MCQS on Accounts -B.COM ,M.COM, NET/SET
Q1:- What is the main purpose of financial accounting?
- Organise financial information
- Minimize company tax
- Provide useful, financial information to outsiders
- None of the above
Ans:- Provide useful, financial information to outsiders
Q2:-What is the method of summarising and classifying the record of financial transactions in monetary terms?
- Cost Accounting
- Book Keeping
- Accountancy
- None of the above
Ans:- Accountancy
Q3:- Identify the correct sequence of accounting process:-
- communicating-Recording-Identifying
- Identifying-Recording-communicating
- Recording-communicating-identifying
- None of the above
Ans:- communicating-Recording-Identifying
Q4:- Only significant events which affect the business must be recorded as per the principle of:
- Separate Entity
- Going Concern
- Materiality
- None of the above
Ans:- Materiality
Q5:- Who is regarded as the “Father of Accounting”?
- Philip Kotler
- F.W Taylor
- Luca Pacioli
- None of the above
Ans:-Luca Pacioli
Q6:- Accounting means recording of:
- Transactions
- Events
- Both 1&2
- None of the above
Ans:- Both 1&2
Q7:- International Accounting Committee was formed in the year.
- 1949
- 1973
- 1980
- 1917
Ans:- 1973
Q8:- Valuation of Inventories is described by:
- AS-6
- AS-2
- AS-4
- AS-10
Ans:- AS-2
Q9:- Accounting is a language of:
- Business
- Liabilities
- Assets
- None of the above
Ans:-Business
Q10:- International Accounting Standard Board (IASB) was founded on:
- 1 April,2001
- 4 April 2012
- 8 April 1956
- 12 April 1956
Ans:- April,2001
Q11:- The word ‘AUDIT’ has been derived from the word:
- Audible
- Audire
- Audio
- None of the above
Ans:- Audire
Q12:- A Voucher is:
- A book of account
- A documentary evidence in support of a transaction
- A transaction
- None of the above
Ans:- A documentary evidence in support of a transaction.
Q13:- ‘Bank of Last Resort’ represents:
- RBI
- BOI
- UBI
- None of the above
Ans:- RBI
Q14:- Current ratio is the relation between:
- Current asset and Investment
- current asset and Net profit
- current asset and fixed asset
- None of the above
Ans:-None of the above
Q15:- Shareholders are:-
- Employees of the company
- Officers of the company
- Owners of the company
- None of the above
Ans:- Owners of the company
Q16:-Shares can be forfeited due to:
- Non-payment of Bank loan
- Non-payment of call money
- Failure to attend meeting
- None of the above
Ans:- Non-payment of call money
Q17:- A Company is :
- A club
- An artificial person
- A natural person
- None of the above
Ans:- An artificial person
Q18:- Profits on revaluation of assets and liabilities is shared by the old partners in :-
- Gaining ratio
- Old ratio
- New ratio
- None of the above
Ans:- Old ratio
Q19:- The minimum number of partners in a firm is:
- Two
- Three
- Six
- One
Ans:- Two
Q20:- Accounting standard-3 describes:
- Cash flow statement
- Income statement
- Funds flow statement
- None of the above
Ans:- Cash flow statement
Q21 :- Profit & loss Account is also Known as:
- Income & Expenditure Account
- Cash flow statement
- Position statement
- None of the above
Ans:- Income & Expenditure Account
Q22:- In which Section the definition of partnership is given under the Partnership Act?
- Section 4
- Section 9
- Section 6
- Section 2
Ans:- Section 4