(A) Finished goods
(B) Work-in-process
(C) Stores and spares
(D) Advance payments made to suppliers for raw materials
Tag: Financial Accounting Mcq
If a company has contingent liabilities, they appear in the?
(A) Balance Sheet
(B) Directors‘ report
(C) Notes on account to Balance Sheet
(D) Chairman‘s report
Which of the following statements is true?
(A) Inventory valuation affects only the income statement
(B) Undercasting or overcastting of subsidiary book is an example of error of commission
(C) Capital expenditure wrongly treated as revenue is an example of error of commission
(D) Inventories should be valued at lower of historical cost and current replacement cost
Payments received in advance from a customer for a contract can be?
(A) Shown as a deduction from contract work-in-progress on asset side
(B) Shown as a liability
(C) Credited to P&L A/c
(D) Either (a) or (b) above
Investment in own share A/c appears in ?
(A) Asset side
(B) Liability side
(C) Netted from Capital
(D) Profit & Loss A/c
Tax deducted at source A/c appears in?
(A) Assets side
(B) Liability side
(C) Profit & Loss A/c
(D) Debited to Capital A/c
Cost of goods sold excludes?
(A) Opening Stock
(B) Carriage inward
(C) Wages & Salary
(D) Postage & Stamps
Which of these is not a Business expense?
(A) Fire Insurance of other building
(B) LIC Premium of proprietor
(C) Interest on Capital
(D) Commission on sales