(A) Cash book
(B) General journal
(C) Sales journal
(D) Trial balance
Category: Accounting Mcqs
A debit entry usually represents
(A) Assets and Expenses
(B) Assets and Income
(C) Liabilities and Income
(D) Liabilities and Expenses
Goods which originally cost $800 were sold for $1,000. In the accounting equation Net Assets will?
(A) Rise by $1,000
(B) Rise by $200
(C) Fall by $1,000
(D) Fall by $200
Which from the following costs are included in conversion costs?
(A) Carriage in
(B) Carriage outwards
(C) Commission of selling staff
(D) Supervisor’s wages
What is the gross profit for the period if the closing inventory was worth $100,000?
A company had opening inventory of $200,000. Sales and purchases during the period were of $400,000 and $80,000 respectively. What is the gross profit for the period if the closing inventory was worth $100,000?
(A) $20,000
(B) $120,000
(C) $220,000
(D) $320,000
The withdrawal of inventory by the owner for personal use should appear in the trading account as a deduction from
(A) sales
(B) purchases
(C) overdrafts
(D) none of these
Any transaction which cannot be recorded in any book of prime entry is recorded in
(A) Cash book
(B) Petty cash book
(C) General journal
(D) Day books
The capital of a business is $100,000 and the liabilities are $40,000. What are the total assets?
(A) $40,000
(B) $60,000
(C) $100,000
(D) $140,000
Che ques issued but not presented cause the bank statement balance to be ________ the cash book balance.
(A) greater than
(B) less than
(C) equal to
(D) the two statements are irrelevant
Which from the following is included in the cost of purchases?
(A) Abnormal loss
(B) Freight in
(C) Rent of store
(D) Administrative Salaries