Accounting MCQs With Answers
331. Given figures showing: Sales £8,200; Opening stock £1,300; Closing stock £900; Purchases £6,400; Carriage inwards £200, the cost of goods sold figure is:
- Another figure
- £6,200
- £6,800
- £7,000
Correct answer: (D)
£7,000
332. When Lee makes out a cheque for £50 and sends it to Young, then Lee is known as:
- The payee
- The banker
- The drawer
- The creditor
Correct answer: (C)
The drawer
333. 'Posting' the transactions in bookkeeping means:
- Making the second entry of a double entry transaction
- Entering items in a cash book
- Making the first entry of a double entry transaction
- Something other than the above
Correct answer: (A)
Making the second entry of a double entry transaction
334. Given a purchases invoice showing 5 items of £80 each, less trade discount of 25 per cent and cash discount of 5 per cent, if paid within the credit period, your cheque would be made out for:
- £260
- £280
- £285
- None of these
Correct answer: (C)
£285
335. We originally sold 25 items at £12 each, less 331/3 per cent trade discount. Our customer now returns 4 of them to us. What is the amount of credit note to be issued?
- £36
- £30
- £32
- £48
Correct answer: (C)
£32
336. At the balance sheet date the balance on the Accumulated Provision for Depreciation Account is:
- Transferred to Depreciation Account
- Transferred to the Asset Account
- Transferred to Profit and Loss Account
- Simply deducted from the asset in the Balance Sheet
Correct answer: (D)
Simply deducted from the asset in the Balance Sheet
337. A credit balance brought down on a Rent Account means:
- We have paid too little in rent
- We have paid too much rent
- We owe that rent at that date
- We have paid that rent in advance at that date
Correct answer: (C)
We owe that rent at that date
338. Which of the following are not true? A Bank Reconciliation Statement is
- (i) Part of the double entry system
- (ii) Not part of the double entry system
- (iii) Sent by the firm to the bank
- (iv) Posted to the ledger accounts.
- (i), (ii) and (iv)
- (i), (iii) and (iv)
- (i) and (ii)
- (ii), (iii) and (iv)
Correct answer: (B)
(i), (iii) and (iv)
339. Which of the following do not affect trial balance agreement?
- (i) Sales £105 to A Henry entered in P Henry's account
- (ii) Cheque payment of £134 for Motor expenses entered only in Cash Book
- (iii) Purchases £440 from C Browne entered in both accounts as £404
- (iv) Wages account added up incorrectly, being totaled £10 too much.
- (i) and (iii)
- (ii) and (iii)
- (i) and (iv)
- (iii) and (iv)
Correct answer: (A)
(i) and (iii)
340. What should happen if the balance on a Suspense Account is of a material amount?
- Write it off to Profit and Loss Account
- Should be written off to the balance sheet
- Carry forward the balance to the next period
- Find the error(s) before publishing the final accounts
Correct answer: (D)
Find the error(s) before publishing the final accounts
Saturday, November 20, 2021