Accounting Terms Quiz-2

Accounting Terms Quiz-2

Quiz

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1. Purchase refers to the buying of _________.
   1.   Goods
   2.   Assets
   3.   Investment
   4.   stationary
2. Goods taken by the proprietor for his personal use will be termed as__________
   1.   Drawings
   2.   Sales
   3.   Withdrawal of Capital
   4.   Liability
3. A statement of balances of assets and liabilities is called_________
   1.   Capital
   2.   Fixed Assets
   3.   Balance Sheet
   4.   Profit and Loss Account
4. Goods sold on credit to Ram for 2,000. He could not pay the amount due and it was written off as__________
   1.   Bad Debts Recovered
   2.   Bad Debts
   3.   Loss on Sale
   4.   Increase in Debtors
5. Which of the following is drawings:
   1.   Money withdrawn and rent paid for the office 4,000
   2.   Money withdrawn and furniture purchased for the office 10,000
   3.   Money withdrawn and purchased car for personal use 5,00,000
   4.   Money withdrawn and paid to the creditors 8,000
6. Which of the following is not a Fixed Tangible Asset?
   1.   Building
   2.   Machinery
   3.   Furniture
   4.   Computer Software
7. Expense, the benefit of which a firm will enjoy within one accounting period, is known as:
   1.   capital expenditure
   2.   fictitious assets
   3.   revenue expenditure
   4.   deferred revenue expenditure
8. Life Insurance Premium paid by using business money is _________
   1.   Withdrawal of Capital
   2.   Drawings
   3.   Business Expense
   4.   Current Asset
9. Pick the odd one out( in context of current assets)
   1.   Inventory
   2.   patents
   3.   debtors
   4.   cash and cash equivalents
10. Loose Toos are shown in Balance Sheet under_____________
    1.   Other Current Assets
    2.   Fixed Tangible Assets
    3.   Fixed Intangible Assets
    4.   Inventories
11. Debtors + Bills Receivables = ?
    1.   Inventories
    2.   Trade Payables
    3.   Trade Receivables
    4.   Capital
12. A business frm has liability toward the proprietor is termed as__________
    1.   External Liability
    2.   Current Liability
    3.   Internal Liability
    4.   Contingent Liability
13. Which of the following is a Revenue Receipt?
    1.   Sale of Old Machinery
    2.   Sale of goods
    3.   Purchase of Furniture
    4.   Salaries paid to employees
14. A Building under construction is shown in the Balance Sheet under__________
    1.   Work in Progress
    2.   Fixed Intangible Assets
    3.   Capital Work in Progress
    4.   Current Assets
15. 2,000 written off last year from a debtor. Now received from him ? 1,500. It is________
    1.   Bad Debts
    2.   Sales Return
    3.   Purchase Return
    4.   Bad Debts Recovered
16. Pick the odd one out (in context to Inventories):
    1.   Stock of Raw Material
    2.   Capital work in progress
    3.   Stores and Spares
    4.   Loose Tools
17. Income Tax paid by the business (by using business money) is__________
    1.   Withdrawal of Capital
    2.   Drawings
    3.   Business Expense
    4.   Current Asset
18. Purchase Return is also known as_________
    1.   Return outward
    2.   Return inward
    3.   Prepaid Expense
    4.   Revenue from Operation
19. Expenditure of Revenue Nature that gives benefit for more than on accounting period is categorized as
    1.   Revenue Expenditure
    2.   Capital Expenditure
    3.   Deferred Revenue Expenditure
    4.   Outstanding Expense
20. Which of the following is an event and not a transaction?
    1.   Purchase of goods
    2.   Sale of goods
    3.   Purchase of Assets
    4.   calculation of profit and loss at the end of the financial year