When a branch purchases fixed assets and the assets account is to be kept in the books of the head office, the branch makes the following entry

Related MCQs

• A few errors committed in Ahhiwalia's books of account are given below. State which errors would affect the Trial Balance. (a) Sales of `950 to Ram completely omitted from books of account (b) Purchases of `720 from Shyam entered in the purchases journal as `700 (c) Purchases Journal is overcast by `1,000 (d) Sales returns journal is undercast by `200 (e) Amount paid to Agarwal wrongly posted to the debit to Mittal's account (f) Bank overdraft shown under debit column in the Trial Balance (g) Sales of `500 to Sadiq entered in sales journal as sales to Mushtaq (h) Wages paid for installation of machinery debited to wages account
• Which of the following statements is/are true? (i) Drawings Account is a Nominal Account (ii) Capital Account is a Real Account (iii) Sales Account is a Nominal Account (iv) Outstanding salaries account is a Nominal Account (v) Patents Account is a Personal Account
• Goods sent by the head office to the branch but not received by the branch before the close of financial year are credited by head office to
• _________ represents goods sent by head office to the branch or by the branch to the head office but not received by other
• For depreciation on fixed assets, whose accounts are maintained by the head office, the head office
• The Head office account in the books of branch is debited with
• Cash remitted by branch but not received by the head office is debited by the head office to _____
• In the books of the drawer, the accounting treatment involved on receipt of a bill of exchange duly accepted by the drawee is i. Debit Bills Receivable Account ii. Debit Drawee‘s Account iii. Credit Drawee‘s Account iv. Credit Sales Account
• When Branch assets a/c is kept in the books of H.O., the H.O. will debit following a/c for its depreciation-
• R Ltd. makes purchases on credit. If the purchases are not as per the specifications, the company returns them to the suppliers. The book, that is used to record such returns is