THEORY BASE OF ACCOUNTING, ACCOUNTING STANDARDS AND IND-AS Quiz-1

THEORY BASE OF ACCOUNTING, ACCOUNTING STANDARDS AND IND-AS Quiz-1

Quiz

 

1. There should be uniform accounting policies and methods from one period to another, according to :
   1.   Accrual concept
   2.   Matching concept
   3.   conservatism concept
   4.   None of these
2. Which of the following is the basic accounting concept that states that revenue should be recognized when it is earned, and expenses should be recognized when they are incurred?
   1.   Matching Concept
   2.   Conservatism Concept
   3.   Going Concern Concept
   4.   Materiality Concept
3. Which of the following is the basic accounting concept that states that all relevant information should be disclosed in the financial statements?
   1.   Full Disclosure Concept
   2.   Conservatism Concept
   3.   Going Concern Concept
   4.   Materiality Concept
4. Non- monetory information is not recroded in books of accounts due to:
   1.   Annual concept
   2.   Money measurement concpt
   3.   Business entity concept
   4.   None of these
5. Which of the following is NOT a basic accounting concept of GAAP?
   1.   Business Entity Concept
   2.   Going Concern Concept
   3.   Dual Aspect Concept
   4.   Materiality Concept
6. A company received an order from a customer in June for services to be provided. Those services were provided in July, and the customer paid the full amount in August. According to the revenue recognition principle, in which month should the company record revenue?
   1.   June
   2.   July
   3.   August
   4.   Evenly over the three months.
7. Which of the following is the objective of Ind AS?
   1.   To provide a framework for the preparation and presentation of financial statements that are relevant, reliable, comparable, and understandable.
   2.   To provide a framework for the preparation and presentation of financial statements that are relevant, reliable, and understandable.
   3.   To provide a framework for the preparation and presentation of financial statements that are relevant, reliable, comparable, and consistent.
   4.   To provide a framework for the preparation and presentation of financial statements that are relevant, reliable, and consistent.
8. Business and businessman are two separate entities according to :
   1.   Business concept
   2.   materiality concept
   3.   prudence concept
   4.   None of these
9. Assets= capital+ liabilities, According to :
   1.   Dual concept
   2.   Realisation concept
   3.   objective evidence concept
   4.   Going concern concept
10. Under which accounting principle quality of manpower is not recorded in the books of accounts?
    1.   money measurement concept
    2.   Accounting period
    3.   Accounting entity
    4.   going concern
11. Which of the following is the basic accounting concept that states that accountants should not overstate assets or revenues, and should not understate liabilities or expenses?
    1.   Conservatism Concept
    2.   Materiality Concept
    3.   Going Concern Concept
    4.   Consistency Concept
12. The cost principle requires that assets be initially recorded at:
    1.   Fair value
    2.   Market value
    3.   Replacement cost
    4.   Historical cost
13. Which of the following is the basic accounting concept that states that only information that is important to users of financial statements should be disclosed?
    1.   Materiality Concept
    2.   Full Disclosure Concept
    3.   Going Concern Concept
    4.   Conservatism Concept
14. The concept that requires revenues to be recognized when they are earned, regardless of when cash is received, is known as:
    1.   Matching Concept
    2.   Conservatism Concept
    3.   Going Concern Concept
    4.   Revenue Recognition Concept
15. Which of the following is NOT a qualitative characteristic of financial information under Ind AS?
    1.   Relevance
    2.   Reliability
    3.   Timeliness
    4.   Completeness
16. "All contingent liabilities should be shown as Footnote in the balance sheet' according to
    1.   prudence concept
    2.   Cost concept
    3.   full disclosure concept
    4.   Materiallity concept
17. Which of the following is the basic accounting concept that states that information that is not important to users of financial statements should not be disclosed?
    1.   Materiality Concept
    2.   Full Disclosure Concept
    3.   Going Concern Concept
    4.   Consistency Concept
18. A concept that a business enterprise will not be sold or liquidated in the near future is known as ________.
    1.   Going concern
    2.   Economic entity
    3.   Monetary unit
    4.   None of the above
19. During the lifetime of an entity accounting produce financial statements in accordance with which basic accounting concept:
    1.   Conservation
    2.   Matching
    3.   Accounting period
    4.   None of the above
20. Which accounting principle requires that life of a business be broken into smaller parts?
    1.   Accounting entity
    2.   prudence concept
    3.   Going concern
    4.   Accounting period
21. ''Businessman is the creditor of the business to extent of his capital' According to :
    1.   Dual aspect conceplt
    2.   Business entity concept
    3.   consistency concept
    4.   matching concept
22. Which of the following is the basic accounting concept that states that expenses are recognized in the same period as the revenues they generate?
    1.   Matching Concept
    2.   Conservatism Concept
    3.   Going Concern Concept
    4.   Materiality Concept
23. Which of the following is the basic accounting concept that states that a business will continue to operate for the foreseeable future?
    1.   Business Entity Concept
    2.   Going Concern Concept
    3.   Dual Aspect Concept
    4.   Conservatism Concep
24. In India, the accounting standard board was set up in the year ______.
    1.   1972
    2.   1977
    3.   1956
    4.   1932
25. Which concept emphasizes that financial information should be relevant, reliable, and comparable for users to make informed decisions?
    1.   Matching Concept
    2.   Consistency Concept
    3.   Entity Concept
    4.   Materiality Concept
26. What is the financial accounting period for claculation of Tax?
    1.   1st January to 31st December
    2.   1st july to 31st june
    3.   1st April to 31st march
    4.   None of these
27. According to the full disclosure principle, financial statements should include:
    1.   All material information that could affect users' decisions
    2.   Only the information required by regulatory authorities
    3.   Only summarized financial data
    4.   Information related to revenues but not expenses
28. The revenue recognition principle states that
    1.   Revenue should be recognized in the period the cash is received
    2.   Revenue should be recognized in the period goods and services are provided
    3.   Revenue should be recognized in the balance sheet
    4.   Revenue is a component of common stock
29. Which of the following is the main objective of ICAI?
    1.   To regulate the profession of chartered accountancy in India
    2.   To promote the study and practice of accountancy
    3.   To maintain high standards of professional conduct among its members
    4.   All of the above
30. Which of the following is the highest qualification awarded by ICAI?
    1.   Chartered Accountant (CA)
    2.   Company Secretary (CS)
    3.   Cost Accountant (CA)
    4.   Banker (B)