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ACCOUNTING QUIZ COMMERCE ACADEMY

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

Which error cannot be revealed on the preparation of trial balance?

a)

Wrong totalling of account

b)

Compensatory errors

c)

Error of commission

d)

Wrong balancing of an account

2.

Parties to a bill of exchange are

a)

Drawer

b)

Drawee

c)

Payee

d)

All of the above

3.

_____ will generally show a debit balance

a)

Bank loan

b)

Bad debts recovered

c)

Drawings

d)

Salary payable

4.

Gross profit is equal to

a)

Opening stock + purchases - closing stock

b)

Net profit - expenses

c)

Sales - Closing stock + purchases

d)

Sales - Cost of goods sold

5.

Drawing is a type of

a)

Expense

b)

Withdrawal of capital

c)

Income

d)

None of the above

6.

Petty cash is used for payment of

a)

Salaries & wages of the staff

b)

For purchase of assets

c)

Small expenses relating to postage's and conveyance etc.

d)

All of the above

7.

Heavy amount spent for the advertisement of new company product is

a)

Revenue expenditure

b)

Deferred Revenue expenditure

c)

Capital expenditure

d)

Either 'a' or 'c'

8.

Under diminishing balance method, depreciation

a)

Is constant every year

b)

Increases every year

c)

Decreases every year

d)

None of the above

9.

Bills receivable is a

a)

Intangible fixed asset

b)

Tangible fixed asset

c)

Current asset

d)

Investment

10.

Which account is the odd one out?

a)

Office furniture and equipment

b)

Freehold land and building

c)

Stock of raw materials

d)

Plant and machinery

11.

Interest on drawings is ___ for the business

a)

Loss

b)

Expense

c)

Gain

d)

None of the above

12.

Narrations are given at the end of

a)

Final accounts

b)

Trial Balance

c)

Each Ledger account

d)

Each journal entry

13.

Which of the following is not a transaction?

a)

Goods are purchased on cash basis for Rs.1000

b)

Salaries are paid for the month of May 2010

c)

Land is purchased for Rs. 10 lacs

d)

An employee dismissed from the job

14.

The left side of an account is known as ___ and the right side as ____

a)

Debit, Credit

b)

Credit, Debit

c)

Liability, Asset

d)

None of the above

15.

In case of debit balance, the words _____ are written on the debit side

a)

To Balance b/d

b)

To Balance c/d

c)

By Balance c/d

d)

By Balance b/d