Quiz 2

Group - A

Answer the following questions.

1. Which of the following is an item of Asset?

A. Cost of goods sold

B. Purchase of a machine
C. Repairs to a machine
D. Wages cost

2. Which of the following is a liability?

A. Depreciation
B. Rent Payable
C. Cash at bank
D. Plant and machinery

3. Business entity concept distinguishes between:

A. Individual and business

B. Business and business
C. Owners
D. Debtors and creditors

4. Bank Loan is-

A. Liability
B. Asset
C. Expense
D. Income

5. Which of the following is an Expense?

A. Salary
B. An Accrual
C. Cash at Bank
D. Plant and Machinery
6. Factory Building is-

A. Liability
B. Asset
C. Equity
D. Income

7. User of financial statement is:

A. Management
B. Creditors
C. Bankers
D. All of the above

8. Which of the following is not a fixed asset?

A. Building
B. Bank Balance
C. Plant Patents
D. Goodwill

9. Which of the following would not be included on a balance sheet?

A. Accounts payable
B. Accounts receivable
C. Sales
D. Cash

10. In accounting all business transaction are recorded as having

A. Single aspect
B. Dual aspect/ Double Entry System
C. Triple aspect
D. None of these