STC EDUCATIONSTC EDUCATION
  • Home
  • Student Corner
    • English
      • Essays
      • Letter Writing
    • Standard 12
      • Accounts (Part 1)
        • CHAPTER : 1 INTRODUCTION TO PARTNERSHIP
        • Chapter: 2 FINANCIAL ACOOUNT
      • Economics
        • Chapter 8 Agriculture Sector
        • Chapter 10
        • Chapter 11
  • Gallery
  • About Us
  • Contact Us
  • Blog
  • Home
  • Student Corner
    • English
      • Essays
      • Letter Writing
    • Standard 12
      • Accounts (Part 1)
        • CHAPTER : 1 INTRODUCTION TO PARTNERSHIP
        • Chapter: 2 FINANCIAL ACOOUNT
      • Economics
        • Chapter 8 Agriculture Sector
        • Chapter 10
        • Chapter 11
  • Gallery
  • About Us
  • Contact Us
  • Blog

Blog

  • Home
  • Blog
  • Blog
  • Chapter: 2 FINANCIAL ACCOUNT

Chapter: 2 FINANCIAL ACCOUNT

  • Categories Blog, Chapter: 2 FINANCIAL ACOOUNT
  • Date January 26, 2020
  • Comments 0 comment

Chapter: 2 FINANCIAL ACCOUNT

MCQ’S:

  1. Debit balance of trading account means….

(A) Gross profit      (B)  Net profit       (C)  Gross loss          (D) Net loss

  1. If there is no provision in partnership agreement, interest at ——–% is to be given on partner’s loan.               (A) 5      (B)  6       (C ) 7         (D ) 8
  1. Loan borrowed  from  bank  has  ——    balance

(A)  Debit     (B) Credit       (C) Debit or credit         (D) None of the given

  1. Where would  you  show  debit  balance  of  profit  and loss account given  in the trial balance ?                       (A)Trading A/c   (B) Profit – loss appropriation     (C) Capital A/c      (D) Current A/c
  1. Balance sheet shows ——– of the business                                                                                                              (A) Financial position     (B) Economic position    (C) Reputation     (D) Quality
  1. Which one of the following is the current asset ?                                                                                                     (A)Goodwill      (B) Stock of goods     (C) Machines    (D) Building
  1. Where would you recorded interest on partners current account ?                                                                                 (A)Profit & loss A/c  (B) Profit & loss appropriation A/c   (C) Fixed capital A/c    (D) None f the given
  1. If closing stock of goods is given in the trial balance only, then it would be recorded ——–                         (A)Trading A/c    (B) Profit – loss A/c   (C) On the asset side of balance sheet     (D) None of the given
  1. If depreciation fund is given in the trial balance, then in the balance sheet, depreciable asset is shown at ——-(A)Book value   (B) Cost price      (C) Market value      (D) None of the given
  1. Book value of closing stock is Rs 80,000. Out of which market value of 10% and 20% goods is less by 20% and 30% respectively. While remaining stock is valued at 75%. Then closing stock value is ——-                               (A) 65900     (B) 65900     (C) 59600     (D) 59060
  1. Closing stock value is as follows,

Cost price         Market price

Rs 20,000            Rs 18,000

Rs 30,000            Rs 36,000

Goods of Rs. 1000 required repairing.  Then closing stock value ——-

(A)Rs 5,000    (B) Rs 47,000       (C) 48,000        (D) Rs 49,000

  1. Credit balance of trading account means ——–                                                                                                                    (A)Gross profit         (B) Net profit        (C) Gross loss        (D) Net loss
  1. Interest on debit balance and credit balance of partners current account is recorded in ——- account.                   (A)Profit – loss A/c      (B) Profit – loss appropriation A/c       (C) Fixed capital A/c   (D) None of the given
  1. Find out amount to be written off for lease hold building for the following information,

Trial balance as on  date –  31/12/2016

Particular Debit Credit
Leasehold Building

(For 5 year  from 

Dt. 1/7/2014)

70,000

 

(A) 20,000             (B) Rs. 10,000          (C) Rs. 7000          (D) Rs. 14,000

  1. From the following —— is not permanent asset                                                                                                                           (A) Vehicles      (B) Machines    (C) Building         (D) Cash balance
  1. In the trial balance ,deprecation on machines (factory) is given. Where would you show it in the final accounts ?

(A) Trading A/c – Debit side      (B)Trading A/c – Credit side   (C)Profit – loss A/c – Debit side

(D)Profit – loss A/c – Debit side

  1. Accounting year for the firm ends on 21/3/2016. Apprentice premium Rs. 20,000 received on 1/10/2015 for 2.5 years. Determine apprentice premium to be recorded on capital – liabilities of balance sheet.

(A)10,000       (B) Rs. 20,000      (C) Rs. 16,000        (D) Rs. 8000

  1. Carriage charges paid is Rs. 1800 and unpaid carriage charges 1/3 . If ratio for carriage inward and carriage outward is 4:6 then amount for carriage inward——

(A) 1080         (B) Rs. 1000         (C) Rs. 800          (D) Rs. 810

 

 

Answer the following questions ::

  1. According to which principle closing stock is valued ?

      Answer ::  Closing stock is valued at market price or cost price whichever is less as per conservation concept              principle

  1. Which balance the suspense account has ?

     Answer :: Suspense account has debit or credit balance

  1. Where will you show the technical directors fees given in the trial balance ?

     Answer ::  On debit side of trading A/c, Technical directors fees is to be shown

  1. Which kind/types of company/firm do not prepare Trading Account ?

     Answer ::  The firm engaged in giving only services or selling their skill or firm not having the transaction of             purchasing the goods and by adding profit to sale out that goods etc. do not prepare Trading Account.

  1. Why firm prepares balance sheet ?

     Answer ::  To know the financial position of the business, the firm prepares balance sheet

  1. Debit balance and credit balance of profit and loss appropriation account means

      Answer ::  Debit balance of profit and loss appropriation account means net divisible loss and credit balance of            profit and loss appropriation account means net divisible profit

  1. State the effects of interest on capital and interest on drawings of a partner on partners capital and profit of the business

      Answer :: Due to interest on capital, profit of business decreases and capital of partner increases and due to                  interest on drawings, profit of business increases and capital of partner decreases

  1. What is adjusted purchase ?

      Answer ::  Adjusted purchase= Opening stock of goods+ Purcahses- Purcahse return- Closing stock of goods

  1. Where will you, show income tax given in the trial balance, in the final accounts of partnership firm?

     Answer ::  Income tax will be shown on the debit side of profit and loss account as business expense

  1. In India partnership Act enforced in the year —-

    Answer ::  Partnership Act enforced in India in the year 1932

  1. Interest on partners loan is recorded —-

    Answer ::  Interest on partners loan is recorded on debit side of profit and loss account

  1. On which balance, bad debts reserve is calculated?

   Answer ::  Bad debts reserve is calculated on the balance of doubtful debts

CHAPTER : 1  INTRODUCTION TO PARTNERSHIP

 

Tag:Chapter: 2 FINANCIAL ACOOUNT, final a/c, Final account, FINANCIAL ACCOUNT

  • Share:
Sonu sir

Previous post

INTRODUCTION TO PARTNERSHIP
January 26, 2020

Leave A Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search

Categories

  • 2017-2018
  • 2018-2019
  • Blog
  • CHAPTER : 1 INTRODUCTION TO PARTNERSHIP
  • Chapter 10
  • Chapter: 2 FINANCIAL ACOOUNT
  • Chapter11
  • Chapter8 Agriculture Sector
  • Economics
  • English
  • Essays
  • Letter Writing
  • STANDARD 12

Latest Posts

Chapter: 2 FINANCIAL ACCOUNT
26Jan2020
https://stceducation.in/category/accounts-part-1/
INTRODUCTION TO PARTNERSHIP
03Aug2019
Importance of discipline
Importance of discipline
18Apr2019

About Us

STCeducation is a student-centered, future-focused institute. Creativity, critical thinking, and character growth are at the core of our program.

Locate Us

Quick Links

  • Disclaimer
  • Privacy Policy
  • About Us
  • Contact

Contact Us

(+91) 9824277061

sonuvictor2015@gmail.com

22, A-ward, New Bunglow Area, Kubernagar, Ahmedabad 382340

Copyright © 2019 All Rights Reserved.

Become an Tutor?

Join STC to Explore the Experience of Teaching

Contact Us