Accounting - Study Mode

[#496] On retirement or death of a partner, the retired or deceased partner's capital account will be credited with
Correct Answer

(A) His share of goodwill

[#497] When a business is purchased, any amount paid in excess of the total of assets, minus the liabilities taken, is called:
Correct Answer

(B) Goodwill

[#498] A firm which manufctures boats has a fixed cost of Rs. 2,60,000/- per month. The selling price of the boat is Rs. 35,000/- boat. Variable cost per boat is Rs. 15,000/-. The boat yard can manufacture 20 boats per month. The break even output of the firm will be
Correct Answer

(B) 13 boats

[#499] The amount of short working is equal to:
Correct Answer

(C) Minimum rent - Royalty

[#500] The accounting concept where the business is a separate entity apart from its owners
Correct Answer

(C) Business entity concept