Final Accounts

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1. Difference of total of debit and credit side of the trial balance is transferred to  

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Final Accounts - Quiz

2.

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2. Following balances have been taken from the books of VED & Co. General expenses 800, Discount allowed 200, Rent paid 3710, Opening stock 16500, Electric charges 190, Sales 63500, Carriage inward 850, Purchases 46850, Return outwards 110, Wages 2500, Salaries 1110, Sales Return 450, Closing Stock 18210- Net profit of the business will be______  

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3. Goods purchased Rs.2,00,000. Sales Rs.1,10,000. Margin 25% on sales. Closing stock is        

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4. Interest earned but not received, adjustment entry will be

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5. Liability for bill discounted is a ___________.  

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6. On 1 4.2006 Mohan invested Rs.1,00,000 in a business. Interest of capital is to be allowed @ 12 % p.a.Accounting year is financial year.Amount of interest to be charged to profit and loss account for the year 2006-2007 is

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7. On Jan 1, 2001 the position of V. Mathur was as follows Stock in hand Rs. 2400; Bills payable Rs. 400; Cash at Bank Rs. 1800; Plant and machinery Rs. 1000; Owing by debtors Rs. 500; Owing to creditors Rs. 800; Investments 2000; Loan from Raja Ram Rs. 1500. V. Mathur's capital on the above date will be 

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8. On Jan 1, 2005 Ram Gopal invested Capital of Rs. 50,000. He withdrew Rs. 2,000 on the first day of each month interest on drawings is provided @ 10%. The amount of interest on drawings deducted from Capital will be

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9. Opening balance of Captial                               Rs.5,000 Net profit                                                                       2,770 Income tax                                                                        550 Drawings                                                                          650 Interest on captial                                                           500 Interest on drawings                                                      120 Capital at end will be  

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10. Rs.Opening stock 5,570,Purchases 13,816,closing Stock 8,880,Sales 15,248,Purchase return 390,Import charges 1,650,Sales return 524,Salary & wages 1,000 Above figures will show Gross Profit __________.

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11. Which reserve is not shown in balance sheet?  

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12. Which of the following is not an intangible Asset ?

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13. Which of the following is a non cash expense  

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14. Which of the following is /are current Asset ?  

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15. Which of the following is correct?

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16. XYZ & Company employs a team of ten workers who were paid Rs.1,000 each in the year ending 31st December, 2005. At the start of year 2006, the company raised salaries by 10%. The amount of salaries for the year ended 31st December, 2006 will be.  

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17. Sales returns appearing in the trial balance are deducted from  

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18. Some funds are required for conducting day to day operations of an enterprise. They are represented by excess of current assets over current liabilities. Here, Current assets are those assets which are converted into cash or consumed within a years time. (Debtors and stock are examples of current assets). While current liability falls due for payment in a relatively  short period, normally not more than twelve months. Such funds are termed as ________.

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19. The trial balance checks  

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20. Prepaid insurance given in trial balance is recorded in _________.

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21. Ramesh, an employee of salary Rs. 10,000 per month withdrew goods worth Rs. 1,500 for personal use and got salary of Rs. 9,000 in cash in the month of March, 2006. The excess payment of Rs. 500 should be debited to  

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22. The trail balance of Meghna shows the opening stock of Rs. 10,000, it will be           

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23. A new firm commenced business on 1st January, 2006 and purchased goods costing Rs. 90,000 during the year. A sum of Rs. 6,000 was spent on freight inwards. At the end of the year the cost of goods still unsold was Rs. 12,000. Sales during the year Rs. 1,20,000. What is the gross profit earned by the firm?  

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24. A new firm commenced business on Jan. 1, 2006 purchased goods costing Rs. 19,500 during the year.A sum of Rs. 400 was spent on carriage inward and Rs. 1000 on wages. At the end of the year the cost of goods still unsold was Rs. 12,000. Sales during the year Rs. 25,000. What is the gross profit earned by the firm __________.           

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25. Capital introduced by Mr.A on 01.01.2005 Rs. 100000. Further capital introduced during the year was Rs. 50,000. Mr. A withdrew Rs. 200 per month on the last date of each month. Interest on drawings was charged @ 5%. Profit earned during the year was Rs. 10,000. Capital on 31.12.05 will be  

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26. Capital introduced in the beginning by Ram Rs. 16,080; further capital introduced during the year in the form of machinery Rs. 2000; personal expenses during the year - Drawings in cash                            Rs. 3,000 Life Insurance Premium                 Rs. 250 Closing capital                                Rs. 21,925 The amount of profit or loss for the year will be  

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27. Salary has been paid for 11 months from April 2005 to February, 2006 amounting Rs.22,000. The amount of outstanding salary shown in the balance sheet will be:  

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28. Interest on capital at 6% p.a. is to be allowed. Capital in the beginning was Rs. 3,00,000. Interest amount will be

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29. Mr.Prakash sells goods at 1/3 above cost.His sales were Rs.10,20,000 during the year .However ,he sold damaged goods for Rs.20,000 costing Rs.30,000.This sale is included in Rs.10,20,000.The amount of gross profit is :

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30. 18% investment of Rs. 1,00,000 and interest received on investment Rs. 15,000 have been given in the trial balance for the period ended on 31.3.2006. The amount of interest outstanding in the final accounts will be  

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31. Carriage outward is debited to

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32. Drawings are deducted from_________  

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33. Following are the details of position statement Closing Stock                         Rs.40,000         Drawings                                 Rs.12,000     Net Profit                                  Rs.18,000 Capital                                     Rs.70,000 Debtors                                    Rs.40,000 Cash at Bank                          Rs. 8,000 Creditors                                  Rs. 30,000 Cash                                          Rs.3,000 Depreciation provision           Rs.4,000  Bills receivable                         Rs.5,000 Liabilities for expenses            Rs.3,000 Bills payable                                Rs.3,000 Balance sheet  total will be  

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34. Following figures have been taken from the trial balance of a trader  Opening stock                                          Rs.14,500  Purchases                                                Rs.75,995  Carriage Inward                                       Rs.1,700  Wages                                                        Rs.825  Sales                                                           Rs.93,750  Goods sent on Consignment                Rs.20,000 Amount of profit will be         

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35. If Cost of goods sold is Rs.80,700, Opening stock Rs.5,800 and Closing stock Rs.6,000. Then the amount of purchase will be  

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36. Land and building is a  

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37. Salary and wages is debited to

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38. Suspense Account in the Trial Balance will be entered in the :  

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39. Sundry debtors of M/s Santosh amounts to Rs.25,000 and bad debts Rs.3,000.M/s Santosh provides for doubtful debts @2 % and for discount @ 1 % .The amount of net debtors to be shown in the balance sheet will be 

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40. Present liability of uncertain amount, which can be measured reliably by using a substantial degree of estimation, is termed as_____________.

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41. A purchased a computer costing Rs. 10,000.00 repairing expenses Rs. 1,000.00 and miscellaneous expenses Rs. 500.00. He sold the computer at 20% margin on selling price. The sale value will be:  

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42. Following figures have been taken from the trial balance of a trader; Purchases                                                           Rs.30,000 Purchase Returns                                             Rs. 5,000 Sales                                                                     Rs.40,000 Sales Returns                                                     Rs. 5,000 The amount of profit will be  

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43. Given below are the ledger balances of a management consultancy firm: Capital Rs.4,00,000, Computer Rs. 25,000, Air conditioner and furniture Rs. 1,00,000, Fixed Deposits Rs.2,00,000, Salaries Rs.8,00,000, Fees received Rs. 12,00,000, Travelling expenses Rs.1,50,000, Rent and office expenses Rs.2,40,000, Cash balances Rs. 1,80,000. Bank overdraft Rs. 95,000. The total Of trial balance will be

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44. Interest on drawings is_________ for the business.  

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45. Opening stock of material is Rs.12000, purchases Rs.30,000 carriage Rs.5,000, Sales value Rs.40,000, closing stock 14,000 & other indirect expenses Rs.2,300. Amount of Gross Profit will be

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46. Which of the following is not a current asset?  

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47. Which of the following is a current asset?  

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48. When obligation is not probable or the amount expected to be paid tosettle the liability cannot be measured with sufficient reliability, it is called                                                                                                          

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49. Salaries - Rs.4,000 Interest on overdraft - Rs.200 Office expenses - Rs.5,000 Rent paid - Rs.2,000 General expenses - Rs.5,100 Advertisement - Rs.5000 Gross profit - Rs.35,000 Commission received - Rs.4,000 Capital - Rs.50,000 Amount of net profit will be 

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50. A plant & machinery worth Rs.1,00,000 is insured for Rs.60,000. It is completely destroyed by fire. The loss to be admitted by the insurance company will be  

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51. Which account is the odd one out?  

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52. Drawing is a type of
 

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53. From the following figures ascertain the gross profit/loss : Opening stock = Rs.60,000 Cost of goods sold = Rs.2,20,000 Freight on purchase = Rs.1,20,000                                                                         

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54. Net profit before commission has been Rs.1,20,000.Manager's commission is 20 % of net profit before charging such commission .The amount of manager's commission is

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55. Opening stock of raw material of a manufacturing concern is Rs.10,000, Purchase during the year is Rs.2,00,000, Wages Rs. 50,000, Carriage Rs.5,000, Factory overheads Rs.1,25,000 and closing stock of raw material is Rs. 15,000. The amount to be transferred is  

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56. Trial balance shows the following balance Capital - Rs.30,000 (Cr.) Payment of advance income tax - Rs.1,500 Income tax paid - Rs.4,000 Capital A/c balance at the end of the year will be 

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57. Returns inward is debited to  

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58. What is the order in which the accounting transactions and events are recorded in the books?  

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59. The expired portion of capital expenditure is shown in the financial statement as 

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60. Which of the following items is an asset?  

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61. Accounts payable              60,000 Capital                                 1,00,000 Cash in hand                      1,24,000 Prepaid expenses                  2,000 Cash at Bank                       2,90,000 inventories                            1,60,000 Long Term Loan                   3,00,000  Wages payable                    1,20,000  Investments                                20,000 Net profit                                        96,000 Bills receivable                              80,000  Total of Balance Sheet will be 

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62. Adjustment entry for interest earned but not received will be  

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63. Calculate gross profit if rate of gross profit is 25% on sales and cost of goods are Rs.1,80,000  

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64. In case a trial balance does not agree the difference is put to  

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65. Net Profit before charging manager commission is Rs. 22,000 and the manager is to be allowed a commission of 10% on the profit after charging such commission. Commission amount will be          

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66. Net salary paid to employees Rs.5,00,000 in cash after deducting income tax Rs.50,000 professional tax Rs.10,000. Salary A/c will be debited with  

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67. Nidhi started her business with capital of Rs.45,000 on 1st January, 2006. Interest on drawings Rs.5,000 and interest on capital Rs.2,000 were appearing in the Profit and Loss A/c for the year ended 31st December, 2006. Nidhi withdrew Rs.14,000 during the year and profit earned during the year amounted to Rs.15,000. Her capital on 31st December, 2006 is 

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68. A building worth Rs. 10,00,000 is insured for Rs. 6,00,000. It is completely destroyed by fire. The loss to be admitted by the insurance company will be  

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69. Cost of goods sold Rs. 70,800 Sales Rs. 1,30,200 Gross Profit will be  

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70. Following figures have been taken from the book of a trader Purchases - 1,00,000 Purchases returns  - 9,000 Sales - 1,60,000 Sales returns - 8,000 Carriage outward  - 5,000 Office rent  - 4,000 Amount of gross profit will be  

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71. G's trial balance contains the following information - Bad debts Rs. 4,000; Provision for Bad debts Rs. 5,000; Sundry debtors Rs. 25,000 It is desired to create a provision for Bad debts at 10% on Sundry debtors at the end of the b year. Sundry debtors will appear in the balance sheet at    

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72. Good will is_______  

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73. Gross profit is the difference between  

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74. If capital at the end of the year is Rs.40,000; capital introduced during the year Rs.30,000; Drawings for the year is Rs.20,000 and Loss of the year is Rs.60,000 then capital at the beginning of the year was  

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75. If sales revenues are Rs. 4,00,000; cost of goods sold is Rs. 3,10,000 and operating expenses are Rs.60,000, the gross profit is :  

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76. Loss leads to a reduction in  

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77. Opening Stock                   8,500 Purchases                        30,700 Direct Expenses                 4,800 Indirect Expenses               5,200 Closing Stock                       9,000 Cost of goods sold will be:  

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78. Outstanding wages in trial balance is recorded in_________  

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79. The profit of the M/s JPH, a partnership firm before charging managerial commission is Rs.84,000. The managerial commission is charged @ 5%on profit after charging such commission. The amount of managerial  commission will be        

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80. Outstanding Salaries given in the trial balance is recorded in  

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81. Ram, the manager, is entitled to get a commission of Rs. 25 per article sold plus 1/4 th of the amount by which the gross sales proceeds less total commission there on exceed a sum at the rate of Rs. 125 per article sold. b Ram sold 450 articles at Rs. 73800. commission amount will be ________.  

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82. Which of the following is not an asset

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83. The accountant of M/s ABC & Bros, paid personal income tax for the proprietor amounting Rs.10,000. This income tax should be  

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84. Salary has been paid for 9 months from April to December 2005 amounting Rs.72,000. The amount of outstanding salary shown in the balance sheet will be  

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85. Trial Balance (Total method)                                                                               Dr.                                   Cr. S.No.           Name of the account                  (Rs.)                                 (Rs.) 1.                    Cash account                          11045                              7865 2.                    Capital account                                                                 10,000 3.                    Bank account                             7000                                  100 4.                    Purchase account                        725 5.                    Sales account                                                                        950 6.                    Krishna                                             375                                375 7.                    Salary                                                      5                                   10 8.                    Rent account                                    150                                                                              ------------------                --------------                                                                                19,300                            19,300                                                                                 ----------------                 ---------------- Amount of total balance according to balance method will be: 

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86. The accountant of the firm M/s ABC is unable to tally the following trial balance
S.No. Account Heads Debit (Rs.) Credit (Rs.
1- Sales   12r500
2. Purchases 10,000  
3 Miscellaneous expenses   2,500
  Total 10,000 15,000
The above difference in trial balance is due to  

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87. Trial balance shows the following balance                                                                 Dr.                 Cr. Capital                                                 50,000 Income tax                                         10,000 Income tax advance payment         1,600 Interest on advance payment of tax                    40 Capital a/c balance will be

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88. Carriage inwards is debited to  

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89. Depreciation on machinery in trial balance is recorded in_____________  

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90. Opening stock of the year is Rs.20,000, Goods purchased during the year is Rs.1,00,000, Carriage Rs.2,000 and Selling expenses Rs.2,000.Sales during the year is Rs.1,50,000 and closing stock is Rs.25,000. The gross profit will be:  

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91. The equality of debits and credits of the_________ does not mean that the individual accounts are also accurate,  

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92. Consider the following data pertaining to H Ltd. for the month of March 2005: Particulars  As on March 01, 2005 (Rs.)     As on March 31, 2005 (Rs.) Stock               1,80,000                                                      90,000 The company made purchases amounting Rs. 3,30,000 on credit. During the  month of March 2005, the company paid a sum of Rs.3,50,000 to the suppliers. The goods are sold at 25% above the cost. The sales for the month of March,2005 were  

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93. Financial position of the business is ascertained on the basis of:  

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94. Fixed assets are  

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95. Goods sold for cash Rs. 10,000, plus 10% sales tax. Sales will be credited by  

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96. Mr. Mohan started a cloth business by investing Rs. 50,000, bought merchandise worth Rs. 50,000. He sold merchandise for Rs. 60,000. Customers paid him Rs. 50,000 cash and assured him to pay Rs. 10,000 shortly. The amount of revenue earned by him is  

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97. Which of the following is fixed asset?    

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98. Rent Rs.10,000; Provision for bad debts (old) Rs.10,000 Salaries Rs.8,000 Apprentice Premium (credit) Rs.12,000 Gross profit Rs.70,000 ( Old Provision is not necessary ) Net profit of the firm will be  

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99. Purchase returns appearing in the trial balance are deducted from  

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100. B's trial balance contains the following information- Make provision at the end of the year Rs.10,000 Provision for bad debts at the beginning of the year Rs.4,000 Bad Debts Rs.6,000 .The amount to be debited to Profit & Loss A/c  

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101. Capital expenditures are recorded in the____________  

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102. Jan 1, 2006 Provision for doubtful debts A/c         Rs. 990 Dec. 31, 2006 Bad Debts                                              Rs.1,850 Dec. 31, 2006 Debtors                                                  Rs.30,000 information Make a provision for discount on debtors 2%. Provision for discount on debtors will be  

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103. Which Liability is not included in the total of Balance Sheet?  

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104. Stock at start                         2400 Purchases                            15205 Sales                                      20860 Closing stock                          3840 Return outward                        185 Return Inward                           860 Carriage inward                       524 Manufacturing wages           2800 Manufacturing wages outstanding     96 Loss due to fire                       1000 Indirect expenses                    200 On the basis of the above information, Gross Profit will be  

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105. Closing entry for transferofNet profit Rs. 6300 to capital A/c will be options:                                                     Rs.                             Rs. (A)   Capital A/c                                    Dr 6300                To P&L A/c                                                                    6300 (B)   P&L A/c                                         Dr. 6300                 To Capital A/c                                                             6300 (C)  Trading A/c                                    Dr. 6300               To P&L A/c                                                                     6300  (D) None of the three

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106. Cost of goods sold can be calculated by  ___________.  

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107. Following are the extracts from the Trial Balance of a firm as on 31st December, 2005. Particulars                                                                         Rs. Sundry debtors                                                               30,000 Bad debts                                                                            5,000 Additional information: (i)  After preparing the trial balance, it is learnt that a debtor, Mohan became insolvent and therefore, the entire amount of Rs.3,000 due from him was irrecoverable. (ii)  10% provision for bad and doubtful debts is generally created. The amount of provision for bad and doubtful debts to be charged to profit and loss account will be  

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108. Following figures have been taken from the trial balance of a trader Gross Purchase         Rs.60,000                Gross Sales                Rs.1,00,000 Purchase Returns     Rs.5,000               Sales Returns             Rs.7,000                                 Duty Drawback           Rs.6,000                   Sales Tax                     Rs.12,000 The amount of G.P. will be  

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109. Gross Profit 51,000, Carriage Outwards 5,800, Rent paid 6,400, Bad Debts 2,600, Apprentice premium (Cr.) 1,500, Printing & Stationery 1,000, Net profit of the firm will be ______________________.  

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110. If a purchase return of Rs.1,000 has been wrongly posted to the debit of the sales return account, but has been correctly entered in the suppliers account then the total of the  

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111. If cost of goods sold is Rs.1,00,000, sales is Rs.1,25,000, closing stock is Rs.20,000, the gross profit will be  

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112. If sales are Rs. 2,000 and the rate of gross profit on cost of goods sold is 25%, then the cost of goods sold will be

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113. In a sole trade, income tax is recorded as

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114. Income tax in case of a sole trader is treated as______________  

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115. Jan 1, 2006 Provision for doubtful debts A/c         Rs. 990 Dec. 31, 2006 Bad Debts                                              Rs.1,850 Dec. 31, 2006 Debtors                                                  Rs.30,000 information Make a provision for bad debts 5% on debtors.

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116. Manufacturing account is prepared to

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117. MND & Company employs a team of 15 workers who were paid Rs.2,000 each in the year ending March 31, 2006. At the start of the year April 2006, company raised salaries by 25%. The amount of salary for the year ended 31st March, 2007 will be  

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118. Mohan's trial balance contains the following information: Discount received Rs.1,000; Provision for discount on creditors Rs.1,600; It is desired to maintain a provision for discount on creditors at Rs.1,100. The amount to be credited to P & L Account is  

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119. Municipal tax Rs. 50,000 under dispute is a  

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120. Opening balance of capital - Rs.15,000 Income tax - Rs.2,500 Net profit - Rs.1,500 Drawings - Rs.1,000 Interest on Capital-Rs.750 Interest on drawings-Rs.300 Capital at the end will be

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121. Opening Stock - Rs.40,000 Purchase - Rs.1,00,000 Closing stock - Rs.30,000 Carriage inwards - Rs.5,000 Carriage outwards - Rs.3,000 Office rent - Rs.4,000 Sales - Rs.2,00,000 Gross profit will be  

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122. Opening Stock = Closing Stock + ? - Purchases  

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123. _________ is not added in the total of Balance sheet  

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124. Which of following statement is not true  

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125. Opening Stock          Rs.80,000.00  Cash Purchases      Rs.1,00,000.00 Credit purchases      Rs.2,00,000.00 Cash Sales                Rs. 1,60,000.00  Credit Sales               Rs.2,50,000.0 Purchases returns     Rs.6,000.00  Sales returns               Rs.10,000.00 Carriage inwards         Rs.12,000.00  Wages                            Rs.12,000.00 Closing Stock                Rs.60,000.00 Gross profit of the firm will be  

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126. Particulars                                                  Amount Salaries                                                        4,000 Interest on loan                                           5,000 Bad debts                                                     1,200 Wages                                                           1,000 Gross Profit                                                 25,000 Interest on investment  received             1,200 Freight inward                                               2,000 Net Profit will be       

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127. Which of the following are fixed assets

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128. Returns Inward, appearing in the trial balance are deducted from  

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129. The profit and loss account shows

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130. When adjusted purchase is shown on the debit column of the trial balance then  

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131. Sundry debtors on 31st March 2006 are Rs.55,200. Further bad debts are Rs.200. Provision for doubtful debts are to be made on debtors @ 5% and also provision of discount is to be made on debtors @ 2%. The amount of provision of doubtful debts will be  

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132. A club paid Subscription fees of Rs.1,800 out of which Rs.400 is prepaid.In such case

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133. A manager gets 5 % commission on net profit after charging  such commission.If gross profit is Rs.48,000 and expenses of indirect nature other than manager's commission are Rs.6,000.Commission amount will be __________.

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134. A seller sells goods at a profit of 25% on sales. In a particular month, he sold goods costing 45,000. Sales price of goods will be  

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135. A trader sells goods at a profit of 25% on sale. In a particular month he sold goods costing Rs. 34,200 sale price of goods will be                                                                                                       

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136. A trial balance at 31st March contains the following information : 15% Loan Rs.30,000; Interest paid Rs.3,000; interest debited to the P & L A/c is

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137. Following figures have been taken from the books of a trader Purchases                  60,000 Purchase returns     10,000 Sales                            80,000 Sales Returns            10,000 Carriage out wards    1,000 Office Rent                   1,000 Amount of Gross Profit will be  

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138. Total operating expenses 30,000;total direct expenses Rs.10,000;Miscellaneous income Rs.5,000 the gross profit will be 

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139. The trial balance of M/s Narain Manufacturers shows closing stock of Rs. 30,000. It will be recorded in

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140. Profit leads to increase in  

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141. Capital introduced in the beginning by Shyam Rs.. 3,00,000; further capital introduced during the year Rs. 2,00,000; Drawing Rs. 1,500 per month and closing capital is Rs. 4,50,000. The amount of profit or loss for the year is      

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142. Following balances are given in trial balance 6% Loan on (1.1.2005)(Cr.) 10,000 interest on Loan (Dr.) 300 interest payable and outstanding will be:  

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143. In case opening stockwas 15,000. Purchases Rs.25,000, factory lighting Rs.5,000 and closing stockRs.10,000. Then, the cost of goods sold had been  

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144. Income earned but not received is shown in  

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145. On 1-4-2005, Ram invested Rs.1,00,000 in a business. Interest of capital is to be allowed @ 12% per annum. Accounting year is financial year. Amount of interest to be charged to P & L Account for the year 2005-2006 is:  

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146. Opening Stock                     Rs. 20,000 Carriage on sales               Rs. 3,000 Closing Stock                      Rs. 18,000 Rent of Office                       Rs. 5,000 Purchases                           Rs. 85,800 Sales                                    Rs. 1,40,700 Carriage on purchases                  2,300 Gross profit will be  

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147. Rs. 50,000 claim for workmen's compensation under dispute is a  

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148. Unexpired portion of Capital expenditure is shown in  

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149. Sundry debtors on 31st March, 2005 are Rs.1,05,000. Further bad debts are Rs.5,000, sales return recorded in the books Rs.10,000. Old provision for bad debts is Rs.4,000. Provision for doubtful debts is to be made on debtors @ 10% and also provision of discount is to be  made on debtors @ 3%. What will be the amount of bad debts charged in Profit and Loss A/c after considering provisions for bad debts?                                                

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150. X sells goods at Cost plus 60%. Total sales were Rs. 16,000. cost price of the goods will be:  

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151. A manager gets 10% commission on sales. Cost price of goods sold is Rs.80,000 which he sold at a margin 20% on sale. Amount of commission will be  

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152. A fire broke out on 30th March, 2006 in the godown of Mahesh stock of invoice value Rs.1,600 was destroyed. The goods are invoiced at 25% above cost. The insurance company admitted claim of 50% only. The insurancea claim will be:  

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153. Gauri paid Rs. 1,000 towards a debt of Rs. 1,050, which was written off as bad debt in the previous year. Gauri's account should be credited with  

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154. Gross profit                                      50,000 Rent paid                                            6,000 Salaries                                              5,800 Provision for Bad Debts(old)          2,000 Apprentice Premium(credit)            4,000 Net profit of the firm will be(provision for bad debts not necessary)  

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155. In the books of manufacturing concern, opening stock consists of  

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156. Loan A/c credit balance on Dec. 31, 2006 15,000, Loan paid on June 30,2006 4,000, Loan paid on Sept. 30, 2006 5,000, Interest on loan is to be charged 9% p.a. Interest amount will be             

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157. On 1st February, 2005, a loan of Rs.10,000 was given @ 12% per annum. Interest was received for3 months from February to April in April, 2005. In the financial statements of the year ended 31st March, 2005 amount of accrued interest should be:  

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158. Which of the following sets of expense are the direct expenses of business  

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159. Trial Balance is a  

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160. Suresh's Trial balance provides you the following information: Bad debts Rs.10,000 Provision for doubtful debts Rs.15,000 Suresh wants to make a provision of Rs.20,000 at the end of the year. The amount debited to the Profit & Loss Account is:  

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161. Unexpired rent given in trial balance is recorded in 

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162. Trial balance of a trader shows the following balances Opening Stock                                             Rs.9600 Purchases less returns                             Rs.11850 Salaries and wages                                   Rs.3200 Commission on Purchases                     Rs.200 Carriage outwards                                     Rs.300 Sales                                                             Rs. 24900 Closing Stock                                              Rs. 3500 Gross profit will be  

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163. Ram started business on 01.01.06 with a capital of Rs. 20,000 and he borrowed Rs. 3,000 from a friend. He earned a profit of Rs. 10,000 during the year and withdrew cash Rs. 5,000 for private use. What is his capital at the end of the year?  

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164. Rent paid on 1 October, 2004 for the year to 30 September, 2005 was Rs. 1,200 and rent paid on 1 October, 2005 for the year to 30 September, 2006 was Rs. 1,600. Rent as shown in the profit and loss account for the year c ended 31 December 2005, would be:  

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165. The accountant of the firm M/s ABC is unable to tally the following trial balance. S.NO      Account heads                        Debit(Rs.)        Credit(Rs.)  1.              Sales                                                                    15,000  2.              Purchases                              10,000  3.              Miscellaneous expenses        2,500  4.              Salaries                                                                  2,500                   Total                                             ----------              -------------                                                                          12,500                17,500                                                                       ------------             ------------- The above difference in trial balance is due to  

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166. B/R is a _________.  

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167. Capital introduced by Mr. A on 1.4.2006 Rs. 3,00,000; further capital introduced during the year was Rs. 50,000 in the mid of the year. Mr. A withdrew Rs. 2,000 per month and the profit earned during the year was Rs. 20,000. Capital as on 31.3.2006 was 

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168. Capital on January 1, 2004 Rs.15,200, Capital on January 1, 2005 16,900, Drawings made during the year 4,800, Additional Capital introduced during the year 2,000. Profit of the firm will be  

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169. Profit is a part of

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170. Capital introduced by Mr, A on 01.04.05 Rs. 300,000, further capital introduced during the year was Rs. 50,000 in the mid of the year. Mr. A withdrew Rs. 2,000 on the first day of each month. Interest on drawings is charged @ 5%. Profit earned during the year was Rs. 20,000. Capital at the end of the financial year will be          

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171. Following figures have been taken from the trial balance of a trader Purchases (Adjusted) Rs. 30,000 Sales Rs. 40,000 Closing Stock Rs. 5,000 The amount of profit will be                                         

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172. Following is an incorrect trial balance                                                  Dr. Balance(Rs.)                             Cr.Balance(Rs.)  Sen Gupta Capital                    ----                                                           1556 Sen Gupta Drawings                 564                                                           ----- Leasehold premises                750                                                            ----- Sales                                           ----                                                             2750 Dues from customers              ----                                                               530 Purchases                               1259                                                             ------- Purchases return                     264                                                              ------ Loan from Bank                        ----                                                               256 Creditors                                  528                                                                ----- Trade expenses                     700                                                                 ------ Cash at Bank                          226                                                                ------- Bills payable                           100                                                                 ------- Salaries and Wages             600                                                                 ------- Opening stock                        -----                                                                 264 Rent and taxes                     463                                                                   ------ Sales return                           -----                                                                    98 Total of corrected trial balance will be  

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173. In the beginning of 2001 person has goods worth Rs. 4000 in his godown. During the year he purchased goods worth Rs. 20,000. His sales during the year were Rs. 30,000 and there were goods still lying in his godown worthA Rs. 3000. Profit has been made  

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174. In the case of downward revaluation of an asset, which is for the first time revalued,__________account is debited.

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175. What would be the amount of sales when opening stock is Rs.20,000.Purchase Rs.50,000 wages Rs.10,000. Closing stock Rs.20,000 and gross profit is 1/7th of sales.  

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176. Trial Balance containing obvious errors given below                                                  Dr. (Rs)                       Cr.(Rs) Purchases                            60,000  Reserve Fund                      20,000 Sales                                                                            1,00,000 Purchase return                     1,000 Sales Return                                                                  2,000 Opening Stock                       30,000 Closing Stock                                                                 40,000  Sundry Expenses                                                           20,000 Outstanding Expenses             2,000   Cash at Bank                               5,000 Fixed Assets                                50,000 Debtors                                                                               80,000 Creditors                                                                             30,000 Capital                                            94,000 Suspense A/C                               10,000                                                            -------------                   --------------                                                          2,72,000                       2,72,000                                                         ---------------                  --------------- Total of corrected trial balance will be

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177. Prepaid salary has a  

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178. Which financial statement represents the accounting equation,assets = Liabilities+Owner's equity :

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179. An inexperienced book-keeper has drawn up a trial balance for the year ended 30th June,2006                                                           Dr.                                  Cr. Provision for Doubtful Debts -Rs.200                              ------ Bank overdraft                      -    Rs.1654                             ----- Capital                                   -        ----                               Rs.4591 Creditors                              -        -----                                Rs.1637 Debtors                                - Rs.2983                                    ----- Discount received              - Rs.252                                      -----  Discount allowed               -      ----                                     Rs.733 Drawings                             - Rs.1200                                     ----- Office furniture                    - Rs.2155                                     ----- General expenses            -   ----                                           Rs.829 Purchases                          - Rs.10923                                    ---- Return inward                    -    ---                                            Rs.330 Rent and Rates                 - Rs.314                                      -----  Salaries                              - Rs.2520                                    -----  Sales                                   -   ----                                        Rs.16882 Stock                                    - Rs.2418                                      ---- Stationary                            - Rs.1175                                      ----   Provision for Depreciation on furniture - Rs.364                 ---- Total                                                           ----------------       -------------                                                                          26.158            250002                                                                    ------------------       ----------- Corrected trial balance will be    

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180. Consider the following items (1)     Prepaid Salary (2)    Accrued Interest (3)     Loan (4)     Bank overdraft Current Liability would include-  

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181. On 1st April, 2005 M/s Omega Bros, had a provision for bad debts of Rs. 6500. During 2005-2006 Rs. 4200 proved irrecoverable and it was desired to maintain the provision for bad debts @ 4% on debtors which stood at Rs. 195,000 before writing off bad debts. Amount of net provision debited to profit and lossA/c will be  

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182. Cost of goods sold Rs.8,000. Closing stock Rs.3,000 opening stock Rs.2,500. Wages Rs.1000. Purchases will be  

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183. Following are the extracts from the Trial Balance of a firm as at 31st March, 2006: Name of Account Balance             Debit  (Rs.)      Credit(Rs.)            Salaries                                    16,000 P.F. deducted from salaries                                         1,000 Provide for employer's share of P.F. equivalent to employee's share to P.F. The amount at which salaries expense will be shown in the Profit and Loss A/c is  

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184. Following are the items of the balance sheet of Mr. X: Capital Rs. 7,00,000; Machinery Rs. 5,00,000 and cash Rs. 2,00,000. If Mr. X spends Rs. 5,000 to meet his family expenses, the balance of capital and cash accounts will be  

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185. Followinig figures have been taken from the books of a trader Purchases                          3,00,000 Purchase returns                     6,000 Sales                                 4,10,000 Sales Returns                         10,000 Opening Stock                      80,000 Carriage & Freight                12,000 Duty & Clearing Charges     4,000 Wages                                       8,000 Closing Stock                         60,000 Gross profit will be  

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186. From the following figures prepare balance sheet of the Mr. X as on Dec.31, 2006 Goodwill - Rs.70,000 Plant &Machinery - Rs.60,000 Investments-Rs.25,000 Outstanding - Rs.5,000 expenses Closing stock - Rs.25,000 Creditors - Rs.45,000 Net profit - Rs.22,000 Bank overdraft - Rs.15,000 Debtors - Rs.35,000 Furniture - Rs.10,000 Bills payable - Rs.10,000 Bills Receivable - Rs.9,000 Cash -Rs. 6,000 Drawings - Rs.12,000 Capital - Rs.1,55,000 Balance sheet total will be     

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187. Goods destroyed by fire Rs. 25000 and Insurance company admitted full claim. Claim receivable will be recorded in __________.

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188. Goods destroyed by fire Rs. 50,000 and Insurance company admitted 60% claim. This adjustment will be entered in  

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189. Mohan started business with Rs. 10,000.00 cash and Rs. 2,000.00 furniture. Sales amounted to Rs. 50,000.00 including Rs. 5,000.00 cash sales. Rs. 10,000.00 sales were outstanding at the end of the year. Purchase amount* to Rs. 30,000.00 including Rs. 10,000.00 cash purchases Rs. 15,000.00 has been paid to creditors. Expenses paid during the year 19,300. Trial Balance total will be   

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190. Mr. A started a business on 1st January 2005 with Rs. 5,00,000. During the year he bought goods worth Rs. 1,00,000 on credit and sold 80% of the same goods at profit of 20% on cost. At the end of the year 2005, the amount of opening stock to be shown in the trial balance of Mr. A will be  

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191. On 1st April, 2005 Raghu invested capital of Rs.2,00,000. He withdrew Rs.50,000 during the year. Interest on drawings is provided @ 10% per annum. The amount of interest on drawings deducted from capital is:  

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192. Opening stock Rs.1,00,000, closing stock Rs.50,000, purchases Rs.2,00,000, sales Rs.5,00,000. Gross profit rate 20% on sales. The amount of gross profit is

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193. Trial Balance is prepared according to  

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194. Working Capital is__________  

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195. The following information pertaining to a firm as on 31 December 2006 Opening Stock Rs.20,000 Purchases Rs.1,50,000 ,Sales     Rs.1,40,000.Gross profit on sales has been 25%. The cost of goods sold during the year will be  

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196. The opening stock of the current year is over stated by Rs.10,000.and closing stock is over stated by 17,000.These errors will lead the net income for the current year to be

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197.                                                             Dr.                          Cr. Cost of goods sold                       Rs.1,50,000           __ Closing Stock                                   __                        Rs.40,000 Debtors                                              __                        Rs.60,000 Fixed Assets                                    Rs.50,000               _ Opening Stock                                 Rs.60,000              _ Sundry Expenses                             __                         Rs.20,000 Sales                                                   _                             Rs.2,00,000 Capital                                               Rs.90,000                 __ Creditors                                               __                        Rs.30,000                                                          -----------------           ----------------                                                          Rs.3,50,000            Rs.3,50,000                                                          -----------------           ------------------ Total of correct trial balance 

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198. Rekha purchased a machinery for Rs. 50,000 on 1.4.2006. She paid electricity and and salary amounting Rs. 1,000 and Rs. 2,000 respectively. Telephone bill amounting Rs. 200 was outstanding on 31.3.2006. The amount of expenses for the year ended 31st March, 2006 will be  

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199. Sale of scrap of raw materials appearing in the trial balance are shown on the credit side of                

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200. Which of the following lists the balance and the title of accounts in the ledger on a given date?  

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Difference of total of debit and credit side of the trial balance is...
Following balances have been taken from the books of VED & Co....
Goods purchased Rs.2,00,000. Sales Rs.1,10,000. Margin 25% on sales....
Interest earned but not received, adjustment entry will be
Liability for bill discounted is a ___________....
On 1 4.2006 Mohan invested Rs.1,00,000 in a business. Interest of...
On Jan 1, 2001 the position of V. Mathur was as follows Stock in hand...
On Jan 1, 2005 Ram Gopal invested Capital of Rs. 50,000. He withdrew...
Opening balance of Captial            ...
Rs.Opening stock 5,570,Purchases 13,816,closing Stock 8,880,Sales...
Which reserve is not shown in balance sheet?  
Which of the following is not an intangible Asset ?
Which of the following is a non cash expense  
Which of the following is /are current Asset ?  
Which of the following is correct?
XYZ & Company employs a team of ten workers who were paid Rs.1,000...
Sales returns appearing in the trial balance are deducted from...
Some funds are required for conducting day to day operations of an...
The trial balance checks  
Prepaid insurance given in trial balance is recorded in _________.
Ramesh, an employee of salary Rs. 10,000 per month withdrew goods...
The trail balance of Meghna shows the opening stock of Rs. 10,000, it...
A new firm commenced business on 1st January, 2006 and purchased goods...
A new firm commenced business on Jan. 1, 2006 purchased goods costing...
Capital introduced by Mr.A on 01.01.2005 Rs. 100000. Further capital...
Capital introduced in the beginning by Ram Rs. 16,080; further...
Salary has been paid for 11 months from April 2005 to February, 2006...
Interest on capital at 6% p.a. is to be allowed. Capital in the...
Mr.Prakash sells goods at 1/3 above cost.His sales were Rs.10,20,000...
18% investment of Rs. 1,00,000 and interest received on investment Rs....
Carriage outward is debited to
Drawings are deducted from_________  
Following are the details of position statement...
Following figures have been taken from the trial balance of a...
If Cost of goods sold is Rs.80,700, Opening stock Rs.5,800 and Closing...
Land and building is a  
Salary and wages is debited to
Suspense Account in the Trial Balance will be entered in the :...
Sundry debtors of M/s Santosh amounts to Rs.25,000 and bad debts...
Present liability of uncertain amount, which can be measured reliably...
A purchased a computer costing Rs. 10,000.00 repairing expenses Rs....
Following figures have been taken from the trial balance of a trader;...
Given below are the ledger balances of a management consultancy firm:...
Interest on drawings is_________ for the business.  
Opening stock of material is Rs.12000, purchases Rs.30,000...
Which of the following is not a current asset?  
Which of the following is a current asset?  
When obligation is not probable or the amount expected to be paid...
Salaries - Rs.4,000...
A plant & machinery worth Rs.1,00,000 is insured for Rs.60,000. It...
Which account is the odd one out?  
Drawing is a type of  
From the following figures ascertain the gross profit/loss :...
Net profit before commission has been Rs.1,20,000.Manager's...
Opening stock of raw material of a manufacturing concern is Rs.10,000,...
Trial balance shows the following balance Capital - Rs.30,000 (Cr.)...
Returns inward is debited to  
What is the order in which the accounting transactions and events are...
The expired portion of capital expenditure is shown in the financial...
Which of the following items is an asset?  
Accounts...
Adjustment entry for interest earned but not received will be...
Calculate gross profit if rate of gross profit is 25% on sales and...
In case a trial balance does not agree the difference is put to...
Net Profit before charging manager commission is Rs. 22,000 and the...
Net salary paid to employees Rs.5,00,000 in cash after deducting...
Nidhi started her business with capital of Rs.45,000 on 1st January,...
A building worth Rs. 10,00,000 is insured for Rs. 6,00,000. It is...
Cost of goods sold Rs. 70,800 Sales Rs. 1,30,200 Gross Profit will be...
Following figures have been taken from the book of a trader...
G's trial balance contains the following information - Bad debts...
Good will is_______  
Gross profit is the difference between  
If capital at the end of the year is Rs.40,000; capital introduced...
If sales revenues are Rs. 4,00,000; cost of goods sold is Rs. 3,10,000...
Loss leads to a reduction in  
Opening Stock                ...
Outstanding wages in trial balance is recorded in_________...
The profit of the M/s JPH, a partnership firm before charging...
Outstanding Salaries given in the trial balance is recorded in ...
Ram, the manager, is entitled to get a commission of Rs. 25 per...
Which of the following is not an asset
The accountant of M/s ABC & Bros, paid personal income tax for the...
Salary has been paid for 9 months from April to December...
Trial Balance (Total method)...
The accountant of the firm M/s ABC is unable to tally the following...
Trial balance shows the following balance...
Carriage inwards is debited to  
Depreciation on machinery in trial balance is recorded in_____________...
Opening stock of the year is Rs.20,000, Goods purchased during the...
The equality of debits and credits of the_________ does not mean that...
Consider the following data pertaining to H Ltd. for the month of...
Financial position of the business is ascertained on the basis of:...
Fixed assets are  
Goods sold for cash Rs. 10,000, plus 10% sales tax. Sales will be...
Mr. Mohan started a cloth business by investing Rs. 50,000, bought...
Which of the following is fixed asset?...
Rent Rs.10,000; Provision for bad debts (old) Rs.10,000 Salaries...
Purchase returns appearing in the trial balance are deducted from...
B's trial balance contains the following information- Make...
Capital expenditures are recorded in the____________  
Jan 1, 2006 Provision for doubtful debts A/c      ...
Which Liability is not included in the total of Balance Sheet?...
Stock at start                ...
Closing entry for transferofNet profit Rs. 6300 to capital A/c will be...
Cost of goods sold can be calculated by  ___________....
Following are the extracts from the Trial Balance of a firm as on 31st...
Following figures have been taken from the trial balance of a trader...
Gross Profit 51,000, Carriage Outwards 5,800, Rent paid 6,400, Bad...
If a purchase return of Rs.1,000 has been wrongly posted to the debit...
If cost of goods sold is Rs.1,00,000, sales is Rs.1,25,000, closing...
If sales are Rs. 2,000 and the rate of gross profit on cost of goods...
In a sole trade, income tax is recorded as
Income tax in case of a sole trader is treated as______________...
Jan 1, 2006 Provision for doubtful debts A/c      ...
Manufacturing account is prepared to
MND & Company employs a team of 15 workers who were paid Rs.2,000...
Mohan's trial balance contains the following information: Discount...
Municipal tax Rs. 50,000 under dispute is a  
Opening balance of capital - Rs.15,000...
Opening Stock - Rs.40,000...
Opening Stock = Closing Stock + ? - Purchases  
_________ is not added in the total of Balance sheet...
Which of following statement is not true  
Opening Stock          Rs.80,000.00 ...
Particulars                ...
Which of the following are fixed assets
Returns Inward, appearing in the trial balance are deducted from...
The profit and loss account shows
When adjusted purchase is shown on the debit column of the trial...
Sundry debtors on 31st March 2006 are Rs.55,200. Further bad debts are...
A club paid Subscription fees of Rs.1,800 out of which Rs.400 is...
A manager gets 5 % commission on net profit after charging  such...
A seller sells goods at a profit of 25% on sales. In a particular...
A trader sells goods at a profit of 25% on sale. In a particular month...
A trial balance at 31st March contains the following information : 15%...
Following figures have been taken from the books of a trader...
Total operating expenses 30,000;total direct expenses...
The trial balance of M/s Narain Manufacturers shows closing stock of...
Profit leads to increase in  
Capital introduced in the beginning by Shyam Rs.. 3,00,000; further...
Following balances are given in trial balance 6% Loan on...
In case opening stockwas 15,000. Purchases Rs.25,000, factory lighting...
Income earned but not received is shown in  
On 1-4-2005, Ram invested Rs.1,00,000 in a business. Interest of...
Opening Stock                ...
Rs. 50,000 claim for workmen's compensation under dispute is a...
Unexpired portion of Capital expenditure is shown in  
Sundry debtors on 31st March, 2005 are Rs.1,05,000. Further bad debts...
X sells goods at Cost plus 60%. Total sales were Rs. 16,000. cost...
A manager gets 10% commission on sales. Cost price of goods sold is...
A fire broke out on 30th March, 2006 in the godown of Mahesh stock of...
Gauri paid Rs. 1,000 towards a debt of Rs. 1,050, which was written...
Gross profit                ...
In the books of manufacturing concern, opening stock consists of...
Loan A/c credit balance on Dec. 31, 2006 15,000, Loan paid on June...
On 1st February, 2005, a loan of Rs.10,000 was given @ 12% per annum....
Which of the following sets of expense are the direct expenses of...
Trial Balance is a  
Suresh's Trial balance provides you the following information: Bad...
Unexpired rent given in trial balance is recorded in 
Trial balance of a trader shows the following balances...
Ram started business on 01.01.06 with a capital of Rs. 20,000 and he...
Rent paid on 1 October, 2004 for the year to 30 September, 2005 was...
The accountant of the firm M/s ABC is unable to tally the following...
B/R is a _________.  
Capital introduced by Mr. A on 1.4.2006 Rs. 3,00,000; further capital...
Capital on January 1, 2004 Rs.15,200, Capital on January 1, 2005...
Profit is a part of
Capital introduced by Mr, A on 01.04.05 Rs. 300,000, further capital...
Following figures have been taken from the trial balance of a trader...
Following is an incorrect trial balance...
In the beginning of 2001 person has goods worth Rs. 4000 in his...
In the case of downward revaluation of an asset, which is for the...
What would be the amount of sales when opening stock is...
Trial Balance containing obvious errors given below...
Prepaid salary has a  
Which financial statement represents the accounting equation,assets =...
An inexperienced book-keeper has drawn up a trial balance for the year...
Consider the following items...
On 1st April, 2005 M/s Omega Bros, had a provision for bad debts of...
Cost of goods sold Rs.8,000. Closing stock Rs.3,000 opening stock...
Following are the extracts from the Trial Balance of a firm as at 31st...
Following are the items of the balance sheet of Mr. X: Capital Rs....
Followinig figures have been taken from the books of a trader...
From the following figures prepare balance sheet of the Mr. X as on...
Goods destroyed by fire Rs. 25000 and Insurance company admitted full...
Goods destroyed by fire Rs. 50,000 and Insurance company admitted 60%...
Mohan started business with Rs. 10,000.00 cash and Rs. 2,000.00...
Mr. A started a business on 1st January 2005 with Rs. 5,00,000. During...
On 1st April, 2005 Raghu invested capital of Rs.2,00,000. He withdrew...
Opening stock Rs.1,00,000, closing stock Rs.50,000, purchases...
Trial Balance is prepared according to  
Working Capital is__________  
The following information pertaining to a firm as on 31 December 2006...
The opening stock of the current year is over stated by Rs.10,000.and...
                   ...
Rekha purchased a machinery for Rs. 50,000 on 1.4.2006. She...
Sale of scrap of raw materials appearing in the trial balance are...
Which of the following lists the balance and the title of accounts in...
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