BBI Foundational Course 1 MCQ's




Question 151 :
Depreciation is _____ in the value of asset.

  1. appreciation
  2. change
  3. increase
  4. decline
  

Question 152 :
_____ expenditure is shown in the Balance Sheet on asset side.

  1. Capital
  2. D.R. Expenses
  3. Revenue
  4. None of the above
  

Question 153 :
AS 3 deals with _____ _____.

  1. Cash Flow statement
  2. Earning per share
  3. Impairment of assets
  4. None of the above
  

Question 154 :
Pulling out old building and rebuilding it ` 2,50,000

  1. Capital
  2. Revenue
  3. D.R. Expenses
  4. None of the above
  

Question 155 :
_____ method is suitable for perishable goods.

  1. FIFO
  2. Weighted Average
  3. LIFO
  4. All of the above
  

Question 156 :
Cancellation of shares for non-payment of call is called _____ of shares.

  1. forfeiture
  2. uncalled capital
  3. Escrow
  4. None of the above
  

Question 157 :
Goodwill is

  1. An intangible asset.
  2. An intangible fixed asset.
  3. An intangible fixed asset having a realisable value.
  4. Fictitious asset.
  

Question 158 :
When money is overdrawn from the bank the Pass book shows a _____ balance.

  1. Credit
  2. Debit
  3. Overdraft
  4. None of the above
  

Question 159 :
Premium on issue of shares is disclosed in Balance Sheet under _____.

  1. reserves
  2. uncalled capital
  3. general reserve
  4. All of the above
  

Question 160 :
Normal profit is

  1. Average profit earned by similar concerns in the industry.
  2. Extra profit earned by similar companies.
  3. Profit earned under exceptional circumstances.
  4. Profit earned under normal circumstances.
  

Question 161 :
The Profit and Loss Account is prepared to find out the _____.

  1. Net Profit or Net Loss
  2. Gross Profit
  3. Trial Balance
  4. All of the above
  

Question 162 :
A sole proprietor decided to use the same bank account for his personal affairs as for his business. Which of the accounting principle is violated?

  1. Going concern
  2. Entity
  3. Cost Concept
  4. None of the above
  

Question 163 :
_____ is the option giving to the employees to subscribe to shares.

  1. owers
  2. discount
  3. ESOP
  4. All of the above
  

Question 164 :
Depreciation is provided on _____ _____.

  1. Cash Price
  2. Hire vendor
  3. Down Payment
  4. None of the above
  

Question 165 :
_____ expenditure is recurring.

  1. Revenue
  2. Capital
  3. D.R. Expenses
  4. None of the above
  

Question 166 :
Interest on Bank Deposit is entered in the Cash Book on _____ side.

  1. Credit
  2. extract
  3. Debit
  4. None of the above
  

Question 167 :
Discount received for prompt payment is recorded in the Cash Book on _____ side.

  1. Balance sheet
  2. Credit side
  3. Assets
  4. All of the above
  

Question 168 :
Possession of goods is transferred on _____ the agreement.

  1. Cash Price
  2. Possession
  3. Signing
  4. None of the above
  

Question 169 :
Fixed instalment method is used for assets like _____.

  1. patents
  2. machinery
  3. building
  4. goodwill
  

Question 170 :
Profit / Loss is ascertained by _____ revenue with expenses.

  1. Money measurement
  2. Matching
  3. Entity
  4. None of the above
  

Question 171 :
_____ is a statement of financial position.

  1. Surplus
  2. Providing services
  3. Balance Sheet
  4. None of the above
  

Question 172 :
Amount received on forfeited shares is shown as part of _____.

  1. called-up
  2. uncalled capital
  3. securities premium
  4. All of the above
  

Question 173 :
The ICAI has issued _____ standards.

  1. 31
  2. 32
  3. 30
  4. 20
  

Question 174 :
Net sales is the difference between gross sales and _____.

  1. Closing Capital
  2. Sales Return
  3. Trial Balance
  4. All of the above
  

Question 175 :
Goodwill is an _____ asset.

  1. Realisable
  2. Fictious
  3. Intangible
  4. None of the above
  

Question 176 :
If the amount exceeds ` _____ a revenue stamp must be affixed.

  1. ` 5,000
  2. ` 15,000
  3. ` 25,000
  4. None of the above
  

Question 177 :
The Goods remaining unsold is called as _____.

  1. intangible
  2. tangible
  3. stock
  4. None of the above
  

Question 178 :
Hire purchase price = _____ _____.

  1. Cash Price
  2. Cash Price, Interest
  3. Interest
  4. None of the above
  

Question 179 :
What is surplus of income over expenses?

  1. Profit
  2. Financial position
  3. Loss
  4. None of the above
  

Question 180 :
The seller of goods on H.P. is _____ _____.

  1. Down Payment
  2. Cash Price
  3. Hire vendor
  4. None of the above
  
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