Accounting Mcqs

Submitted By: Ali Uppal


Which of the following is not a method of charging depreciation?

(A) Straight line Method

(B) Written down value Method

(C) Discounted present value Method

(D) Sum of digits Method

Submitted By: Ali Uppal


Submitted By: Ali Uppal


The entry for creating a Provision for bad debts is_____________?

(A) Debit Provision for Bad Debts A/c and credit Debtors A/c

(B) Debit Debtors A/c and credit Provision for Bad Debts A/c

(C) Debit Provision for Bad Debts A/c and credit Profit & Loss A/c

(D) Debit Profit and Loss A/c and credit Provision for Bad Debts A/c.

Submitted By: Ali Uppal


Bad debts recovered account will be transferred to______________?

(A) Debtor‘s Account

(B) Profit and Loss Account

(C) Provision for Doubtful Debt Account

(D) Either (b )or

Submitted By: Ali Uppal


____________is also known as Appraisal system of depreciation?

(A) Inventory system

(B) Survey system

(C) Annuity system

(D) Insurance

Submitted By: Ali Uppal


Which of the following is not depreciated?

(A) Building

(B) Land

(C) Plant and Machinery

(D) Office equipment

Submitted By: Ali Uppal


Which of the following is an external cause of depreciation?

(A) Routine repair and maintenance

(B) Misuse

(C) Obsolescence

(D) Wear and tear

Submitted By: Ali Uppal


Depreciation is calculated on the____________?

(A) Cost price of asset

(B) Market price

(C) Cost+ Transport+ Installation expenses

(D) Cost or market values whichever is less

Submitted By: Ali Uppal


Which of the following statements is correct about Depreciation?

(A) Depreciation cannot be provided in case of loss in a financial year

(B) Depreciation is a charge against profit

(C) Depreciation is provided in the books only when there is profit

(D) Depreciation is an appropriation of profit

Submitted By: Ali Uppal