NPO MCQ Question Practice

Q.1) Identify revenue receipts from the following

a) Donation for Building

b) legacy donation for library

c) Life membership fee

d) Subscriptions

Q.2) Entrance fee received by NPO is transferd to debit side of income and expenditure account

a) True
b) False
c) Both (a) and (b)
d) None of these

Q.3) outstanding subscription is shown in

a) Assets

b) Liabilities

c) Receipts and payments A/c

d) Not to be shown any where

Q.4) Out of the following which is unrestricted fund

a) Annuity fund

b) capital fund

c) Endowment fund

d) sport fund

Q.5) Calculate sport material consumed from the following

opening sport materials 20,000

total Purchases of sport materials 12,000

closing creditors of sport material 3,000

closing stock of sport materials 2,000

a) 37,000
b) 30,000
c) 29,000
d) 27,000

Q.6) nature of Receipts and payment A/c is __________________

a) real

b) personal
c) nominal

d) none

Q.7) Receipts and payment A/c is prepared on

a) Accrual basis

b) Time basis

c) sales basis

d) cash basis

Q.8) Nature of Income and expenditure A/c is

a) real

b) nominal

c) personal

d) none

Q.9) Calculate the amount of subscription credited to income and expenditure A/c

subscription received during the year 45,000

outstanding subscription on the beginning of current year 2,000

Advance subscription at the end of the previous year 3,000

a) 50000
b) 46000
c) 44000
d) 40000

Q.10) which of the following statement is not true for receipt and payment A/c ?

a) it is a summary of the cash book

b) it records receipts and payments of revenue nature only

c) depreciation is not recorded here

d) receipts & payment of previous year, current year and preceding year are recorded

Q.11) calculate the match fund shown in liabilities from the following information

Match Fund opening balance 15,000

Donation for match fund 20,000

match expenses 5,000

match fund investment 30,000

prizes awarded 4,000

a) 30,000
 b) 34,000
c) 60,000
d) 26,000

Q.12) income and expenditure A/c records transaction related to

a) Capital Nature only

b) All types of cash transactions

c) Revenue Nature only

d) both revenue and capital nature transactions

Q.13) Life membership fee received by NPO is accounted as

a) Revenue Receipts

b) Capital Receipts

c) is decided by the management

d) An Asset

Q.14) which of the following is not a revenue receipt?

a) Entrance fee

b) subscriptions

c) govt. grant

d) Endowment fund

Q.15) Calculate salaries to be debited to income and expenditure A/c

salaries paid during the year 36,000

outstanding salaries 6,000

advance salaries 4,000

a) 26000
b) 36000
c) 38000
d) 34000

Q.16) Entrance fee 30,000. 40% of which is capitalised how much entrance fee is transferred to
income and expenditure A/c ?

a) 18,000
b) 12,000
c) 42,000
d) 30,000

Q.17) government Grant is a capital Receipt

a) True
b) False

c) Both (a) and (b)

d) neither (a) nor (b)

18 Income and expenditure A/c is prepared by________________ concerns

a) Trading
b) Sole proprietorship
c) Partnership
d) Non trading

Q.19) source of income for a NPO

a) subscriptions

b) Donations

c) Entrance fee

d)All of these

Q.20) payment of Honorarium to secretary is treated as

a) capital expenditure

b) revenue expenditure

c) Cash expenses

d) None of these