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This section includes 7 InterviewSolutions, each offering curated multiple-choice questions to sharpen your Current Affairs knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
Sale of goods to Ram for cash is debited toA. RamB. Cash A/cC. Sales A/cD. None of these |
| Answer» Correct Answer - B | |
| 2. |
Salaries Account isA. an Expense AccountB. an Asset AccountC. a Liability AccountD. None of these |
| Answer» Correct Answer - A | |
| 3. |
Bank account is aA. Personal AccountB. Real AccountC. Nominal AccountD. None of these |
| Answer» Correct Answer - A | |
| 4. |
Drawings Account is aA. Personal AccountB. Real AccountC. Nominal AccountD. None of these |
| Answer» Correct Answer - A | |
| 5. |
Ajay , a dealer in furniture , received advance against sales of tables and chairs . In your opinion how should this advance be treated and why ? |
| Answer» The advance received should be treated as a liability because Ajay has not yet made the sales . | |
| 6. |
Outstanding salary is aA. Real AccountB. Personal AccountC. Nominal AccountD. None of these |
| Answer» Correct Answer - B | |
| 7. |
Rent is paid for the month of April , 2019 in March , 2019 . The accounting year ended on 31st March , 2019 . The accountant has shown it on the assets side of the Balance Sheet. Has he given the correct treatment ? Give reasons. |
| Answer» Yes , the accountant has given the correct treatment because rent for April , 2019 is a Prepaid Expense for the year ended 31st March , 2019 . Prepaid expenses are shown as an asset in the Balance Sheet. | |
| 8. |
Sundry Creditors Account is aA. Revenue AccountB. Capital AccountC. Liability AccountD. None of these |
|
Answer» Correct Answer - C Liability Account |
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| 9. |
Which of the following accounts has a credit balance ?A. Carriage InwardB. Discount ReceivedC. Carriage AccountD. Discount Allowed |
|
Answer» Correct Answer - B Discount Received |
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| 10. |
Nominal Accounts are related toA. Assets and LiabilitiesB. Expenses and RevenueC. Debtors and CreditorsD. None of these |
| Answer» Correct Answer - B | |
| 11. |
What is the rule for Expense Account ? |
| Answer» The rule for Expenses Account is Increases in expenses are debited and decreases are credited. | |
| 12. |
An increase in which of the following account will be recorded on the debit side ?A. Building AccountB. Capital AccountC. Bills Payable AccountD. Rent Received Account |
| Answer» Correct Answer - A | |
| 13. |
Sales Account is aA. Revenue AccountB. Liability AccountC. Capital AccountD. None of these |
| Answer» Correct Answer - A | |
| 14. |
Goodwill account is aA. Personal AccountB. Real AccountC. Nominal AccountD. None of these |
| Answer» Correct Answer - B | |
| 15. |
What does debit in an Expense Accounts signify ? |
| Answer» A debit in an Expense Account means the amount of expense incurred by the firm under that head of account . | |
| 16. |
Balance of Capital Account is shown asA. Capital AccountB. Liability AccountC. Revenue AccountD. None of these |
| Answer» Correct Answer - A | |
| 17. |
Capital Account is aA. Natural Personal AccountB. Artifical Personal AccountC. Representative Personal AccountD. None of these |
| Answer» Correct Answer - A | |