s s 2 f/ accounting

third term exams

section A ( objective)
answer all question in the sections
1. _____ as the relationship between profit and lost price
of goods
A. bang
B. mark_ up
C. cost price
D. profit
2.____ is a system that does not conform with the basic
principles of double entry
A. in complete record
B. single entry
C. book – keeping
D. ledger
3.____ is the account that show the summary of cash
book over a particular period of time
A payment and receipt account
B. income and payment account
C. receipt and payment account
D. expenditure and receipt account
4. ____ is prepared based on the same principle as the
profit and loss account
A. payment and receipt account
B. balance sheet
C. expenditure and receipt account
D. income and expenditure account
5. _____ is a business owned by an association and
behalf of its owners of profit maximization
A. a company
B. shares
C. privates company
D. partnership
6. ____ is comprise of a set of financial institutions
financial market financial instrument and services in the
formation of capital
A. banking
B financial system
C. financial market
D. financial services
7. is a document issued by limited companies
inviting the public to subscribe to its shapes
A. incorporation
B. prospective
C. revenue
D. investment
8. ______ is the excess of current asset over current
liability
A. bonus
B. working capital
C. loan capital
D. capital
9._____ is the transformation of raw material into
finished goods
A. production
B. manufacturing account
C. prime product
D. trading profit
10. ______ are cost that can be traced to a particular
production unit
A. prime cost
B. direct cost
C. direct labour
D. factory overhead
11. _____ is the reduction in the economic services
potential of an assets as a result of wear tears and
passage of time
A. good will
B. wear and tear
C. depreciation
D. revaluation
12. _____ is the record of day to day business transation
A. book-keeping
B. accounting
C. ledger
D. trial balance
13. ____ is a partner who takes active part in the
formation and management of the business
A. partner
B. active partner
C. limited partner
D. capital
14. ______ is a partner who contribute capital but does
not partake in the day by day running of the business
A. nominal partner
B. sleeping partner
C. limited partner
D. active partner
15._____ is a business owned by an association of people
and operated as a ledger person on behalf of its owners
with arm of profit making
A. business organization
B. company
C. limited liability
D. partnership
16. _____ is a company which invite the public to
subscribe to its shares
A. public company
B. private company
C. company
D.propenture