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McqMate
Chapters
1. |
The form of balance sheet is……………….. |
A. | Vertical |
B. | Horizontal |
C. | Horizontal and vertical |
D. | None of the above |
Answer» C. Horizontal and vertical |
2. |
The term current asset doesn’t cover |
A. | Car |
B. | Debtors |
C. | Stock |
D. | Prepaid expenses |
Answer» A. Car |
3. |
P&L statement is also known as |
A. | Statement of operations |
B. | Statement of income |
C. | Statement of earnings |
D. | All of the above |
Answer» B. Statement of income |
4. |
Which of the following is true about financial statements? I)Financial statement gives a summary of accounts. II) Financial statements can be stated as recorded facts. |
A. | Only I |
B. | Only II |
C. | Both I andII |
D. | None of the above |
Answer» C. Both I andII |
5. |
The statement of financial position and the balance sheet are synonyms |
A. | True |
B. | False |
C. | none |
D. | none |
Answer» A. True |
6. |
Which of the following statements are true? I) Financial statements are only interim report. II) Financial statements are also known as annual records. III) Financial statements are historic. |
A. | Both I and II |
B. | Both I and III |
C. | Both II and III |
D. | I, II, III |
Answer» C. Both II and III |
7. |
Certain assumptions are essential to prepare financial statements. |
A. | True |
B. | False |
C. | none |
D. | none |
Answer» A. True |
8. |
Premium received on issue of shares cannot be utilised for ---------. |
A. | for the issue of bonus shares . |
B. | for writing of preliminary expenses |
C. | for providing premium payable on redemption |
D. | for distribution of dividend. |
Answer» D. for distribution of dividend. |
9. |
In case of public limited company, after getting the-----------the company can start the business |
A. | Memorandum of Association |
B. | Table A |
C. | Certificate of commencement of business |
D. | Articles of Association |
Answer» C. Certificate of commencement of business |
10. |
Trade Payables are recorded in…………………. |
A. | Current Liabilities |
B. | Current Assets |
C. | Equity |
D. | Inventories |
Answer» A. Current Liabilities |
11. |
In company Final Accounts Goodwill is shown under…………… |
A. | Current Liabilities |
B. | Current Assets |
C. | Fixed Assets |
D. | Inventories |
Answer» C. Fixed Assets |
12. |
Dividend is payable on the amount of………………………….. |
A. | Profit |
B. | Reserves |
C. | Loss |
D. | Income |
Answer» A. Profit |
13. |
The dividend paid between two annual general meeting is known a………………………. |
A. | Final dividend |
B. | Ex Dividend |
C. | Interim Dividend |
D. | Dividend |
Answer» C. Interim Dividend |
14. |
Unclaimed dividend recorded on the…………………….. the balance sheet. |
A. | Liability |
B. | Assets |
C. | Credit |
D. | Debit |
Answer» A. Liability |
15. |
A liability which can be measured only by using a substantial degree of estimation is called………………………. |
A. | Contingent liabilities |
B. | Contingent Assets |
C. | Fixed Assets |
D. | Non Current Liabilities |
Answer» A. Contingent liabilities |
16. |
Unquoted shares means………………………. |
A. | Listed Shares |
B. | Quoted Shares |
C. | Unquoted Shares |
D. | Unlisted Shares |
Answer» D. Unlisted Shares |
17. |
Bills receivable is ……………………..assets. |
A. | Current |
B. | Non - current |
C. | Fixed Assets |
D. | Investment |
Answer» A. Current |
18. |
The amount of profit kept a side to maintain uniform rate of dividend is called……………… |
A. | Ex Dividend |
B. | Final Dividend |
C. | Undistributed Dividend |
D. | Dividend |
Answer» C. Undistributed Dividend |
19. |
Director’s remuneration shall not exceed ………………. % of the net profits. |
A. | 10% |
B. | 20% |
C. | 15% |
D. | 13.333% |
Answer» A. 10% |
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