Tag: commercial applications

Quizzes (170) Questions (1551)

Questions Related to commercial applications

Multiple choice commercial applications bases of accounting cash and mercantile system basis of accounting basis of accounting system

Who among the following defined management as "The accomplishment of results through the efforts of other people"?

  1. George Terry

  2. Lawrance Appley

  3. L.D. White

  4. Allen
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

L.D. White is the management theorist who defined management as the accomplishment of results through the efforts of other people.

Multiple choice commercial applications bases of accounting cash and mercantile system basis of accounting basis of accounting system

The characteristic feature of imprest system is ___________________.

  1. Fixed amount of cash is allocated to petty cash fund

  2. Cash distributed from petty cash fund is documented with receipts

  3. Both a&b

  4. Petty cash disbursement receipts are everyday replenishments of the petty cash fund
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The imprest system involves maintaining a fixed float (A) and requiring documentation/receipts for all disbursements (B) to justify the replenishment of the fund.

Multiple choice commercial applications bases of accounting cash and mercantile system basis of accounting basis of accounting system

Global depository receipts (GDRs) are issued by successful corporations with a view to attract ___________________.

  1. Overseas loan funds

  2. Remittances from NRIs

  3. Foreign equity capital

  4. Foreign direct investment
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

GDRs are financial instruments used by companies to raise capital from international markets, specifically by issuing shares to foreign investors.

Multiple choice commercial applications bases of accounting cash and mercantile system basis of accounting basis of accounting system

Accrued income refers to that income which has been _______________.

  1. received but not earned during the current accounting period

  2. earned but not received during the current accounting period

  3. earned but not earned during the previous accounting period

  4. received and earned during the current accounting period
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Accrued income is income that has been earned by providing goods or services during the period, but for which payment has not yet been received.

Multiple choice commercial applications bases of accounting cash and mercantile system basis of accounting basis of accounting system

Materiality in accounting is decided __________________.

  1. By the size of an item

  2. By the knowledge as to whether an individual item is having a significant influence on financial statement

  3. Solely by the discretion of the accountant

  4. By the physical volume of the transaction
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Materiality is a qualitative characteristic; an item is material if its omission or misstatement could influence the economic decisions of users of the financial statements.

Multiple choice commercial applications bases of accounting cash and mercantile system basis of accounting basis of accounting system

Whenever a company wants to alter its Memorandum of Association for changing the place of registered office from one state to another, it has to pass _________________.

  1. Ordinary resolution

  2. Special resolution

  3. Resolution requiring special notice

  4. Unanimous resolution
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Changing the registered office of a company from one state to another involves altering the Memorandum of Association, which requires a special resolution under the Companies Act.

Multiple choice commercial applications bases of accounting cash and mercantile system basis of accounting basis of accounting system

It SA/cs is done and by mistake A's account is transferred to Purchase No in such a case which accounts are affected? 

  1. Purchase a/c

  2. A's a/c

  3. Both (a) and (b)

  4. None of the above.
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

When a personal account like A's account is incorrectly transferred to a nominal account like Purchase account, both accounts are affected. A's account shows an incorrect debit balance, while Purchase account is overstated. Both need correction entries to reverse the error and record the proper transaction.

Multiple choice commercial applications bases of accounting cash and mercantile system basis of accounting basis of accounting system

Bank balance as per cash book of ABC Enterprises as on 31st March, 2013 is f 1,500. Cheques deposited with bank but not cleared amount to f 100 and cheques issued but not presented for payment amount to f 150. The bank allowed interest amounting to Rs.50 and collected dividend Rs.50 on behalf of ABC Enterprises. Balance as per pass book should be ____________.

  1. Rs. 1,600

  2. Rs. 1,850

  3. Rs. 1,450

  4. Rs. 1,650
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Cash book balance = 1500. Add cheques issued but not presented (+150). Subtract cheques deposited but not cleared (-100). Add interest allowed (+50). Add dividend collected (+50). 1500 + 150 - 100 + 50 + 50 = 1650.