Accounting - Study Mode

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[#2526] Match List-I with List-II and select the correct answer: List-I List-II a. Separate Entity concept 1. Past events b. Dual Aspect concept 2. Accounting Equations c. Money Measure concept 3. Business is distinct from its owner d. Historical concept 4. Translation of events/transaction in money terms

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

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

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

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

Correct Answer

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

[#2527] The statement of changes in financial position shows

(A) Sources and uses of funds

(B) Assets and Liabilities

(C) Income and Expenses

(D) None of these

Correct Answer

(A) Sources and uses of funds

[#2528] Depreciation takes into account

(A) Fall in value of asset

(B) Decrease in usefulness

(C) Decrease in the obsolescence of the asset

(D) Decrease in asset due to wear and tear

Correct Answer

(A) Fall in value of asset

[#2529] A company shifted its factory after construction of a new building. During this process, Rs. 20,000 was spent on demolishing the old structure and Rs. 2,000 in moving the old stock. How will these expenses be classified?

(A) Capital expenditure

(B) Revenue expenditure

(C) Capital and revenue expenditure respectively

(D) Deferred revenue expenditure

Correct Answer

(C) Capital and revenue expenditure respectively

[#2530] Match the following List-I List-II a. The document from which the returns to suppliers are recorded is known as . . . . . . . . 1. Assets b. Wages paid on erection of a new machinery should be debited to . . . . . . . . 2. Debit note c. Prepaid expense is an item of . . . . . . . . 3. Credit note d. The receiver of goods returned will send a . . . . . . . . to the person, who return the goods. 4. Machinery account

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

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

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

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

Correct Answer

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