Accounting - Study Mode

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[#1176] On forfeiture of shares, which of the following account is credited with the amount of money already received on such shares?

(A) shares forfeited a/c

(B) share capital a/c

(C) unpaid calls a/c

(D) share premium a/c

Correct Answer

(A) shares forfeited a/c

[#1177] Cancelling the original bill and drawing a fresh acceptance is known as . . . . . . . .

(A) Retiring under rebate

(B) Renewal

(C) Discounting

(D) Bill sent to bank for collection

Correct Answer

(C) Discounting

[#1178] X started business with a capital of Rs. 20,000 and purchased goods worth Rs. 2,000 on credit. These transactions may be expressed in the from of 'Accounting Equation' such as:

(A) Rs. 22,000 = Rs. 20,000 + Rs. 2,000

(B) Rs.20,000 = Rs. 22,000 - Rs. 2,000

(C) Rs. 22,000 = Rs. 22,000 + 0

(D) Rs. 22,000 = 0 + Rs. 22,000

Correct Answer

(A) Rs. 22,000 = Rs. 20,000 + Rs. 2,000

[#1179] The appropriate book to record credit purchase of machinery is . . . . . . . .

(A) purchases book

(B) journal

(C) cash book

(D) petty cash book

Correct Answer

(B) journal

[#1180] Match List-I (Items of expenditure and receipt) with List-II (Nature of expenditure and receipt) and select the correct answer using the options given below the lists: List-I List-II a. Premium paid for a lease hold property 1. Revenue expenditure b. Insurance premium paid for risks against accidental losses of properties (fixed assets) 2. Capital receipt c. Amount realised from the sale of securities (investment)purchased earlier 3. Deferred revenue expenditure d. Huge sales promotion expenses 4. Capital expenditure

(A) a-4, b-2, c-1, d-3

(B) a-3, b-2, c-1, d-4

(C) a-4, b-1, c-2, d-3

(D) a-3, b-1, c-2, d-4

Correct Answer

(C) a-4, b-1, c-2, d-3