Accounting - Study Mode
[#2841] Factory manager gets 10% commission on net profit after charging such commission. If profit is Rs. 2200 then commission will be?
Correct Answer
(B) Rs. 200
Explanation
Solution: Here's how to solve this commission problem: The factory manager gets a commission on the net profit *after* the commission itself is deducted . This means we can't simply take 10% of Rs. 2200. Let's say the commission amount is 'C'. Then the net profit *after* commission is (Rs. 2200 - C). The commission is 10% of this net profit, so we can write the equation: C = 0.10 * (2200 - C) . Now, let's solve for C: C = 220 - 0.10C C + 0.10C = 220 1.10C = 220 C = 220 / 1.10 C = 200 Therefore, the commission will be Rs. 200 . So, the correct answer is Option B: Rs. 200 .
[#2842] The measure of a stock variable is-
Correct Answer
(C) during a period
[#2843] Preparation of consolidated statement of accounts as per AS-21 is:
Correct Answer
(C) Mandatory for Listed Companies
[#2844] Garner Vs Murray rule is aplicable when
Correct Answer
(C) When some partners are solvent
[#2845] Discount on issue of Shares Account until written off is shown under
Correct Answer
(C) 'Miscellaneous Expenditure' on Asset side of Balance Sheet