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This section includes InterviewSolutions, each offering curated multiple-choice questions to sharpen your Class 11 knowledge and support exam preparation. Choose a topic below to get started.
| 1701. |
Following balances were extracted from the books of Shri S. Pal on 31st March, 2019. You are required to prepare a Trial balance. The amount requirdto balance should be entered as capital. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/TSG_ACC_XI_C13_S01_008_S01.png" width="80%"/></body></html> | |
| 1702. |
Following balances appeared in the books of Ashok,Delhi on 1st April, 2019: Assets : Cash ₹ 50,000,Stock ₹ 30,000, Machinery ₹ 60,000. Liabilities : Creditor- Rajest ₹ 30,000. The following transactions took place in April, 2019 : CGST and SGST @ 6% each is levied on intra-state transactions nad IGST is levied @ 12% on inter-state transactions. Transactions maked with (*) are not subject ot levy of GST. Pass Journal entries for the above transactions, post them into the Ledger and prepare the Trial Balance on 30th April, 2019. |
| Answer» <html><body><p><br/></p><a href="https://interviewquestions.tuteehub.com/tag/answer-15557" style="font-weight:bold;" target="_blank" title="Click to know more about ANSWER">ANSWER</a> :<a href="https://interviewquestions.tuteehub.com/tag/trail-1425183" style="font-weight:bold;" target="_blank" title="Click to know more about TRAIL">TRAIL</a> <a href="https://interviewquestions.tuteehub.com/tag/balance-891682" style="font-weight:bold;" target="_blank" title="Click to know more about BALANCE">BALANCE</a> Total-₹1,80,574</body></html> | |
| 1703. |
Following balances are taken from the books of Niranjan. Prepare Trading and Profit and Loss Account and Balance Sheet for the year ended 31st March 2019. Adjustments: (i) Closing Stock Rs 7,50,000. Depreciate Machinary by 10% and Furniture by 20%. (iii) Wages Rs 50,000 and salaries Rs 20,000 are outstanding . (iv) Write off Rs 50,000 as further Bad debts and create 5% Provision for Doubtful Debts. Also create a reserve for discount on Debtors @ 2%. (v) Investments were made on 1st July 2018 and no interest has been received so far. |
| Answer» <html><body><p><br/></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/na-572417" style="font-weight:bold;" target="_blank" title="Click to know more about NA">NA</a></body></html> | |
| 1704. |
Following balances are taken from the Trial Balance of a trader as at 31st March, 2019: You are required to show extracts of Profit and Loss Account for the year ending 31st March, 2019 and from the Balance Sheet as on that date after taking into consideration the following: (i) Make a Provision for Doubtful Debts @3% of the Sundry Debtors. (ii) Make a Provision for Discount on Debtors @2%. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> : <img src="https://d10lpgp6xz60nq.cloudfront.net/physics_images/TSG_ACC_XI_C19_S01_014_S01.png" width="80%"/> <br/> Notes: <br/> 1. Bad Debts appearing in the Trial Balance has already been <a href="https://interviewquestions.tuteehub.com/tag/adjusted-7661905" style="font-weight:bold;" target="_blank" title="Click to know more about ADJUSTED">ADJUSTED</a> in the Sundry Debtors. <br/> <a href="https://interviewquestions.tuteehub.com/tag/2-283658" style="font-weight:bold;" target="_blank" title="Click to know more about 2">2</a>. Closing (New) Provision for Doubtful debts is <a href="https://interviewquestions.tuteehub.com/tag/less-1071906" style="font-weight:bold;" target="_blank" title="Click to know more about LESS">LESS</a> than the opening (old) provision for doubtful debts after <a href="https://interviewquestions.tuteehub.com/tag/adjustment-18695" style="font-weight:bold;" target="_blank" title="Click to know more about ADJUSTMENT">ADJUSTMENT</a> of bad debts, the difference, i.e., Rs 1,000 is credited to Profit and Loss Account.</body></html> | |
| 1705. |
Following balances appear in the Trial Balance of a firm as on 31st March, 2019: Prepare Trading Account of the firm |
| Answer» <html><body><p><br/></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/freight-999820" style="font-weight:bold;" target="_blank" title="Click to know more about FREIGHT">FREIGHT</a> <a href="https://interviewquestions.tuteehub.com/tag/outwards-1143324" style="font-weight:bold;" target="_blank" title="Click to know more about OUTWARDS">OUTWARDS</a> beings an indirect expense is <a href="https://interviewquestions.tuteehub.com/tag/shown-1206565" style="font-weight:bold;" target="_blank" title="Click to know more about SHOWN">SHOWN</a> in Profit and Loss <a href="https://interviewquestions.tuteehub.com/tag/account-25640" style="font-weight:bold;" target="_blank" title="Click to know more about ACCOUNT">ACCOUNT</a></body></html> | |
| 1706. |
Following are the balances extracted from the books Naraina on 31st March, 2019: Additional Information : (i) Closing Stock at cost as on 31st March, 2019 was Rs 2,00,600, whereas its Net Realisable Value (Market value) was Rs 2,05,000. (ii) Depreciate : Business Premises by Rs 3,000 and Furniture and Fittings by Rs 2,500. (iii) Make a provision of 5% on debtors for doubtful debts. (iv) Carry forward Rs 2,000 for unexpeired insurance. (v) Outstanding salary was Rs 15,000. |
| Answer» <html><body><p><br/></p>Solution :1. <a href="https://interviewquestions.tuteehub.com/tag/closing-919708" style="font-weight:bold;" target="_blank" title="Click to know more about CLOSING">CLOSING</a> Stock will be taken at Rs 2,00,600, being lower of <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a> and Net Realisable Value (<a href="https://interviewquestions.tuteehub.com/tag/market-25464" style="font-weight:bold;" target="_blank" title="Click to know more about MARKET">MARKET</a> Value) Following the <a href="https://interviewquestions.tuteehub.com/tag/prudence-1171261" style="font-weight:bold;" target="_blank" title="Click to know more about PRUDENCE">PRUDENCE</a> Concept. <br/> 2. Rs 2,000 out of Insurance <a href="https://interviewquestions.tuteehub.com/tag/expenses-980258" style="font-weight:bold;" target="_blank" title="Click to know more about EXPENSES">EXPENSES</a> are Prepaid Insurance.</body></html> | |
| 1707. |
Following are the balances extracted form the books of Manish on 31st March, 2019 : Prepare Trading and Profit and loss Account and Balance Sheet as at 31st March, 2019 after following adjustments are made : (i) Closing Stock was Rs 16,000. (ii) Depreciate Plant and Machinery @ 10% and Delivery Vehicle @ 15%. (iii) Unpaid Rent amounted to Rs 500. |
| Answer» <html><body><p><br/></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/na-572417" style="font-weight:bold;" target="_blank" title="Click to know more about NA">NA</a></body></html> | |
| 1708. |
Following accounts are being maintained in the books of Shri Ashok . Classify them into Personal , Real and Nominal Accounts : (i) Land and Building (ii) Excise Duty (iii) Creditors (iv)Capital (v) Motor Vehicles (vi) Goodwill (vii) Investments (viii) Salary (ix) Debtors (x)Bad Debts (xi) Depreciation (xii) Wages (xiii) Repairs (xiv) Ramesh , a debtor (xv) Interest Received (xvi)Bank Overdraft (xvii) Purchase Returns (xviii) Drawings (xix) Freight (xx) Return Inwards . |
| Answer» <html><body><p><br/></p><a href="https://interviewquestions.tuteehub.com/tag/answer-15557" style="font-weight:bold;" target="_blank" title="Click to know more about ANSWER">ANSWER</a> :Personal Account - (iii) ; (iv); (<a href="https://interviewquestions.tuteehub.com/tag/ix-520761" style="font-weight:bold;" target="_blank" title="Click to know more about IX">IX</a>) ; (xiv) ; (<a href="https://interviewquestions.tuteehub.com/tag/xvi-747647" style="font-weight:bold;" target="_blank" title="Click to know more about XVI">XVI</a>) ; (<a href="https://interviewquestions.tuteehub.com/tag/xviii-747650" style="font-weight:bold;" target="_blank" title="Click to know more about XVIII">XVIII</a>) , Real Account - (i) ; (<a href="https://interviewquestions.tuteehub.com/tag/v-722631" style="font-weight:bold;" target="_blank" title="Click to know more about V">V</a>) ; (vi); (vii) , Nominal Account - (ii) ;(viii); (x) ; (xi) ; (xii) ; (xiii) ; (xv) ;(xvii) ; (xix) ; (xx)</body></html> | |
| 1709. |
First Computers purchased computers form HCL Ltd .andavailed both Trade Discount and Cash Discount. The transactionrecorded in thebooks of account will be for: |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/net-5194" style="font-weight:bold;" target="_blank" title="Click to know more about NET">NET</a> Invoice Value and <a href="https://interviewquestions.tuteehub.com/tag/cash-910172" style="font-weight:bold;" target="_blank" title="Click to know more about CASH">CASH</a> <a href="https://interviewquestions.tuteehub.com/tag/discount-955451" style="font-weight:bold;" target="_blank" title="Click to know more about DISCOUNT">DISCOUNT</a>.<br/>Trade Discount, <a href="https://interviewquestions.tuteehub.com/tag/gross-477284" style="font-weight:bold;" target="_blank" title="Click to know more about GROSS">GROSS</a> Invoice Value and Cash Discount.<br/>None of the above.<br/>Any of (a) and (b).</p>Solution :Net Invoice Value and Cash Discount.</body></html> | |
| 1710. |
Find opening capital when Assets=₹ 4,00,000, Profit=₹ 25,000 and Creditors =₹ 2,55,000 |
| Answer» <html><body><p>` ₹ 1,20,000`<br/>` ₹1,45,000`<br/>` ₹1,70,000`<br/>` ₹3,75,000`</p><a href="https://interviewquestions.tuteehub.com/tag/answer-15557" style="font-weight:bold;" target="_blank" title="Click to know more about ANSWER">ANSWER</a> :A</body></html> | |
| 1711. |
Find the correct statement |
| Answer» <html><body><p> <a href="https://interviewquestions.tuteehub.com/tag/credit-938523" style="font-weight:bold;" target="_blank" title="Click to know more about CREDIT">CREDIT</a> a <a href="https://interviewquestions.tuteehub.com/tag/decrease-946104" style="font-weight:bold;" target="_blank" title="Click to know more about DECREASE">DECREASE</a> in assets<br/> Credit the increase in <a href="https://interviewquestions.tuteehub.com/tag/expenses-980258" style="font-weight:bold;" target="_blank" title="Click to know more about EXPENSES">EXPENSES</a> <br/><a href="https://interviewquestions.tuteehub.com/tag/debit-945425" style="font-weight:bold;" target="_blank" title="Click to know more about DEBIT">DEBIT</a> the increase in revenue<br/>Credit the increase in capital <br/></p>Solution :iv</body></html> | |
| 1712. |
Financial position of Surbhi as on 1st April, 2018 was as under : Plant₹ 22,000, Stock₹ 45,000, Creditors₹ 12,500, Bank overdraft₹ 28,800, Cash₹ 15,700, Debtors₹ 27,900 , Bill Payable₹9,800, Investments₹ 30,000, Building 80,000. Her Capital at the year end will be |
| Answer» <html><body><p> ₹ 2,57,000<br/> ₹ 51,100<br/> ₹ 3,08,600<br/> ₹ 1,69,500.</p>Answer :D</body></html> | |
| 1713. |
Financial Statements consist of |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/trial-1427200" style="font-weight:bold;" target="_blank" title="Click to know more about TRIAL">TRIAL</a> Balance<br/>Trading and <a href="https://interviewquestions.tuteehub.com/tag/profit-1168589" style="font-weight:bold;" target="_blank" title="Click to know more about PROFIT">PROFIT</a> and <a href="https://interviewquestions.tuteehub.com/tag/loss-1079380" style="font-weight:bold;" target="_blank" title="Click to know more about LOSS">LOSS</a> Account<br/>Balance Sheet<br/>Both <a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a> and <a href="https://interviewquestions.tuteehub.com/tag/c-7168" style="font-weight:bold;" target="_blank" title="Click to know more about C">C</a></p>Solution :Both b and c</body></html> | |
| 1714. |
Fill in the missing values on the basis of narration: |
| Answer» <html><body><p><br/></p>Answer :1: Surya; 2: <a href="https://interviewquestions.tuteehub.com/tag/purchases-1172772" style="font-weight:bold;" target="_blank" title="Click to know more about PURCHASES">PURCHASES</a> Return A/c; 2A: Input SGST A/c; 2B: Rs. 60; 3: Rahul; <a href="https://interviewquestions.tuteehub.com/tag/4-311707" style="font-weight:bold;" target="_blank" title="Click to know more about 4">4</a>: Bank A/c; 5: Machinery A/c; 6: Cash A/c; 7: Rs. 15,000; 8: Loss of Stock by Fire A/c; 9: Purchases A/c; 9A: To Input CGST A/c; 10: Bad Debts A/c; <a href="https://interviewquestions.tuteehub.com/tag/11-267621" style="font-weight:bold;" target="_blank" title="Click to know more about 11">11</a>: Bank A/c; 12: Rs. 19,600; 13: <a href="https://interviewquestions.tuteehub.com/tag/discount-955451" style="font-weight:bold;" target="_blank" title="Click to know more about DISCOUNT">DISCOUNT</a> Allowed A/c; 14: Rs. <a href="https://interviewquestions.tuteehub.com/tag/400-315233" style="font-weight:bold;" target="_blank" title="Click to know more about 400">400</a>; 15: Rakesh; 16: Cash A/c; 17: Drawings A/c; 18: Purchases A/c;19: Input IGST A/c; 19A: Rs. 1,080; 20: Cash A/c; A/c; 21: Rs. 7,500; 22: Bad Debts A/c; 23: Rs. 2,500; 24: Vivek; 25: Rs. 10,000; 26: Sales Return A/c; 27: Rs. 19,800; 28: Rs. 22,176.</body></html> | |
| 1715. |
Fill in the correct words : 1. The user oriented programmes designed and development for performing certain specific tasks are called as………… 2. Language syntax is checked by software called as………. 3. The people who write programmes to implement the data processing system design are called as............ 4. ............. is the brain of the computer. 5. ............ and .............are two of the important requirements of an accounting report. 6. An example of responsibility report is ............ . |
| Answer» <html><body><p><br/></p>Answer :1. <a href="https://interviewquestions.tuteehub.com/tag/application-25616" style="font-weight:bold;" target="_blank" title="Click to know more about APPLICATION">APPLICATION</a> software <br/> 2. Language processor <br/> 3. Programmer <br/> 4. <a href="https://interviewquestions.tuteehub.com/tag/cpu-410540" style="font-weight:bold;" target="_blank" title="Click to know more about CPU">CPU</a> <br/> 5. Timliness , Relevance <br/> <a href="https://interviewquestions.tuteehub.com/tag/6-327005" style="font-weight:bold;" target="_blank" title="Click to know more about 6">6</a>. Cash position, <a href="https://interviewquestions.tuteehub.com/tag/management-1085657" style="font-weight:bold;" target="_blank" title="Click to know more about MANAGEMENT">MANAGEMENT</a> responsibility</body></html> | |
| 1716. |
Fill in the correct words : (i)Depreciation is decline in the value of ........... (ii) Installation, freight and transport expenses are a part of ........... (ii) Provision is a ........... against profit. (iv) Reserve created for maintaining a stable rate of dividend is termed as........... |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> : (i) <a href="https://interviewquestions.tuteehub.com/tag/assets-885948" style="font-weight:bold;" target="_blank" title="Click to know more about ASSETS">ASSETS</a> (ii) Acquisition cost (iii) <a href="https://interviewquestions.tuteehub.com/tag/charge-914384" style="font-weight:bold;" target="_blank" title="Click to know more about CHARGE">CHARGE</a> (iv) Dividend equilisation fund</body></html> | |
| 1717. |
Fill in the blanks : (i) Amount which the proprietor has invested in a business is known as …………… (ii) Amount which the firm owes to outsiders is knows as …………… (iii) …………….. Is the cost incurred in producing goods andservices. (iv) Revenue means the income of a ................ nature. (v) Theterm 'sales ' is used only for the sales of ..................... and is never used for the sale of ................. (vi) The persons who still owe some amount to the business are termed as ................. (vii) The persons to whom money is owing by the firm aretermed as ................... (viii) Assets held for continued use in thebusiness and not meant for resale are termed as ..................... (ix) ................... are those assets which have a physical existence and which can be seen or felt. (x) .................. refer to those liabilities which areto be paid normally within one year. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :(i) Capital(ii) Liability(<a href="https://interviewquestions.tuteehub.com/tag/iii-497983" style="font-weight:bold;" target="_blank" title="Click to know more about III">III</a>) Expenses <br/> (iv) <a href="https://interviewquestions.tuteehub.com/tag/regular-1182473" style="font-weight:bold;" target="_blank" title="Click to know more about REGULAR">REGULAR</a> or recurring(<a href="https://interviewquestions.tuteehub.com/tag/v-722631" style="font-weight:bold;" target="_blank" title="Click to know more about V">V</a>) Goods, Assets(vi) Debtors<br/> (vii) Creditors(viii) <a href="https://interviewquestions.tuteehub.com/tag/fixed-457597" style="font-weight:bold;" target="_blank" title="Click to know more about FIXED">FIXED</a> Assets(ix) Tangible Assets<br/> (x) Current Liabilities.</body></html> | |
| 1718. |
Favourable bank balance as per the cash book will be less than the bank passbook balance when there are unpresented cheques for payment. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :T</body></html> | |
| 1719. |
Favourable bank balance means: |
| Answer» <html><body><p>Credit <a href="https://interviewquestions.tuteehub.com/tag/balance-891682" style="font-weight:bold;" target="_blank" title="Click to know more about BALANCE">BALANCE</a> in the <a href="https://interviewquestions.tuteehub.com/tag/cash-910172" style="font-weight:bold;" target="_blank" title="Click to know more about CASH">CASH</a> book (<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a><br/>Credit balance in <a href="https://interviewquestions.tuteehub.com/tag/passbook-596985" style="font-weight:bold;" target="_blank" title="Click to know more about PASSBOOK">PASSBOOK</a> <br/><a href="https://interviewquestions.tuteehub.com/tag/debit-945425" style="font-weight:bold;" target="_blank" title="Click to know more about DEBIT">DEBIT</a> balance in the cash book <br/> Both (b) and (c) <br/></p>Solution :C</body></html> | |
| 1720. |
Favourable bank balance as per Cash Book will be less than pass book balance when there are cheques issued but not presented for payment. |
| Answer» <html><body><p><br/></p><a href="https://interviewquestions.tuteehub.com/tag/answer-15557" style="font-weight:bold;" target="_blank" title="Click to know more about ANSWER">ANSWER</a> :<a href="https://interviewquestions.tuteehub.com/tag/1-256655" style="font-weight:bold;" target="_blank" title="Click to know more about 1">1</a></body></html> | |
| 1721. |
Fall in the value of an asset due to its use is termed as________ |
| Answer» <html><body><p><br/></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/depreciation-948712" style="font-weight:bold;" target="_blank" title="Click to know more about DEPRECIATION">DEPRECIATION</a></body></html> | |
| 1722. |
External users of accounting information are not : |
| Answer» <html><body><p>Lenders<br/>Officers<br/>Employees<br/>Public</p>Answer :<a href="https://interviewquestions.tuteehub.com/tag/b-387190" style="font-weight:bold;" target="_blank" title="Click to know more about B">B</a></body></html> | |
| 1723. |
External users of accounting information are : |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/researchers-622486" style="font-weight:bold;" target="_blank" title="Click to know more about RESEARCHERS">RESEARCHERS</a> <br/>Government<br/>Potential investors<br/>All of the above</p>Answer :D</body></html> | |
| 1724. |
Explain Verifiable Objective Concept. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/according-366619" style="font-weight:bold;" target="_blank" title="Click to know more about ACCORDING">ACCORDING</a> to the Verifiable ObjectiveConcept , accounting should be free from <a href="https://interviewquestions.tuteehub.com/tag/personal-590834" style="font-weight:bold;" target="_blank" title="Click to know more about PERSONAL">PERSONAL</a> bias <a href="https://interviewquestions.tuteehub.com/tag/measurements-1091956" style="font-weight:bold;" target="_blank" title="Click to know more about MEASUREMENTS">MEASUREMENTS</a> that are based on verifiable evidencesare <a href="https://interviewquestions.tuteehub.com/tag/regarded-7268030" style="font-weight:bold;" target="_blank" title="Click to know more about REGARDED">REGARDED</a> as objective.</body></html> | |
| 1725. |
Explain the term 'Deferred Revenue Expenditure' with the help of an example. OR Give any one example of 'Deferred Revenue Expenditure' |
| Answer» <html><body><p></p>Solution :Deferred Revenue <a href="https://interviewquestions.tuteehub.com/tag/expenditure-980222" style="font-weight:bold;" target="_blank" title="Click to know more about EXPENDITURE">EXPENDITURE</a> is that expenditure that is revenue in nature but the benefit of which extends beyond the accounting <a href="https://interviewquestions.tuteehub.com/tag/year-1464599" style="font-weight:bold;" target="_blank" title="Click to know more about YEAR">YEAR</a> in which it is incurred. <br/> Example of Deferred Revenue Expenditure. Large expenditure incurred on advertising to introduce a new product in the market.</body></html> | |
| 1726. |
Explain the method of posting a Petty Cash Book. |
| Answer» | |
| 1727. |
Explain the meaning of Imprest System of Petty Cash Book. |
| Answer» | |
| 1728. |
Explain themainparts of computersystemwithth helpof adiagram. |
| Answer» | |
| 1729. |
Explain the following terms: (i) Revenue, (ii) Debtors, (iii) Fictitious Assets and (iv) Working Capital |
| Answer» <html><body><p></p>Solution :i) Revenue - Revenue is the income that a business has from its normal business activities, usually from the sale of goods and services to customers.<br/>ii) <a href="https://interviewquestions.tuteehub.com/tag/debtor-945512" style="font-weight:bold;" target="_blank" title="Click to know more about DEBTOR">DEBTOR</a> - A debtor is a person, company, or other entity that owes money. In other words, the debtor has a debt or <a href="https://interviewquestions.tuteehub.com/tag/legal-540749" style="font-weight:bold;" target="_blank" title="Click to know more about LEGAL">LEGAL</a> <a href="https://interviewquestions.tuteehub.com/tag/obligation-1127495" style="font-weight:bold;" target="_blank" title="Click to know more about OBLIGATION">OBLIGATION</a> to pay the amount owed.<br/>iii) Fictitious assets-fictitious assets are deffered revenue expenditure whose benefit is derived over <a href="https://interviewquestions.tuteehub.com/tag/long-537592" style="font-weight:bold;" target="_blank" title="Click to know more about LONG">LONG</a> period of time.Even accumulated losses are also fictitious assets as they are written off over a period of time.<br/>iv) Working Capital - The difference between the Current Assets and Current Liabilities is known as Working Capital</body></html> | |
| 1730. |
Explain the following terms : (a) Revenue(b) Trade Payables (c ) Fictitious Assets(d) Working Capital |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/working-1459914" style="font-weight:bold;" target="_blank" title="Click to know more about WORKING">WORKING</a> <a href="https://interviewquestions.tuteehub.com/tag/capital-908677" style="font-weight:bold;" target="_blank" title="Click to know more about CAPITAL">CAPITAL</a> = <a href="https://interviewquestions.tuteehub.com/tag/current-940804" style="font-weight:bold;" target="_blank" title="Click to know more about CURRENT">CURRENT</a> Assets - Current Liabilities.</body></html> | |
| 1731. |
Explain the factors which necessiated systematic accounting. |
| Answer» <html><body><p></p>Solution :Main purpose of accounting is to provide information to a variety of users for taking various <a href="https://interviewquestions.tuteehub.com/tag/decisions-25560" style="font-weight:bold;" target="_blank" title="Click to know more about DECISIONS">DECISIONS</a>. Hence the information should have the quality of reliability, understandability and comparability which is possibleonly if the accounting is carried out systematically i.e., based on principles and rules of accounting. Further, the <a href="https://interviewquestions.tuteehub.com/tag/role-1190667" style="font-weight:bold;" target="_blank" title="Click to know more about ROLE">ROLE</a> of accounting has been <a href="https://interviewquestions.tuteehub.com/tag/changing-2508325" style="font-weight:bold;" target="_blank" title="Click to know more about CHANGING">CHANGING</a> with the changes in economic development and increasing social demands, which requires analyses of accounting data and preparation of reports. Systematic recording is also needed for <a href="https://interviewquestions.tuteehub.com/tag/assessment-25592" style="font-weight:bold;" target="_blank" title="Click to know more about ASSESSMENT">ASSESSMENT</a> of various taxes such as Goods and Service Tax (<a href="https://interviewquestions.tuteehub.com/tag/gst-13422" style="font-weight:bold;" target="_blank" title="Click to know more about GST">GST</a>), Income Tax etc.</body></html> | |
| 1732. |
Explain the concept of cost of goods sold? |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :N/a</body></html> | |
| 1733. |
Explain Principle of Matching Revenue with Cost. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :According to the Matching <a href="https://interviewquestions.tuteehub.com/tag/concept-928138" style="font-weight:bold;" target="_blank" title="Click to know more about CONCEPT">CONCEPT</a> , cost incurred to earn revenue should be <a href="https://interviewquestions.tuteehub.com/tag/recognised-7291249" style="font-weight:bold;" target="_blank" title="Click to know more about RECOGNISED">RECOGNISED</a> as <a href="https://interviewquestions.tuteehub.com/tag/expense-980253" style="font-weight:bold;" target="_blank" title="Click to know more about EXPENSE">EXPENSE</a> in the <a href="https://interviewquestions.tuteehub.com/tag/period-1151023" style="font-weight:bold;" target="_blank" title="Click to know more about PERIOD">PERIOD</a> when revenue is recognised as earned .</body></html> | |
| 1734. |
Explain Revenue Recognition Concept. |
| Answer» <html><body><p></p>Solution :According to the <a href="https://interviewquestions.tuteehub.com/tag/revenue-1188040" style="font-weight:bold;" target="_blank" title="Click to know more about REVENUE">REVENUE</a> Recognition <a href="https://interviewquestions.tuteehub.com/tag/concept-928138" style="font-weight:bold;" target="_blank" title="Click to know more about CONCEPT">CONCEPT</a>, revenue is <a href="https://interviewquestions.tuteehub.com/tag/considered-7257760" style="font-weight:bold;" target="_blank" title="Click to know more about CONSIDERED">CONSIDERED</a> to have been realised when a transaction has been <a href="https://interviewquestions.tuteehub.com/tag/entered-2072095" style="font-weight:bold;" target="_blank" title="Click to know more about ENTERED">ENTERED</a> into and the obligation to <a href="https://interviewquestions.tuteehub.com/tag/receive-1179283" style="font-weight:bold;" target="_blank" title="Click to know more about RECEIVE">RECEIVE</a> the amount has been established.</body></html> | |
| 1735. |
Explain Money Measurement Concept. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/according-366619" style="font-weight:bold;" target="_blank" title="Click to know more about ACCORDING">ACCORDING</a> to the <a href="https://interviewquestions.tuteehub.com/tag/money-25502" style="font-weight:bold;" target="_blank" title="Click to know more about MONEY">MONEY</a> Measurement <a href="https://interviewquestions.tuteehub.com/tag/concept-928138" style="font-weight:bold;" target="_blank" title="Click to know more about CONCEPT">CONCEPT</a> , transactions and events that can be measured in <a href="https://interviewquestions.tuteehub.com/tag/terms-1242559" style="font-weight:bold;" target="_blank" title="Click to know more about TERMS">TERMS</a> of money are recorded are recorded in the <a href="https://interviewquestions.tuteehub.com/tag/books-900981" style="font-weight:bold;" target="_blank" title="Click to know more about BOOKS">BOOKS</a> of account.</body></html> | |
| 1736. |
Explain in short the meaning of an Acccunting Equation. |
| Answer» | |
| 1737. |
Explain how the following may be ascertained from incomplete records: |
| Answer» <html><body><p> Opening <a href="https://interviewquestions.tuteehub.com/tag/capital-908677" style="font-weight:bold;" target="_blank" title="Click to know more about CAPITAL">CAPITAL</a> and closing capital <br/>Credit sales and credit purchases <br/> <a href="https://interviewquestions.tuteehub.com/tag/payments-1149318" style="font-weight:bold;" target="_blank" title="Click to know more about PAYMENTS">PAYMENTS</a> to <a href="https://interviewquestions.tuteehub.com/tag/creditors-938665" style="font-weight:bold;" target="_blank" title="Click to know more about CREDITORS">CREDITORS</a> and collection from <a href="https://interviewquestions.tuteehub.com/tag/debtors-435558" style="font-weight:bold;" target="_blank" title="Click to know more about DEBTORS">DEBTORS</a> <br/> Closing balance of cash</p>Solution :N//A</body></html> | |
| 1738. |
Explain Going Concern Concept. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :According to the GoingConcern Concept , it is assumed that the business will continue for a <a href="https://interviewquestions.tuteehub.com/tag/foreseeable-7381884" style="font-weight:bold;" target="_blank" title="Click to know more about FORESEEABLE">FORESEEABLE</a> future and there is no intention to close or scale down the operations <a href="https://interviewquestions.tuteehub.com/tag/significantly-2270538" style="font-weight:bold;" target="_blank" title="Click to know more about SIGNIFICANTLY">SIGNIFICANTLY</a>.</body></html> | |
| 1739. |
ExplainHistorical Cost Concept. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :According to the <a href="https://interviewquestions.tuteehub.com/tag/historical-487197" style="font-weight:bold;" target="_blank" title="Click to know more about HISTORICAL">HISTORICAL</a> <a href="https://interviewquestions.tuteehub.com/tag/cost-25707" style="font-weight:bold;" target="_blank" title="Click to know more about COST">COST</a> Concept assets are recorded in the books of account at the prices paid to acquire them and it is the <a href="https://interviewquestions.tuteehub.com/tag/basis-893664" style="font-weight:bold;" target="_blank" title="Click to know more about BASIS">BASIS</a> for all subsequent accounting of the assets .</body></html> | |
| 1740. |
Explain Dual Aspect Concept. |
| Answer» <html><body><p></p>Solution :Every transaction has two <a href="https://interviewquestions.tuteehub.com/tag/aspects-885713" style="font-weight:bold;" target="_blank" title="Click to know more about ASPECTS">ASPECTS</a> a debit and a <a href="https://interviewquestions.tuteehub.com/tag/credit-938523" style="font-weight:bold;" target="_blank" title="Click to know more about CREDIT">CREDIT</a> of equal <a href="https://interviewquestions.tuteehub.com/tag/amount-374803" style="font-weight:bold;" target="_blank" title="Click to know more about AMOUNT">AMOUNT</a>. It means for every debit there is a credit of equal amount in one or more accounts and <a href="https://interviewquestions.tuteehub.com/tag/vice-1446123" style="font-weight:bold;" target="_blank" title="Click to know more about VICE">VICE</a> versa. According to Dual Aspect Concept, both the aspects are recorded in the <a href="https://interviewquestions.tuteehub.com/tag/books-900981" style="font-weight:bold;" target="_blank" title="Click to know more about BOOKS">BOOKS</a> of account.</body></html> | |
| 1741. |
Explain Consistency Convention. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/according-366619" style="font-weight:bold;" target="_blank" title="Click to know more about ACCORDING">ACCORDING</a> to the Consistency <a href="https://interviewquestions.tuteehub.com/tag/convention-933064" style="font-weight:bold;" target="_blank" title="Click to know more about CONVENTION">CONVENTION</a> ,<a href="https://interviewquestions.tuteehub.com/tag/accounting-637" style="font-weight:bold;" target="_blank" title="Click to know more about ACCOUNTING">ACCOUNTING</a> practices once selected and dopted should be applied consistently <a href="https://interviewquestions.tuteehub.com/tag/year-1464599" style="font-weight:bold;" target="_blank" title="Click to know more about YEAR">YEAR</a> after year.</body></html> | |
| 1742. |
Explain Capital briefly |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/capital-908677" style="font-weight:bold;" target="_blank" title="Click to know more about CAPITAL">CAPITAL</a> is the amount <a href="https://interviewquestions.tuteehub.com/tag/invested-1050751" style="font-weight:bold;" target="_blank" title="Click to know more about INVESTED">INVESTED</a> by the <a href="https://interviewquestions.tuteehub.com/tag/proprietor-1170512" style="font-weight:bold;" target="_blank" title="Click to know more about PROPRIETOR">PROPRIETOR</a> or the partner in the business</body></html> | |
| 1743. |
Explain Business Entity Concept, |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/according-366619" style="font-weight:bold;" target="_blank" title="Click to know more about ACCORDING">ACCORDING</a> to the Business Entity Concept, propritor of the business is a separate and distinct entity from business . The <a href="https://interviewquestions.tuteehub.com/tag/transactions-18175" style="font-weight:bold;" target="_blank" title="Click to know more about TRANSACTIONS">TRANSACTIONS</a> are recorded in the books of account from the <a href="https://interviewquestions.tuteehub.com/tag/point-1157106" style="font-weight:bold;" target="_blank" title="Click to know more about POINT">POINT</a> of view of business , not from the point of view of the proprietor.</body></html> | |
| 1744. |
Explain any three of the following accounting convention : (i) Full Disclosure, (ii) Consistency, (iii) Materiality and (iv) Conservatism. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :(i) According to the Convention of Full Disclosure , all significant information relating to theeconomic affairs of the entity should be reported in the <a href="https://interviewquestions.tuteehub.com/tag/financial-988642" style="font-weight:bold;" target="_blank" title="Click to know more about FINANCIAL">FINANCIAL</a> statementsin an understandable manner.<br/>(ii) According to the Convention of Consistency , accountingpractices once selected and <a href="https://interviewquestions.tuteehub.com/tag/adopted-7291144" style="font-weight:bold;" target="_blank" title="Click to know more about ADOPTED">ADOPTED</a> should be consistently applied year after year.<br/>(iii) According to the Convention ofMateriality ,a transaction should be reported in the financial <a href="https://interviewquestions.tuteehub.com/tag/statements-17642" style="font-weight:bold;" target="_blank" title="Click to know more about STATEMENTS">STATEMENTS</a> on the basis of its materiality . An item is material if it can influence the decision of the user.<br/> (iv) According to the Convention of Conservatism , antiicipated losses should be accounted while anticipated incomes should not be accounted.</body></html> | |
| 1745. |
Explain Accrual Concept. |
| Answer» <html><body><p></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :According to the Accrual <a href="https://interviewquestions.tuteehub.com/tag/concept-928138" style="font-weight:bold;" target="_blank" title="Click to know more about CONCEPT">CONCEPT</a> ,a transaction is <a href="https://interviewquestions.tuteehub.com/tag/recorded-2240050" style="font-weight:bold;" target="_blank" title="Click to know more about RECORDED">RECORDED</a> in the books of <a href="https://interviewquestions.tuteehub.com/tag/account-25640" style="font-weight:bold;" target="_blank" title="Click to know more about ACCOUNT">ACCOUNT</a> at sales made on credit will be recorded in the books of on the date of sales, not when the <a href="https://interviewquestions.tuteehub.com/tag/amount-374803" style="font-weight:bold;" target="_blank" title="Click to know more about AMOUNT">AMOUNT</a> is received.</body></html> | |
| 1746. |
Explain Accounting Standards briefly. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/accounting-637" style="font-weight:bold;" target="_blank" title="Click to know more about ACCOUNTING">ACCOUNTING</a> <a href="https://interviewquestions.tuteehub.com/tag/standards-1224505" style="font-weight:bold;" target="_blank" title="Click to know more about STANDARDS">STANDARDS</a> are a <a href="https://interviewquestions.tuteehub.com/tag/set-11758" style="font-weight:bold;" target="_blank" title="Click to know more about SET">SET</a> of guidelines , i.e, Generally AcceptedAccounting Principles , issued by the accounting body of the countryi.e., The Institute ofCharteredAccountants of India , that are followed for preparation and <a href="https://interviewquestions.tuteehub.com/tag/presentation-1164065" style="font-weight:bold;" target="_blank" title="Click to know more about PRESENTATION">PRESENTATION</a> of financialstatements . The objective of setting Accounting Standards is to bring uniformity in accounting practices and to ensure transparency , consistency and comparability .</body></html> | |
| 1747. |
Expenses on overhauling a second-hand machine purchased is |
| Answer» <html><body><p><a href="https://interviewquestions.tuteehub.com/tag/revenue-1188040" style="font-weight:bold;" target="_blank" title="Click to know more about REVENUE">REVENUE</a> <a href="https://interviewquestions.tuteehub.com/tag/expenditure-980222" style="font-weight:bold;" target="_blank" title="Click to know more about EXPENDITURE">EXPENDITURE</a><br/>Capital Expenditure<br/>Deferred Revenue Expenditure<br/>None of these</p>Solution :Revenue Expenditure</body></html> | |
| 1748. |
Explain Accounting Period Concept. |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/accordingto-847003" style="font-weight:bold;" target="_blank" title="Click to know more about ACCORDINGTO">ACCORDINGTO</a> the Accounting <a href="https://interviewquestions.tuteehub.com/tag/period-1151023" style="font-weight:bold;" target="_blank" title="Click to know more about PERIOD">PERIOD</a> Concept , life of the business is <a href="https://interviewquestions.tuteehub.com/tag/broken-402937" style="font-weight:bold;" target="_blank" title="Click to know more about BROKEN">BROKEN</a> into smaller periods (<a href="https://interviewquestions.tuteehub.com/tag/one-585732" style="font-weight:bold;" target="_blank" title="Click to know more about ONE">ONE</a> year) so that itsperformance is measuredat regular <a href="https://interviewquestions.tuteehub.com/tag/intervals-1049965" style="font-weight:bold;" target="_blank" title="Click to know more about INTERVALS">INTERVALS</a>.</body></html> | |
| 1749. |
Expenses incurred but not yet paid are accounted because of _________ |
| Answer» <html><body><p><br/></p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :<a href="https://interviewquestions.tuteehub.com/tag/accrual-847173" style="font-weight:bold;" target="_blank" title="Click to know more about ACCRUAL">ACCRUAL</a> <a href="https://interviewquestions.tuteehub.com/tag/concept-928138" style="font-weight:bold;" target="_blank" title="Click to know more about CONCEPT">CONCEPT</a></body></html> | |
| 1750. |
Expenses incurredbut not yet paid are accounted because of |
| Answer» <html><body><p>Matching <a href="https://interviewquestions.tuteehub.com/tag/principle-1166255" style="font-weight:bold;" target="_blank" title="Click to know more about PRINCIPLE">PRINCIPLE</a> <br/>Dual Aspect Principle. <br/>Accrual Concept <br/><a href="https://interviewquestions.tuteehub.com/tag/materiality-1089371" style="font-weight:bold;" target="_blank" title="Click to know more about MATERIALITY">MATERIALITY</a> Principle </p><a href="https://interviewquestions.tuteehub.com/tag/solution-25781" style="font-weight:bold;" target="_blank" title="Click to know more about SOLUTION">SOLUTION</a> :Accrual Concept</body></html> | |