Accounting - Study Mode

[#186] Drawings by owner of business are generally recorded on which of the following side of a cash book?
Correct Answer

(B) Payments

Explanation

Solution: Drawings by owner of business are generally recorded on Payments side of a cash book. Drawings are money or assets that are withdrawn from a company by its owners for personal use.

[#187] On 1 st January 1992 there was a balance of Rs. 4,000 in the plant and machinery account. An addition of Rs. 2,000 was made on 1 st July 1992. Accounts were closed for the year on 31 st December 1992. If depreciation was charged at 10% per annum, the balance in the plant and machinery account on the closing date would be:
Correct Answer

(C) Rs. 5,500

[#188] Valuation balance sheet is prepared by . . . . . . . .
Correct Answer

(B) life insurance company

[#189] While preparing P/L account, rebate on bills discounted to be provided shall be deducted from discount received in . . . . . . . .
Correct Answer

(D) Schedule 13

[#190] If there is a prize fund and prizes are awarded, expenses and income are transferred to . . . . . . . .
Correct Answer

(C) the liabilities side of the balance sheet