital were Rs. 50,000 and Rs.35,000 respectively. Find out the amount of liabilities as on 31-12-2009


280) On 1-1-2009 Tulsi stated a business with a capital of Rs.10,000 and loan of Rs.5,000 borrowed from her husband Mihir. During 2009, she earned a profit of Rs.5,000. On 31-12-2009 the total assets were Rs. 50,000. Find out liabilities on 31-12-2009 -


281) On 1-1-09, Manoj stared a business with Rs. 10,000 and a loan of Rs.5,000 borrowed from Kannoj.During the year, he earned a profit of Rs.5,000; introduced further capital of Rs. 6,000 and withdrawn Rs. 3,000 for personal use. On 31-12-09 the total assets were Rs.50,000.Find out liabilities on 31-12-2009 -


282) Account payable of Taal


283) Office equipment of Maal


284) Capital of Bant


285) _______is used by business entities for keeping records of their monetary or financial transactions.


286) Accounting is an art of recording,classifying and summarizing in a signification manner and in terms of money,transactions and events which are in part at least of a financial character and interpreting the result there of this definition is given by ____________


287) Which of the following is attribute/s of accounting ?


288) _________is the language of business and used to communicate financial and other information to different interested like creditors,investors,researchers,governments etc.


289) Accounting is __________


290) Accounting involves___________


291) _________means systematically writing down the transaction and events in account books soon after their occurrence.


292) _______is the process of grouping transaction or entries of the same type at one place.


293) __________involves the preparation of reports and statements from the classified data under-standable and useful to management and other interested parties.


294) The statements prepared by the summarizing pro-cess is known as_____which will show the profit or loss made by the business over a period of time and the total capital employed in the business.


295) Accounting records only those transactions and events which are of________


296) Which of the following is/are the branch of accounting ?


297) which of the following is/are not the branch of accounting ?


298) Which of the following is the branch of accounting ?


299) Which of the following is/are the main function of accounting ?


300) Which of the following is/are the main function of accounting ?


301) Which of the following is/are the advantage of accounting ?


302) Which of the following is/are the advantage of accounting ?


303) Which of the following is/are NOT the advantages of accounting ?


304) Which of the following is/are NOT the advantages of accounting ?


305) Which of the following is/are the limitations of accounting ?


306) Which of the following is/are not limitation of the accounting?


307) Which of the following is/are the limitations of accounting ?


308) ________is mainly concerned with recording of financial data relating to the business operation in a significant and orderly manner.


309) ________Covers procedural aspects of accounting work and includes record keeping function.


310) Book-keeping is concerned with the_______of transaction while accounting is concerned with the_______of the recorded transactions.


311) _______constitutes the base for accounting.


312) Financial statement do not form part of book keeping.


313) Financial position of the business is ascertained on the basis of____


314) _________it is a system in which accounting entries are made only when cash is received or paid.


315) __________is a system in which transaction are recorded on the basis of amounts having become due for payment or receipt.


316) which of the following has no relevance whether the receipts pertain to previous period or future period ?


317) _________is incompatible with the matching principle income determination.


318) _________attempt to record the financial effects of the transaction,events,and circumstances of an enterprise in the period in which they occur rather than recording them in period in which cash is received or paid by the enterprise.


319) Cash system of accounting is suitable in which of the following cases ?


320) Doctor,lawyers,firms of chartered accountants/company secretaries generally follows______of accounting.


321) which of the following is/are the essential features of accrual basis of accounting ?


322) Accounting is of primary importance to the______


323) Financial statements can be used by_______


324) which of the following are internal users of accounting information's ?


325) which of the following is/are external users of accounting information's ?


326) which of the following would be considered as external users of accounting information's ?


327) Select the odd one in relation to users of accounting information's ?


328) Regulatory agencies interested as users of accounting information's includes______


329) Which of the following is/are characteristics of accounting information ?


330) Which of the following is/are characteristics of accounting information ?


331) Which of the following is/are not characteristics of accounting information ?


332) Which of the following is/are characteristics of accounting information ?


333) Which of the following is/are can be treated as role of accountant ?


334) Which of the following is/are cannot be treated as role of accountant ?


335) Which of the following is/are can be treated as role of accountant ?


336) Which of the following accounting equation is correct ?


337) Which of the following equation is correct ?


338) Which of the financial statement represents the accounting equation ?


339) Mr.Ashok buys clothing of Rs.50,000 paying cash Rs.20,000.What is the amount of expense as per the accrual concept ?


340) Capital -Rs.1,00,000 outsiders liability-Rs.2,50,000,Total assets= ?


341) Fixed assets-Rs.5,50,000,current assets - Rs.2,25,000, current liabilities - Rs.1,50,000, bank loan - Rs.1,75,000. Capital = ?


342) Current Assets - Current Liabilities = ?


343) According to_______dictionary for accountants,an account has been defined as a formal record of a particular type of transaction expressed in money.


344) An account recording transaction with an individual human being is termed as a_____


345) An account recording financial transaction with an artificial person created by law or otherwise by law or otherwise are termed as______


346) Account which represent a certain person or group of persons are termed as______


347) Kamal's account, Mala's account,Sharma's accounts are example of__________


348) Firm's accounts,limited companies accounts,educational institutions accounts,co-operative society account are example of______


349) _____ is root cause for financial accounting?


350) Purchases during the year were 200,000.Expenses amounted to 20,000. Sales were 250,000,The calculated profits for year Rs. 30,000.The followed the concept of:


351) Which of the following is correct?


352) The process of recording financial data upto trial balance is _____


353) Government raised funds through taxes and spent them for the public expenditure. The deficit or surplus at the end of the year is


354) A trader has made a sale of Rs. 75,500 out of which cash sales amounted to Rs. 25,500. He showed trade receivables on 31-3-2014 at Rs. 25,500. Which concept is followed by him?


355) Which of the following is an event?


356) Interest on drawing is charged from owner as per:


357) The concept of conservatism when applied to the Balance Sheet results in


358) In which of the following cases, accounting estimates are needed?


359) The purposes of an accounting system include all of the following except -


360) Interpretation means


361) Which accounting concept satisfy the valuation criteria _____


362) Financial position of the business is ascertained on the basis of