McqMate
Chapters
| 1. |
………….method of branch accounting is usually adopted when the branch is of the small size. |
| A. | Treading. |
| B. | Balance sheet |
| C. | memorandum |
| D. | debtors |
| Answer» D. debtors | |
| 2. |
The normal and abnormal stock of goods doesn’t appear in branch account as the closing stock is at the…………….figure. |
| A. | Adjusted |
| B. | profit. |
| C. | balance. |
| D. | loss |
| Answer» A. Adjusted | |
| 3. |
Stock and Debtors method of branch accounting is generally used where branch turnover is substantially |
| A. | loss |
| B. | lower |
| C. | High. |
| D. | Profit |
| Answer» C. High. | |
| 4. |
Loading on surplus in stock is………….to Branch Adjustment Account. |
| A. | debit. |
| B. | credit. |
| C. | liability. |
| D. | treading |
| Answer» B. credit. | |
| 5. |
Under Stock and Debtors System general income is credited to ………..account |
| A. | balance sheet |
| B. | branch stock account |
| C. | stock and Debtor System |
| D. | branch profit and loss |
| Answer» D. branch profit and loss | |
| 6. |
In Branch Accounting the balance on stock reserved Account at the end of the period is shown in the balance sheet by the way of deduction from |
| A. | opening stock. |
| B. | reserved stock. |
| C. | closing stock. |
| D. | profit or loss |
| Answer» C. closing stock. | |
| 7. |
Goods sent by the head office at the end of the year but not received by Branch before the year ended is known as |
| A. | goods in transit |
| B. | loss by fire |
| C. | shortage. |
| D. | loss |
| Answer» A. goods in transit | |
| 8. |
The closing balance of book debts account is ascertained by preparing branch ………………Account. |
| A. | stock |
| B. | trading. |
| C. | Debtors |
| D. | adjustment |
| Answer» C. Debtors | |
| 9. |
The removal of loading from the items of branch stock is adjusted through branch……………..Account |
| A. | adjustment |
| B. | debtor. |
| C. | Stock |
| D. | profit and loss |
| Answer» A. adjustment | |
| 10. |
A ………………is generally a physical part of the business established under the same roof. |
| A. | Surplus. |
| B. | Depreciation |
| C. | Department |
| D. | Surplus |
| Answer» C. Department | |
| 11. |
A……………..system of departmental account is more convenient where the number of department are very small |
| A. | Mutual. |
| B. | Branch. |
| C. | Debtor’s. |
| D. | Profit and loss |
| Answer» A. Mutual. | |
| 12. |
All items of stock in Trading and Profit and loss Account are to be converted into cost price if these are given at an _ |
| A. | Profit ratio. |
| B. | market price |
| C. | Balance. |
| D. | Invoice price |
| Answer» D. Invoice price | |
| 13. |
Foreign Branch almost invariably trade independently and records their transaction in |
| A. | cost price |
| B. | Market value |
| C. | Foreign currency |
| D. | invoice price |
| Answer» C. Foreign currency | |
| 14. |
To fulfill the audit requirements under section of the company act 1956 |
| A. | (B) 156 |
| B. | 228 |
| C. | (a) i 30. |
| D. | 200 |
| Answer» B. 228 | |
| 15. |
The branches which are totally dependent on head office are also termed as Agency Branches. |
| A. | True |
| B. | False |
| C. | may be false |
| D. | may be a |
| Answer» A. True | |
| 16. |
The independent branches are autonomous as they are allowed to make their own purchases from open markers and pay for their expenses. |
| A. | true |
| B. | false |
| C. | may be false |
| D. | both a and b |
| Answer» A. true | |
| 17. |
Actual petty expenses paid by branch from petty cash are to br shown separately in Branch Account. |
| A. | true |
| B. | false |
| C. | both a and b |
| D. | none of the above |
| Answer» A. true | |
| 18. |
The method of Branch Accounting varies with the nature and the status of branch. |
| A. | true |
| B. | false |
| C. | neither true nor false |
| D. | none of the above |
| Answer» A. true | |
| 19. |
Dependent branch doesn’t keep any book of account as their entire Accounting work is performed by the head office. |
| A. | true |
| B. | may be false |
| C. | neither true nor false |
| D. | may be true |
| Answer» A. true | |
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