MCQs 1 To 10
1. A financial statement that summarizes company revenue and expenses is?
2. Which one of the following tangible fixed assets would not normally be depreciated?
3. Which financial statement presents a summary of the Assets, Liabilities, and Owners' Equity of a firm?
4. Subtracting all expenses from revenues yields?
5. A financial statement to show what a business owns and owes at a particular point in time?
6. If the Gross profit is Rs. 5,000 and the net profit is 25% of the Gross profit. The expenses must be?
7. A financial document that indicates the success or failure of a business trading over a period of time is called?
8. The report of company that shows overall profit on the sale of their goods or the provision of their services?
9. A company has, by the end of its financial period, paid out more Tax than it has to pay. How would this be shown in the balance sheet?
10. Which of the following financial statements is also known as financial condition?
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MCQs 11 To 20
11. Prepaid interest given in the adjusted trial balance will be treated as a (an)?
12. Which of the following is the largest single expense of most merchandising firms?
13. The primary source of revenue for a wholesaler is?
14. Retained earnings will change over time because of several factors. Which of the following factors would explain a decrease in retained earnings?
15. A Profit is earned if?
16. What is the difference between the total incoming and the total outgoings?
17. Which of the following is true regarding the income statement?
18. Presents the revenue earned and expenses are incurred by an entity during a specific time period?
19. The format of the balance sheet reflects which of the following?
20. How is the balance sheet linked to the other financial statements?
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Mukharji, A., & Hanif, M. (2003). Financial Accounting (Vol. 1). New Delhi: Tata McGraw-Hill Publishing Co.
Narayanswami, R. (2008). Financial Accounting: A Managerial Perspective. (3rd, Ed.) New Delhi: Prentice Hall of India.
Ramchandran, N., & Kakani, R. K. (2007). Financial Accounting for Management. (2nd, Ed.) New Delhi: Tata McGraw Hill.