When benefit of a revenue expense extend beyond an accounting year, it is called

Related MCQs

• Accounting procedures and accounting practices should remain same from year to year under which of the following accounting principles:
• Which of the following statements is true with regard to written down value method of depreciation? i. The rate at which the asset is written off reduces year after year ii. The amount of depreciation provided reduces from year to year iii. The rate of depreciation as well as the amount of depreciation reduce year after year iv. The value of the asset gets reduced to zero over a period of time
• Which of the following is true statement for computerised accounting system? a. the computer accounting system is based on the concept of database. b. Computer accounting system does not away with the concept of creating and maintaining journals, ledger etc.
• AB Ltd. has signed at 31st December, 2017 the Balance Sheet date, a contract where the Total Revenue is estimated at ` 15 Crores and Total Cost is estimated at ` 20 Crores. No work began on the contract. Is the Contractor required to give any accounting effect for the year ended 31st December, 2017?
• General rules that are used as a guide in accounting and as a basis of accounting practices are called:
• The out flow of funds to acquire an asset that will benefit the business for more than one accounting period is referred to as —
• The out flow of funds to acquire an asset that will benefit the business for more than one accounting period is referred to as:
• In accounting revenue is generally treated to be realized when goods or services are:
• P & L Account is prepared for a period of one year by following [Hints: (c) P&L A/C is prepared for a period of one year by following the concept of Accounting Period.]
• The accounting process of gradually converting the unexpired cost of fixed assets into expenses over a series of accounting periods is