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[#1111] Stock of stationery on 1 st January 1991- Rs. 300, creditors for stationery on 31 st December 1991- Rs. 130, payment for stationery during 1991- Rs. 1,080, stock of stationary on 31 st December 1991- Rs. 50. What amount on account of stationery will be posted to income and expenditure A/c:

(A) Rs. 1,080

(B) Rs. 1,510

(C) Rs. 1,330

(D) Rs. 1460

Correct Answer

(D) Rs. 1460

[#1112] The total charge of depreciation and maintenance of assets on the profit and loss account will be uniform under:

(A) Straight line method

(B) Diminishing balance method

(C) Annuity method

(D) Depreciation Fund method

Correct Answer

(A) Straight line method

[#1113] According to the Money Measurement concept the following will be recorded in the books of Accounts:

(A) Quality control in business

(B) Commission payable to salesman

(C) Extra profits made due to introduction of a budgetary control system

(D) All of the above

Correct Answer

(B) Commission payable to salesman

[#1114] The face value of a company share is Rs. 1000 per share. The company issued it at Rs. 150 per share. Mareket price of these shares is Rs. 200 per share at present. company declaired 20% dividend on these share. The amount of dividend per share will be

(A) Rs. 40

(B) Rs. 30

(C) Rs. 20

(D) Rs. 10

Correct Answer

(C) Rs. 20

[#1115] Read the following statements. 1. Financial statements are only interim reports. 2. Financial statements are prepared on the basis of realisable values. 3. The preparation of financial statements is not an ultimate aim. 4. Certain assumptions are necessary to prepare financial statements. Which of the following combinations consists of all true statements?

(A) 1, 2 and 3

(B) 2, 3 and 4

(C) 1, 3 and 4

(D) 1, 2 and 4

Correct Answer

(C) 1, 3 and 4