Expense due at the end of the period is treated as:

• A) Assets
• B) Drawings
• C) Liability
• D) Income

All of the following items may appear in Trade payable control account EXCEPT:

• A) Purchases return
• B) Cheques paid to creditors
• C) Bad debts
• D) Discount received

Income due at the end of the period is treated as:

• A) Drawings
• B) Assets
• C) Liability
• D) Expenses

__________________ is posted in the debit side of debtors account.

• A) Balance c/f of debtors
• B) Cash sales
• C) Cash purchase
• D) Balance b/f of debtors

All of the following items appear on credit side of Trade receivable control account EXCEPT:

• A) Discount allowed
• B) Cheques dishonored
• C) Bad debts
• D) Cash received from debtors

_______________ is posted in credit side of debtors account.

• A) Return outwards
• B) Return inwards
• C) Cash sales
• D) Total sales

While preparing a Debtors Control Account, Credit side posted items cause:

• A) Both increase and decrease in debtors’ balance
• B) Increase in debtors’ balance
• C) Decrease in debtors’ balance
• D) Increase in creditors’ balance

Final balance of depreciation expense a/c is closed into the ___________as an expense.

• A) Balance sheet
• B) Cash flow statement
• C) Trial balance
• D) Income statement

In case of recovery of bad debts, _____________ is debited.

• A) Bank account
• B) Bad debts recovered account
• C) Debts account
• D) Doubtful debts account

Irrecoverable debts are also known as:

• A) Long term debts
• B) Doubtful debts
• C) Short term debts
• D) Bad debts

All of the following are the deprecation methods for tangible fixed assets EXCEPT:

• A) Straight line method
• B) Sum of years digit method
• C) Indirect method
• D) Reducing balance method

________________ is posted in debit side of receivable account.

• A) Cash sales
• B) Balance b/f of receivable
• C) Balance c/f of receivable
• D) Cash purchase

Property, Plant and Equipment include:

• A) All of the given options
• B) Assets used for administrative purposes
• C) Assets to be used in selling of goods or services
• D) Assets held for production of goods or services

_____________________ is posted in credit side of debtors account.

• A) Sales return
• B) Purchase return
• C) Transportation inwards
• D) Transportation outwards

A receivables ledger control account had a closing balance of Rs.9,000. A cheque received from a debtor of Rs. 500 had been omitted to record in this control account. What should be the correct balance of receivables control account?

• A) Rs. 9,500 debit
• B) Rs. 10,000 debit
• C) Rs. 8,000 debit
• D) Rs. 8,500 debit

While preparing a Debtors Control Account, Debit side posted items cause:

• A) Increase in creditors’ balance
• B) Both increase and decrease in debtors’ balance
• C) Increase in debtors’ balance
• D) Decrease in debtors’ balance

In case of goods sold on credit basis, _____________ is credited.

• A) Bank account
• B) Payable account
• C) Sales account
• D) Receivable account

True and fair performance of any business entity is measurable under:

• A) Both accrual and cash basis
• B) None of the given options
• C) Accrual basis
• D) Cash basis

__________________ is posted in debit side of debtors account.

• A) Credit sales
• B) Cash purchase
• C) Credit purchase
• D) Cash sales

Income earned but not received till the end of the accounting period is treated in balance sheet as:

• A) Liability
• B) Asset
• C) Capital
• D) Drawing