Accounting Mcqs

Which one of the following should be considered a revenue expenditure?

(A) 1000 paid for the execution of a new plant

(B) Loss of 10,000 incurred in increasing the sitting accommodation of a hotel

(C) Damage paid on account of breach of a contract to supply certain goods

(D) Repair to machinery purchased, second hand.

Submitted By: Ali Uppal


Submitted By: Ali Uppal


Which of the following is an item of capital expenditure?

(A) Research and development costs during the year

(B) Interest on borrowed fund utilized for acquisition of Office Furniture

(C) Installation charges paid in conjunction with the purchase of Office Equipment

(D) Monthly rent of a machinery used in the business

Submitted By: Ali Uppal


Any donation received for a specific purpose is a_________?

(A) Liability

(B) Assets

(C) Revenue receipts

(D) Capital receipts

Submitted By: Ali Uppal


Which of these is a Part of cash in hand?

(A) Postage stamps

(B) B/R

(C) Cheque Deposited with Bank

(D) B/R endorsed

Submitted By: Ali Uppal


Petty cash balance is a/an___________?

(A) Assets

(B) Expenditure

(C) Liability

(D) None

Submitted By: Ali Uppal


Which column of a cash book will not have credit balance___________?

(A) Bank column

(B) Discount column

(C) Cash column

(D) None

Submitted By: Ali Uppal


The closing balance of a petty cash book is a / an___________?

(A) Liability

(B) Gain

(C) Assets

(D) Loss

Submitted By: Ali Uppal


Which of these transactions will not be recorded in cash book?

(A) Cash received from debtors

(B) Cash paid to creditors

(C) Salary remained outstanding

(D) Cash deposited with bank

Submitted By: Ali Uppal


In a three column cash book_______________does not exist?

(A) Cash column

(B) Bank column

(C) Petty cash column

(D) Discount column

Submitted By: Ali Uppal