An expenditure intended to benefit the current period is revenue expenditure.
True
False
Correct Answer :
A. True
Related Questions
Copyright is an example of
Real Account
Asset
Intangible Asset
All of the above
Capital + Long-term liabilities = Fixed Assets + Current Assets + Cash - Current Liabilities.
True
False
Which of the following equation(s) is(are) true
Assets = Liabilities + Capital
Assets - Capital = Liabilities
Both (a) and (b)
None of the above
HUF stands for
Hindu United Family
HIndi Undivided Family
Hindu Undivided Family
Hindu Uniform Family
Business ventures, which are started for a predefined period, are known as _____________ventures
Joint
Terminal
Treminable
Limited Period
Mr.Customer purchased goods from Mr.Seller on credit. This is a/an
Event
Transaction
Both (a) and (b)
None of the above
Goodwill is not a fictitious asset.
True
False
All events are transactions but all transactions are not events.
True
False
Depreciation cannot be provided in case of loss, in a financial year.
True
False
A part of the profit distributed to the shareholders is known as
Reserve & Surplus
Retained Earnings
Dividend
Net Profit
Any type of error affects the agreement of Trial Balance.
True
False
Expenditure, which result in acquisition of permanent assets, is a capital expenditure.
True
False
Bank Reconciliation statement is prepared to arrive at the Bank Balance.
True
False
According to the Concept of Conservatism, an accountant should
Recognize all losses and anticipate no gains
Recognize all gains and anticipate no losses
Recognize and anticipate both gains and losses
Both (b) and (c)
Cash payments are recorded on the _______________ of the Cash Book.
Debit side
Credit side
Both sides
Any one side
An expenditure intended to benefit the current period is revenue expenditure.
True
False
The short description of a transaction written at the end of a journal entry is known as _______________.
Summary
Narration
Memo
Info
The aggregate of direct material, direct labour and direct expenses is known as
Product Cost
Manufacturing Cost
Prime Cost
Production Cost
Which of the following events is not a transaction?
Mr. Employer paid salary of Rs.9,000 to Mr. Employee.
Rahul sold his bicycle to Rohan for Rs.600.
Abhijeet gifted a book, priced at Rs.800, to Amit.
None of the above.
If the totals of debit and credit columns of a Trial Balance are equal, it implies correctness of books of accounts.
True
False
The account which can never have a credit balance is
Bank
Cash
Debtor
Creditor
Depreciation is not charged on _______________.
New assets
Land
Building
None of the above
Arrange the steps of accounting in sequential order -
(i) Trial Balance;
(ii) Journal Entry;
(iii) Balancing of Accounts;
(iv) Ledger Posting.
(i),(ii),(iii),(iv)
(ii),(iii),(iv),(i)
(ii),(iv),(i),(iii)
(ii),(iv),(iii),(i)
Choose the odd one out
Wages
Stationery
Sales
Furniture
The basic unit of measurement of the accounting system is ______________.
Money
Finance
Weight
None of the above
The life span of a company is dependent on the life span of the
Owner(s) of the company
Promoter of the company
Managing Director of the company
None of the above
Sale of Office Furniture should be credited to Sales Account.
True
False
The accounts of a company may be maintained using Single Entry System of Book Keeping also.
True
False
An expense incurred to keep the machine in working condition is a capital expenditure.
True
False
The balance in the Cash Book represents net income.
True
False