Introduction To Accounting MCQs With Answers

14 Questions

SettingsSettingsSettings
Introduction To Accounting MCQs With Answers - Quiz

Take up the quiz below if you're looking for a good practice set of MCQs with answers on accounting subjects. The quiz covers accounting basics, from its introduction to other important things. Accounting provides financial transactions records for economic data. It is the language of businesses. So, if you have just started to learn about accounts and other business financial terms, this quiz will be really helpful for you. Give it a try and improve your learning with us.


Questions and Answers
  • 1. 
    In Journal, the business transactions are recorded _______.
    • A. 

      Same Day

    • B. 

      Once in a month

    • C. 

      Next Day

    • D. 

      Once in a Week

  • 2. 
    If we take goods for own use from business we should
    • A. 

       Debit Drawings Account, Credit Purchases Account

    • B. 

       Debit Drawings Account: Credit goods  Account

    • C. 

      Debit Sales Account: Credit Stock Account

    • D. 

       Debit Purchases Account: Credit Drawings Account

  • 3. 
    Which of the following statements is incorrect?
    • A. 

       Liabilities + Assets = Capital

    • B. 

      Assets – Liabilities = Capital

    • C. 

      Liabilities + Capital = Assets

    • D. 

       Assets - Capital = Liabilities

  • 4. 
    In what order Journals are prepared?
    • A. 

       Increasing

    • B. 

      Decreasing

    • C. 

      Chronological

    • D. 

      Alphabetical

  • 5. 
    According to which concept the owners are considered to be different from the business.
    • A. 

      Accounting Period Concept

    • B. 

      Money Measurement Concept

    • C. 

      Going concern concept

    • D. 

      Business Entity Concept

  • 6. 
    What is related to scientific system of maintaining accounts?
    • A. 

      Single Entry

    • B. 

      Contra Entry

    • C. 

      Book Entry 

    • D. 

      Double Entry

  • 7. 
    Debit the receiver and Credit the giver is the rule for
    • A. 

      Personal 

    • B. 

      Nominal Account

    • C. 

      Real Account

    • D. 

      Double Accounts

  • 8. 
    Who is known as Father of Accounting?
    • A. 

      Charles Babbage

    • B. 

      Adam Smith

    • C. 

      Luca Pacioli

    • D. 

      None of the above

  • 9. 
    Interest on drawings of the Partners is a :
    • A. 

       Loss to business

    • B. 

      Profit to business

    • C. 

      Profit to partners

    • D. 

      Loss to Bank

  • 10. 
    Journal has ___ columns.
    • A. 

      3

    • B. 

      4

    • C. 

      5

    • D. 

      6

  • 11. 
    Ledger has ___ columns.
    • A. 

      5

    • B. 

      6

    • C. 

      7

    • D. 

      8

  • 12. 
    Goods returned by the customer is debited to which account.
    • A. 

      Purchase Returns a/c or Returns outwards a/c

    • B. 

      Sales Returns account  or Returns Inward a/c

    • C. 

      Sales a/c

    • D. 

      Purchase A/c

  • 13. 
    Discount Allowed is ___ to business.
    • A. 

      Income of the Business

    • B. 

      Loss of the Business

    • C. 

      Expenses of the Business

    • D. 

      Abnormal loss 

  • 14. 
    General Ledger sometimes known as book of ________. 
    • A. 

      Generic

    • B. 

      First

    • C. 

      Secondary Entry

    • D. 

      Original Entry

Back to Top Back to top