Fundamentals of Accounting - 3.0

The Balance Sheet of ‘Riddhima Enterprises’ is a financial statement reporting the company’s………………...amounts as of any given date.

• Assets, Liabilities and Owners Equity

• Expenses

• Liabilities

• Assets

Riddhima Enterprises paid Deposit amount to the landlord for renting an office. Which is refundable once they vacate the office in future. How do you consider this amount in the books of accounts?

• Assets

• Liabilities

• Expenses

• Income

Riddhima Enterprises has collected GST from customers on goods sold, and it has to be paid to the government as per regulations. You will treat GST collected as:

• Incomes

• Current Liabilities/Duties and Taxes

• Current Assets

• Expenses

Riddhima Enterprises sold goods to customers on a credit basis, some customers have not yet paid these invoices. What do you call these outstanding which are yet to be received from customers?

• Capital

• Duties and Taxes

• Account Receivable

• Account Payable

Riddhima Enterprises paid cab charges toward the visit done at the supplier’s office to negotiate on prices of the ‘Water Pumps’ which he bought. These cab charges paid by Riddhima Enterprises will be considered in the books of Kumar Water Pumps as………………?

• Liabilities

• Assets

• Income

• Expenses

Riddhima Enterprises bought computers, printers and office furniture for the purpose of continuous use and in turn to generate income for the business. How do you treat them in the books of account?

• Stock-In-Hand

• Fixed Assets

• Current Assets

• Cash-In-Hand

Riddhima Enterprises need to pay salaries to employee for their service to the company. It is usually paid on the 5th of the following month. How do you treat the amount of salary payable amount to employee’s in the books?

• Liabilities

• Current Assets

• Income

• Fixed Assets

Choose the correct equation................?

• Assets = Stockholder’s (or Owner) Equity

• Assets = Liabilities + Income

• Assets = Liabilities + Stockholders' (or Owner) Equity

• Assets = Liabilities + Expenses

Which of the given option will lead to flow out of money from Riddhima Enterprises?

• Capital Introduced

• Loan received from Bank

• Purchases and Expenses

• Sales and Income

On 15th January 2023, Riddhima Enterprises paid ‘Conveyance’ expenses. Which Accounting Group did you select during the creation of this ledger?

• Direct Expenses

• Indirect Income

• Direct Income

• Indirect Expenses