Accounting - Study Mode

[#2826] Repairs of second hand machinery purchased is debited to repairs account. It is an error of
Correct Answer

(D) Principle

[#2827] Which of the following item of trial balance will be debited in trading account?
Correct Answer

(B) Wages and salary

[#2828] A company cannot issue:
Correct Answer

(A) Redeemable Equity shares

[#2829] In the absence of any agreement, it is presumed that the new partner acquires his share in profits from the old partners in the:
Correct Answer

(B) Old ratio

[#2830] Given below are two statements, are labelled as Assertion (A) and other as Reason (R): Assertion (A): The fixed assets in the balance sheet are required to be shown at cost less depreciation. Reason (R): The balance sheet and profit and loss account disclose a true and fair view. Choose the correct answer
Correct Answer

(A) Both (A) and (R) are true and (R) is correct explanation of (A)