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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.
| 401. |
What entry (debit or credit ) would you make to (a) increase in revenue (b) decrease in expense, (c ) record drawings, (d)record thefresh capital introduced by the owner. |
| 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),"<a href="https://interviewquestions.tuteehub.com/tag/increase-1040383" style="font-weight:bold;" target="_blank" title="Click to know more about INCREASE">INCREASE</a> in Revenue",:,"Credit"),((b),"Decrease in Expense",:,"Credit"),((<a href="https://interviewquestions.tuteehub.com/tag/c-7168" style="font-weight:bold;" target="_blank" title="Click to know more about C">C</a>),"Drawings",:,"Debit in Capital Account"),((d),"Freash Capital",:,"Credit in Capital Account"):}`</body></html> | |
| 402. |
What does the Balance of Suspense Account indicate? How is the balance of Suspense Account treated? |
| 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/balance-891682" style="font-weight:bold;" target="_blank" title="Click to know more about BALANCE">BALANCE</a> of Suspense Account shows the net effect of errors whichare <a href="https://interviewquestions.tuteehub.com/tag/still-653256" style="font-weight:bold;" target="_blank" title="Click to know more about STILL">STILL</a> to be located and rectified. It will be shown on assets <a href="https://interviewquestions.tuteehub.com/tag/side-1206832" style="font-weight:bold;" target="_blank" title="Click to know more about SIDE">SIDE</a> (in case or <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) or on the liabilities side (in case of credit balance) of the Balance Sheet.</body></html> | |
| 403. |
What does debitin an Expense Accounts signify ? |
| Answer» <html><body><p></p>Solution :A <a href="https://interviewquestions.tuteehub.com/tag/debit-945425" style="font-weight:bold;" target="_blank" title="Click to know more about DEBIT">DEBIT</a> in an Expense <a href="https://interviewquestions.tuteehub.com/tag/account-25640" style="font-weight:bold;" target="_blank" title="Click to know more about ACCOUNT">ACCOUNT</a> <a href="https://interviewquestions.tuteehub.com/tag/means-1091780" style="font-weight:bold;" target="_blank" title="Click to know more about MEANS">MEANS</a> the amount of expense <a href="https://interviewquestions.tuteehub.com/tag/incurred-2733406" style="font-weight:bold;" target="_blank" title="Click to know more about INCURRED">INCURRED</a> by the firm under that <a href="https://interviewquestions.tuteehub.com/tag/head-1016397" style="font-weight:bold;" target="_blank" title="Click to know more about HEAD">HEAD</a> of account .</body></html> | |
| 404. |
What does debit in an Asset Account signify ? |
| 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 <a href="https://interviewquestions.tuteehub.com/tag/debit-945425" style="font-weight:bold;" target="_blank" title="Click to know more about DEBIT">DEBIT</a> in an Asset Account <a href="https://interviewquestions.tuteehub.com/tag/means-1091780" style="font-weight:bold;" target="_blank" title="Click to know more about MEANS">MEANS</a> further assets <a href="https://interviewquestions.tuteehub.com/tag/purchased-2962400" style="font-weight:bold;" target="_blank" title="Click to know more about PURCHASED">PURCHASED</a> by the firm .</body></html> | |
| 405. |
What does debit balance of a Nominal Account indicates ? |
| 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> :It <a href="https://interviewquestions.tuteehub.com/tag/indicates-1041501" style="font-weight:bold;" target="_blank" title="Click to know more about INDICATES">INDICATES</a> <a href="https://interviewquestions.tuteehub.com/tag/loss-1079380" style="font-weight:bold;" target="_blank" title="Click to know more about LOSS">LOSS</a> or <a href="https://interviewquestions.tuteehub.com/tag/expense-980253" style="font-weight:bold;" target="_blank" title="Click to know more about EXPENSE">EXPENSE</a>.</body></html> | |
| 406. |
What does debit balance of a Personal Account indicates? |
| Answer» <html><body><p></p>Solution :In indicdates the amount which is <a href="https://interviewquestions.tuteehub.com/tag/owing-2905954" style="font-weight:bold;" target="_blank" title="Click to know more about OWING">OWING</a> to the <a href="https://interviewquestions.tuteehub.com/tag/firm-989667" style="font-weight:bold;" target="_blank" title="Click to know more about FIRM">FIRM</a> by a <a href="https://interviewquestions.tuteehub.com/tag/person-25481" style="font-weight:bold;" target="_blank" title="Click to know more about PERSON">PERSON</a>. In other words, he is the <a href="https://interviewquestions.tuteehub.com/tag/debtor-945512" style="font-weight:bold;" target="_blank" title="Click to know more about DEBTOR">DEBTOR</a> of the firm.</body></html> | |
| 407. |
What does 'Debit' balance asper the Cash Bookmean ? |
| Answer» <html><body><p></p>Solution :Debit <a href="https://interviewquestions.tuteehub.com/tag/balance-891682" style="font-weight:bold;" target="_blank" title="Click to know more about BALANCE">BALANCE</a> as per <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/book-900767" style="font-weight:bold;" target="_blank" title="Click to know more about BOOK">BOOK</a> means amount lying deposited in bank.</body></html> | |
| 408. |
What does credit in an Asset Account signify ? |
| Answer» <html><body><p></p>Solution :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> in an Asset <a href="https://interviewquestions.tuteehub.com/tag/account-25640" style="font-weight:bold;" target="_blank" title="Click to know more about ACCOUNT">ACCOUNT</a> <a href="https://interviewquestions.tuteehub.com/tag/means-1091780" style="font-weight:bold;" target="_blank" title="Click to know more about MEANS">MEANS</a> the assets sold or discarded by the <a href="https://interviewquestions.tuteehub.com/tag/firm-989667" style="font-weight:bold;" target="_blank" title="Click to know more about FIRM">FIRM</a>.</body></html> | |
| 409. |
What does credit in an Income Account signify ? |
| Answer» <html><body><p></p>Solution :A credit in an <a href="https://interviewquestions.tuteehub.com/tag/income-25499" style="font-weight:bold;" target="_blank" title="Click to know more about INCOME">INCOME</a> <a href="https://interviewquestions.tuteehub.com/tag/account-25640" style="font-weight:bold;" target="_blank" title="Click to know more about ACCOUNT">ACCOUNT</a> <a href="https://interviewquestions.tuteehub.com/tag/means-1091780" style="font-weight:bold;" target="_blank" title="Click to know more about MEANS">MEANS</a> 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> of income earned by the firm under that head of account .</body></html> | |
| 410. |
What does credit balance in a Capital Account signify ? |
| Answer» <html><body><p></p>Solution :A 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 a Capital Account <a href="https://interviewquestions.tuteehub.com/tag/signifies-1207555" style="font-weight:bold;" target="_blank" title="Click to know more about SIGNIFIES">SIGNIFIES</a> the amount invested 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> as on date.</body></html> | |
| 411. |
What does 'Credit' balance as per the Cash Book mean ? |
| Answer» <html><body><p></p>Solution :Credit balance as per <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/book-900767" style="font-weight:bold;" target="_blank" title="Click to know more about BOOK">BOOK</a> means <a href="https://interviewquestions.tuteehub.com/tag/amount-374803" style="font-weight:bold;" target="_blank" title="Click to know more about AMOUNT">AMOUNT</a> <a href="https://interviewquestions.tuteehub.com/tag/overdrawn-2905496" style="font-weight:bold;" target="_blank" title="Click to know more about OVERDRAWN">OVERDRAWN</a> from the bank</body></html> | |
| 412. |
What does Credit b alances as per the Bank Pass Book mean? |
| 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/credit-938523" style="font-weight:bold;" target="_blank" title="Click to know more about CREDIT">CREDIT</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> as <a href="https://interviewquestions.tuteehub.com/tag/per-590802" style="font-weight:bold;" target="_blank" title="Click to know more about PER">PER</a> Cash Book means amountlying deposted in the bank</body></html> | |
| 413. |
whatdo youunderstandbyTailor - Madesoftware ? |
| Answer» | |
| 414. |
whatdo youunderstand byreadymadeoroff the shelf software ? |
| Answer» | |
| 415. |
What do you understand by Operating Profit? How is it calculated ? Or What is meant by Operating Profit ? |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/operating-1136761" style="font-weight:bold;" target="_blank" title="Click to know more about OPERATING">OPERATING</a> Profit is the excess of <a href="https://interviewquestions.tuteehub.com/tag/group-1013370" style="font-weight:bold;" target="_blank" title="Click to know more about GROUP">GROUP</a> profit over operating expenses <br/> Operating Profit = Net Sales - Operating Cost <br/> Or <br/> = Net Profit + <a href="https://interviewquestions.tuteehub.com/tag/non-580180" style="font-weight:bold;" target="_blank" title="Click to know more about NON">NON</a> - operating Expenses -Non - operating <a href="https://interviewquestions.tuteehub.com/tag/incomes-1040086" style="font-weight:bold;" target="_blank" title="Click to know more about INCOMES">INCOMES</a></body></html> | |
| 416. |
whatdo youunderstandby GroupingofAccounts ? |
| Answer» | |
| 417. |
What do you understand by Fixed Assets? |
| Answer» <html><body><p></p>Solution :<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 are those assets which are acquired for use in business to increase the <a href="https://interviewquestions.tuteehub.com/tag/earning-964156" style="font-weight:bold;" target="_blank" title="Click to know more about EARNING">EARNING</a> <a href="https://interviewquestions.tuteehub.com/tag/capacity-908575" style="font-weight:bold;" target="_blank" title="Click to know more about CAPACITY">CAPACITY</a></body></html> | |
| 418. |
What do you understand by Current Assets ? |
| Answer» <html><body><p></p>Solution :Current Assets are those assets of <a href="https://interviewquestions.tuteehub.com/tag/business-21797" style="font-weight:bold;" target="_blank" title="Click to know more about BUSINESS">BUSINESS</a> which are kept <a href="https://interviewquestions.tuteehub.com/tag/temporarily-7384269" style="font-weight:bold;" target="_blank" title="Click to know more about TEMPORARILY">TEMPORARILY</a> for resale or for <a href="https://interviewquestions.tuteehub.com/tag/converting-2036416" style="font-weight:bold;" target="_blank" title="Click to know more about CONVERTING">CONVERTING</a> into <a href="https://interviewquestions.tuteehub.com/tag/cash-910172" style="font-weight:bold;" target="_blank" title="Click to know more about CASH">CASH</a>.</body></html> | |
| 419. |
whatdo youunderstandbyCustomisedsoftware? |
| Answer» | |
| 420. |
What do you understand by Contingent Liability ? |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/contingent-931946" style="font-weight:bold;" target="_blank" title="Click to know more about CONTINGENT">CONTINGENT</a> Liability is that liability which <a href="https://interviewquestions.tuteehub.com/tag/becomes-1994370" style="font-weight:bold;" target="_blank" title="Click to know more about BECOMES">BECOMES</a> payable on the happening of an event. For <a href="https://interviewquestions.tuteehub.com/tag/example-978283" style="font-weight:bold;" target="_blank" title="Click to know more about EXAMPLE">EXAMPLE</a>, a suit for claim is filed against that <a href="https://interviewquestions.tuteehub.com/tag/business-21797" style="font-weight:bold;" target="_blank" title="Click to know more about BUSINESS">BUSINESS</a> which the business does not acknowledge. It is a contingent liability and will become payable if the court decides against it</body></html> | |
| 421. |
What do you understand by Cash Basis of Accounting ? |
| Answer» <html><body><p></p>Solution :Cash Basis of Accounting means that the <a href="https://interviewquestions.tuteehub.com/tag/entry-972873" style="font-weight:bold;" target="_blank" title="Click to know more about ENTRY">ENTRY</a> is recorded on receipt or payment of cash. The <a href="https://interviewquestions.tuteehub.com/tag/system-1237255" style="font-weight:bold;" target="_blank" title="Click to know more about SYSTEM">SYSTEM</a> does not distinguish between capital and <a href="https://interviewquestions.tuteehub.com/tag/revenue-1188040" style="font-weight:bold;" target="_blank" title="Click to know more about REVENUE">REVENUE</a> items. It also does not recognise prepaid <a href="https://interviewquestions.tuteehub.com/tag/expenses-980258" style="font-weight:bold;" target="_blank" title="Click to know more about EXPENSES">EXPENSES</a> and outstanding expenses.</body></html> | |
| 422. |
What do you understand by Accrual Basis of Accounting ? |
| Answer» <html><body><p></p>Solution :Accrual Basis of Accounting means the transaction is recorded at the time when it is entered into and not when the settlement takes <a href="https://interviewquestions.tuteehub.com/tag/place-1155224" style="font-weight:bold;" target="_blank" title="Click to know more about PLACE">PLACE</a>. In other <a href="https://interviewquestions.tuteehub.com/tag/words-25841" style="font-weight:bold;" target="_blank" title="Click to know more about WORDS">WORDS</a>. Under Accrual Basis of Accounting, accounting entries are recorded when incomes are <a href="https://interviewquestions.tuteehub.com/tag/earned-7273289" style="font-weight:bold;" target="_blank" title="Click to know more about EARNED">EARNED</a> and <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 incurred <a href="https://interviewquestions.tuteehub.com/tag/irrespective-2749565" style="font-weight:bold;" target="_blank" title="Click to know more about IRRESPECTIVE">IRRESPECTIVE</a> of cash received or paid.</body></html> | |
| 423. |
What do you understand by Accounting Concepts ? |
| 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> concepts are the basic assumptions or fundamental <a href="https://interviewquestions.tuteehub.com/tag/propositions-14708" style="font-weight:bold;" target="_blank" title="Click to know more about PROPOSITIONS">PROPOSITIONS</a> within which accounting <a href="https://interviewquestions.tuteehub.com/tag/function-11303" style="font-weight:bold;" target="_blank" title="Click to know more about FUNCTION">FUNCTION</a> is carried out.</body></html> | |
| 424. |
What do you mean by Suspense Account? |
| Answer» <html><body><p></p>Solution :Suspense Account is an account in which the difference of <a href="https://interviewquestions.tuteehub.com/tag/trial-1427200" style="font-weight:bold;" target="_blank" title="Click to know more about TRIAL">TRIAL</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> is placed <a href="https://interviewquestions.tuteehub.com/tag/temporarily-7384269" style="font-weight:bold;" target="_blank" title="Click to know more about TEMPORARILY">TEMPORARILY</a> till the errors are located and rectified.</body></html> | |
| 425. |
What do you mean by Voucher? |
| Answer» <html><body><p></p>Solution :The <a href="https://interviewquestions.tuteehub.com/tag/documents-957703" style="font-weight:bold;" target="_blank" title="Click to know more about DOCUMENTS">DOCUMENTS</a> <a href="https://interviewquestions.tuteehub.com/tag/prepared-1163605" style="font-weight:bold;" target="_blank" title="Click to know more about PREPARED">PREPARED</a> for the purpose of <a href="https://interviewquestions.tuteehub.com/tag/recording-1180449" style="font-weight:bold;" target="_blank" title="Click to know more about RECORDING">RECORDING</a> <a href="https://interviewquestions.tuteehub.com/tag/business-21797" style="font-weight:bold;" target="_blank" title="Click to know more about BUSINESS">BUSINESS</a> <a href="https://interviewquestions.tuteehub.com/tag/transactions-18175" style="font-weight:bold;" target="_blank" title="Click to know more about TRANSACTIONS">TRANSACTIONS</a> in the books of account are known as Vouchers.</body></html> | |
| 426. |
whatdo youmeanby acomputer ? |
| Answer» | |
| 427. |
What deos Debit balance as per the Bank Pass Book mean? |
| Answer» <html><body><p></p>Solution :Debit balance as perPass <a href="https://interviewquestions.tuteehub.com/tag/book-900767" style="font-weight:bold;" target="_blank" title="Click to know more about BOOK">BOOK</a> means <a href="https://interviewquestions.tuteehub.com/tag/amount-374803" style="font-weight:bold;" target="_blank" title="Click to know more about AMOUNT">AMOUNT</a> overderaw from bank and <a href="https://interviewquestions.tuteehub.com/tag/thus-2307358" style="font-weight:bold;" target="_blank" title="Click to know more about THUS">THUS</a>, payable to bank</body></html> | |
| 428. |
whatconsiderationsshouldbe bornein mindforDesigingAccountingReports ? |
| Answer» | |
| 429. |
What are the types of Vouchers? |
| 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) Cash <a href="https://interviewquestions.tuteehub.com/tag/vouchers-1448333" style="font-weight:bold;" target="_blank" title="Click to know more about VOUCHERS">VOUCHERS</a> and Non-Cash Vouchers <br/> (<a href="https://interviewquestions.tuteehub.com/tag/ii-1036832" style="font-weight:bold;" target="_blank" title="Click to know more about II">II</a>) <a href="https://interviewquestions.tuteehub.com/tag/debit-945425" style="font-weight:bold;" target="_blank" title="Click to know more about DEBIT">DEBIT</a> Vouchers and Credit Vouchers</body></html> | |
| 430. |
What are the two sides of an Account called ? |
| Answer» <html><body><p></p>Solution :The <a href="https://interviewquestions.tuteehub.com/tag/two-714195" style="font-weight:bold;" target="_blank" title="Click to know more about TWO">TWO</a> sides of an <a href="https://interviewquestions.tuteehub.com/tag/account-25640" style="font-weight:bold;" target="_blank" title="Click to know more about ACCOUNT">ACCOUNT</a> are <a href="https://interviewquestions.tuteehub.com/tag/debit-945425" style="font-weight:bold;" target="_blank" title="Click to know more about DEBIT">DEBIT</a> and Credit .</body></html> | |
| 431. |
What are the two bases of accounting ? |
| Answer» <html><body><p></p>Solution :There are <a href="https://interviewquestions.tuteehub.com/tag/two-714195" style="font-weight:bold;" target="_blank" title="Click to know more about TWO">TWO</a> <a href="https://interviewquestions.tuteehub.com/tag/bases-394363" style="font-weight:bold;" target="_blank" title="Click to know more about BASES">BASES</a> of accounting : <br/> (i) Cash <a href="https://interviewquestions.tuteehub.com/tag/basis-893664" style="font-weight:bold;" target="_blank" title="Click to know more about BASIS">BASIS</a> and (<a href="https://interviewquestions.tuteehub.com/tag/ii-1036832" style="font-weight:bold;" target="_blank" title="Click to know more about II">II</a>) Accrual Basis.</body></html> | |
| 432. |
What are the two basic objectives of having Accounting Standards? |
| Answer» <html><body><p></p>Solution :(i) To <a href="https://interviewquestions.tuteehub.com/tag/ensure-972238" style="font-weight:bold;" target="_blank" title="Click to know more about ENSURE">ENSURE</a> uniformity in accounting <a href="https://interviewquestions.tuteehub.com/tag/practices-1162408" style="font-weight:bold;" target="_blank" title="Click to know more about PRACTICES">PRACTICES</a>. <br/> (ii) To ensure transparency, <a href="https://interviewquestions.tuteehub.com/tag/consistency-930013" style="font-weight:bold;" target="_blank" title="Click to know more about CONSISTENCY">CONSISTENCY</a> and comparability.</body></html> | |
| 433. |
What are the two accounting systems to record financial transactions in the books of account? |
| Answer» <html><body><p></p>Solution :The <a href="https://interviewquestions.tuteehub.com/tag/two-714195" style="font-weight:bold;" target="_blank" title="Click to know more about TWO">TWO</a> accounting systems are: <br/> (i) Double Entry <a href="https://interviewquestions.tuteehub.com/tag/system-1237255" style="font-weight:bold;" target="_blank" title="Click to know more about SYSTEM">SYSTEM</a>, and<br/> (ii) Accounts from <a href="https://interviewquestions.tuteehub.com/tag/incomplete-505597" style="font-weight:bold;" target="_blank" title="Click to know more about INCOMPLETE">INCOMPLETE</a> <a href="https://interviewquestions.tuteehub.com/tag/records-1180480" style="font-weight:bold;" target="_blank" title="Click to know more about RECORDS">RECORDS</a> or <a href="https://interviewquestions.tuteehub.com/tag/single-644669" style="font-weight:bold;" target="_blank" title="Click to know more about SINGLE">SINGLE</a> Entry System.</body></html> | |
| 434. |
What are the special purpose books ? |
| 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> :Specialpurpose books are the subsidiary books where transactions are recoded first and each subsidiary <a href="https://interviewquestions.tuteehub.com/tag/book-900767" style="font-weight:bold;" target="_blank" title="Click to know more about BOOK">BOOK</a> is <a href="https://interviewquestions.tuteehub.com/tag/meant-2822802" style="font-weight:bold;" target="_blank" title="Click to know more about MEANT">MEANT</a> for recording all the transactions a similar nature .</body></html> | |
| 435. |
What are the steps involved in the process of accounting? |
| 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> :The steps involved in the process of accounting are: <br/> (i) Identifying financial <a href="https://interviewquestions.tuteehub.com/tag/transactions-18175" style="font-weight:bold;" target="_blank" title="Click to know more about TRANSACTIONS">TRANSACTIONS</a> and events, <br/> (ii) Recording in the books of account, <br/> (<a href="https://interviewquestions.tuteehub.com/tag/iii-497983" style="font-weight:bold;" target="_blank" title="Click to know more about III">III</a>) Classifying the recorded entries, <br/> (<a href="https://interviewquestions.tuteehub.com/tag/iv-501699" style="font-weight:bold;" target="_blank" title="Click to know more about IV">IV</a>) Preparation of Trial Balance, <br/> (v) Preparation of Final Accounts, <br/> (vi) Analysis and Interpretation of Financial Statements, and <br/> (vii) Communicating to the <a href="https://interviewquestions.tuteehub.com/tag/users-25567" style="font-weight:bold;" target="_blank" title="Click to know more about USERS">USERS</a>.</body></html> | |
| 436. |
What are the possible reasons for keeping incomplete records? |
| 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> :N//A</body></html> | |
| 437. |
What are the objectives of providing Depreciation? (Any two) |
| Answer» <html><body><p></p>Solution :(1) To <a href="https://interviewquestions.tuteehub.com/tag/ascertain-382940" style="font-weight:bold;" target="_blank" title="Click to know more about ASCERTAIN">ASCERTAIN</a> correct profit or loss. (ii) To <a href="https://interviewquestions.tuteehub.com/tag/show-642916" style="font-weight:bold;" target="_blank" title="Click to know more about SHOW">SHOW</a> the <a href="https://interviewquestions.tuteehub.com/tag/assets-885948" style="font-weight:bold;" target="_blank" title="Click to know more about ASSETS">ASSETS</a> at their proper <a href="https://interviewquestions.tuteehub.com/tag/value-1442530" style="font-weight:bold;" target="_blank" title="Click to know more about VALUE">VALUE</a>.</body></html> | |
| 438. |
What are the methods of recording Depreciation ? |
| 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> :Methods of recording <a href="https://interviewquestions.tuteehub.com/tag/depreciation-948712" style="font-weight:bold;" target="_blank" title="Click to know more about DEPRECIATION">DEPRECIATION</a> are :(i) Depreciation being <a href="https://interviewquestions.tuteehub.com/tag/credited-7316860" style="font-weight:bold;" target="_blank" title="Click to know more about CREDITED">CREDITED</a> to respective Asset Account, and(ii) Depreciation credited to <a href="https://interviewquestions.tuteehub.com/tag/provision-607840" style="font-weight:bold;" target="_blank" title="Click to know more about PROVISION">PROVISION</a> for Depreciation Account.</body></html> | |
| 439. |
What are the objectives of preparing financial statements ? |
| 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> | |
| 440. |
What are the merits of Written Down Value Method? (Any two) |
| Answer» <html><body><p></p>Solution :Merits of <a href="https://interviewquestions.tuteehub.com/tag/written-732709" style="font-weight:bold;" target="_blank" title="Click to know more about WRITTEN">WRITTEN</a> Down <a href="https://interviewquestions.tuteehub.com/tag/value-1442530" style="font-weight:bold;" target="_blank" title="Click to know more about VALUE">VALUE</a> Method are: (i) It takes into consideration repairs and <a href="https://interviewquestions.tuteehub.com/tag/maintenance-1084114" style="font-weight:bold;" target="_blank" title="Click to know more about MAINTENANCE">MAINTENANCE</a> cost in the later years.(ii) It is accepted by the Income <a href="https://interviewquestions.tuteehub.com/tag/tax-1239527" style="font-weight:bold;" target="_blank" title="Click to know more about TAX">TAX</a> Act.</body></html> | |
| 441. |
What are the main classes of Liabilities ? |
| 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> :Non-<a href="https://interviewquestions.tuteehub.com/tag/current-940804" style="font-weight:bold;" target="_blank" title="Click to know more about CURRENT">CURRENT</a> <a href="https://interviewquestions.tuteehub.com/tag/liabilities-1072887" style="font-weight:bold;" target="_blank" title="Click to know more about LIABILITIES">LIABILITIES</a> and Current Liabilities</body></html> | |
| 442. |
What are the limitations of Accounting ?(Any Two) |
| Answer» <html><body><p></p>Solution :The <a href="https://interviewquestions.tuteehub.com/tag/limitations-1074042" style="font-weight:bold;" target="_blank" title="Click to know more about LIMITATIONS">LIMITATIONS</a> of Accounting are: <br/> (i) Non-financial informations are not recorded, and <br/> (<a href="https://interviewquestions.tuteehub.com/tag/ii-1036832" style="font-weight:bold;" target="_blank" title="Click to know more about II">II</a>) It <a href="https://interviewquestions.tuteehub.com/tag/ignores-1036827" style="font-weight:bold;" target="_blank" title="Click to know more about IGNORES">IGNORES</a> <a href="https://interviewquestions.tuteehub.com/tag/price-1165141" style="font-weight:bold;" target="_blank" title="Click to know more about PRICE">PRICE</a> level changes.</body></html> | |
| 443. |
What are the merits of Straight Line Method? (Any two) |
| 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> :Merits of <a href="https://interviewquestions.tuteehub.com/tag/straight-633156" style="font-weight:bold;" target="_blank" title="Click to know more about STRAIGHT">STRAIGHT</a> Line Method are: <br/> (i) It is a simple method of <a href="https://interviewquestions.tuteehub.com/tag/providing-7277228" style="font-weight:bold;" target="_blank" title="Click to know more about PROVIDING">PROVIDING</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>: <br/> (ii) Assets can be depreciated up to the <a href="https://interviewquestions.tuteehub.com/tag/estimated-975638" style="font-weight:bold;" target="_blank" title="Click to know more about ESTIMATED">ESTIMATED</a> residual value.</body></html> | |
| 444. |
What are the disadvantages of Cash Basis of Accounting ? (Two points ) |
| Answer» <html><body><p></p>Solution :Disadvantages of <a href="https://interviewquestions.tuteehub.com/tag/cash-910172" style="font-weight:bold;" target="_blank" title="Click to know more about CASH">CASH</a> Basis of Accounting are : <br/> (i) It does not <a href="https://interviewquestions.tuteehub.com/tag/give-468520" style="font-weight:bold;" target="_blank" title="Click to know more about GIVE">GIVE</a> a true and fair view of profit or loss and the <a href="https://interviewquestions.tuteehub.com/tag/financialposition-989004" style="font-weight:bold;" target="_blank" title="Click to know more about FINANCIALPOSITION">FINANCIALPOSITION</a>. <br/> (ii) It does not follow the 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>.</body></html> | |
| 445. |
What are the factors involved in providing Depreciation? |
| Answer» <html><body><p></p>Solution :Factors involved in providing depreciation are: <br/> (i) <a href="https://interviewquestions.tuteehub.com/tag/historical-487197" style="font-weight:bold;" target="_blank" title="Click to know more about HISTORICAL">HISTORICAL</a> cost of the <a href="https://interviewquestions.tuteehub.com/tag/asset-885901" style="font-weight:bold;" target="_blank" title="Click to know more about ASSET">ASSET</a>. <br/> (ii) <a href="https://interviewquestions.tuteehub.com/tag/estimated-975638" style="font-weight:bold;" target="_blank" title="Click to know more about ESTIMATED">ESTIMATED</a> residual value of the asset at the end of its <a href="https://interviewquestions.tuteehub.com/tag/useful-1441152" style="font-weight:bold;" target="_blank" title="Click to know more about USEFUL">USEFUL</a> <a href="https://interviewquestions.tuteehub.com/tag/life-541672" style="font-weight:bold;" target="_blank" title="Click to know more about LIFE">LIFE</a>, and <br/> (iii) Estimated effective life of the asset.</body></html> | |
| 446. |
What are the informational needs of management ? |
| Answer» <html><body><p></p>Solution :Management needs <a href="https://interviewquestions.tuteehub.com/tag/timely-1420407" style="font-weight:bold;" target="_blank" title="Click to know more about TIMELY">TIMELY</a> information <a href="https://interviewquestions.tuteehub.com/tag/regarding-7661537" style="font-weight:bold;" target="_blank" title="Click to know more about REGARDING">REGARDING</a> sales, costs, profitability <a href="https://interviewquestions.tuteehub.com/tag/etc-975753" style="font-weight:bold;" target="_blank" title="Click to know more about ETC">ETC</a>. for planning, controlling and decision <a href="https://interviewquestions.tuteehub.com/tag/making-1085093" style="font-weight:bold;" target="_blank" title="Click to know more about MAKING">MAKING</a>.</body></html> | |
| 447. |
What are the disadvantages of Accrual Basis of Accounting? (Two points) |
| Answer» <html><body><p></p>Solution :<a href="https://interviewquestions.tuteehub.com/tag/disadvantages-440372" style="font-weight:bold;" target="_blank" title="Click to know more about DISADVANTAGES">DISADVANTAGES</a> of Accrual <a href="https://interviewquestions.tuteehub.com/tag/basis-893664" style="font-weight:bold;" target="_blank" title="Click to know more about BASIS">BASIS</a> of Accouting are : <br/> (i) The accounting process is more <a href="https://interviewquestions.tuteehub.com/tag/elaborate-967511" style="font-weight:bold;" target="_blank" title="Click to know more about ELABORATE">ELABORATE</a>. <br/> (ii) It is more complicated than <a href="https://interviewquestions.tuteehub.com/tag/cash-910172" style="font-weight:bold;" target="_blank" title="Click to know more about CASH">CASH</a> Basis of Accounting and requires adequate <a href="https://interviewquestions.tuteehub.com/tag/skills-25483" style="font-weight:bold;" target="_blank" title="Click to know more about SKILLS">SKILLS</a>.</body></html> | |
| 448. |
whatare thedifferent kindsof software ? |
| Answer» | |
| 449. |
whatare the differentelements of acomputer system? |
| Answer» | |
| 450. |
What are the demerits of Written Down Value Method? (Any two) |
| 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> :Demerits of Written Down Value Method are:(i) It is difficult,to <a href="https://interviewquestions.tuteehub.com/tag/ascertain-382940" style="font-weight:bold;" target="_blank" title="Click to know more about ASCERTAIN">ASCERTAIN</a> the <a href="https://interviewquestions.tuteehub.com/tag/correct-409949" style="font-weight:bold;" target="_blank" title="Click to know more about CORRECT">CORRECT</a> rate of depreciation. <br/> (ii) Under this method, value of asset cannot be zero.</body></html> | |