1- Book of original entry are called:
A). Ledger
B). Worksheets
C). Journal✔️
D). None of these
2- For preparing balance sheets prepaid expenses are shown as part of:
A). Liability
B). Equities
C). Assets✔️
D). None of these
3- Unpaid and unrecorded expenses are called:
A). Prepaid expenses
B). Accrued expenses✔️
C). Additional expenses
D). None of these
4- Amount, cash or other assets removed from business by owner is:
A). Capital
B). Drawings✔️
C). Assets
D). None of these
5- Under the diminishing balance method, depreciation amount is:
A). Payment
B). Receipts
C). Expenditure✔️
D). None of these
6- Users of accounting information include:
A). The Tax Authorities
B). Investors✔️
C). Creditors
D). All of these
7- The business from (s) in which the owner ( s) is ( are ) personally able is ( are ) the:
A). Partnership only
B). Proprietorship only✔️
C). Corporation only
D). None of these
8- The investment of personal assets by the owner:
A). Increase total assets and increases owners equity✔️
B). Increases total assets only
C). Increases assets and liabilities
D). None of these
9- All of the following are forms of business organizations except:
A). Proprietorship
B). Corporation
C). Retailer ✔️
D). Partnership
10- Economic resources of a business that are expected to be of benefit in the future are referred to as:
A). Liabilities
B). Owner’s equity
C). Withdrawals
D). Assets✔️
E). None of these
11- An owner investment of land into the business would:
A). Decrease withdrawals
B). Increase liabilities
C). Increase owner’s equity
D). Decrease assets
E). None of these✔️
12- A cash purchase of supplies would:
A). Decrease owner’s equity
B). Increase liabilities
C). Have no effect on total assets
D). None of these✔️
13- An owner investment of cash into the business would:
A). Increase assets✔️
B). Decrease liabilities
C). Increase withdrawals
D).Decrease owner’s equity
E). None of these
14- The payment of rent each month for office space would:
A). Decrease total assets
B). Increase liabilities
C).Increase owner’s equity
D). None of these✔️
15- Which one of the following accounts would usually have a debit balance?
A). Cash
B). Creditors
C). Accounts payable
D). Salaries Expense✔️
E). None of these
16- Quick assets include, which of the following?
A). Cash
B). Accounts receivable
C). Inventories
D). Only A & B✔️
17- Net income plus operating expenses is equal to:
A). Net sales
B). Cost of goods available for sale
C). Cost of goods sold
D). Gross profit✔️
E).None of these
18- The Maximum number of partners in Pakistan can be fixed at the following:
A).20
B).50✔️
C).75
D). None of these
19- Balance sheet is always prepared:
A). For the year ended
B). As on a specific date✔️
C). During the year
D). None of these
20- The measurable value of an alternative use of resources is referred to as:
A). An opportunity cost✔️
B). An imputed cost
C). A differential cost
D). A sunk cost
21- Expenses such as rent and depreciation of a building are shared by several departments these are:
A). Indirect expenses
B). Direct expenses
C). Joint expenses✔️
D). All the above
E). None of the above
22- Based on this data Re- order level is:
A).4500 units✔️
B).3900 units
C).1200 units
D).400 units
23- A credit balance remaining in FOH control is called:
A). Over applied overhead✔️
B). Under-applied overhead
C). Actual overhead
D). None of these
24- Direct material cost plus direct labour cost is called:
A). Prime cost✔️
B). Conversion cost
C). Product cost
D). All of these
25- Productivity means:
A). The ability to produce✔️
B). All units produce
C). Good units produce
D). None of these
Useful Links:-
Lecturer Commerce Online Tests
One Paper MCQs for PPSC FPSC KKPSC BPSC SPSC AJKPSC NTS