Self Studies
Self Studies
Self Studies
Self Studies
Selfstudy
Selfstudy

Financial Statements 2 Test 13

Result Self Studies

Financial Statements 2 Test 13
  • Score

    -

    out of -
  • Rank

    -

    out of -
TIME Taken - -
Self Studies

SHARING IS CARING

If our Website helped you a little, then kindly spread our voice using Social Networks. Spread our word to your readers, friends, teachers, students & all those close ones who deserve to know what you know now.

Self Studies Self Studies
Weekly Quiz Competition
  • Question 1
    1 / -0
    ________ = exp paid + o/s expense - prepaid exp.
    Solution
    Total Expenses means for any period for which such Total Expenses are being determined, the sum of the total gross cash expenditures of the Company or any subsidiary during such period, including all operating expenses, incentive fees, interest expense and taxes.
  • Question 2
    1 / -0
    If the rent received in advance 2,000. The adjustment entry will be ________.
    Solution
    Rent received is an income and rent received in advance means income not accrued but received in advance. 
    At the time of receiving the rent, Rent account has credited, hence an adjustment entry need to be passed:

    Rent Received A/c                             Dr.
         To Advance Rent received A/c

    In profit & loss account, amount will be deducted from Rent received account and to be shown as liability. 
  • Question 3
    1 / -0
    XYZ's A/c appeared in the Books of ABC Associated as a Debtor owing Rs.5000 to the Firm. XYZ has been declared insolvent and a final dividend of Rs.0.25 in a rupee is expected to be realised from his estate. Find the amount likely to become bad debt from XYZ.
  • Question 4
    1 / -0
    Accrued Income means _______.
    Solution
    Accrued income is income that has been earned but not yet received. Income must be recorded in the accounting period in which it is earned. Therefore, accrued income, a corresponding income must be recognized in the accounting period in which it arises rather than in the subsequent period in which it will be received. As income will be credited to record the accrued income, a corresponding receivable must be created to account for the debit side of the transaction. The accounting entry to record accrued income will be as follows: 
    Debit-Income Receivable and Credit-Income 
  • Question 5
    1 / -0
    From the following details calculate the net profit after charging managerial commission.
    Net profit before charging managerial commission Rs.65,000
    Managerial commission 11% after charging such commission.
  • Question 6
    1 / -0
    Rs.1250 was recovered from Sohan a Debtor which represent merely 0.25 in a rupee. Find the amount actually becoming bad debt if Sohan has been declared insolvent.
  • Question 7
    1 / -0
    In a mercantile system of accounting adjustment is required for _______.
    Solution
    Accrual accounting is the base of present accounting. It is also known as the mercantile system of accounting wherein the transactions are recognized as and when they take place. 
    Under this method, the revenue is recorded when it is earned, and the expenses are reported when they are incurred. 
    Hence, in this question accounting adjustment is required for prepaid expenses, outstanding expenses, accrued income/income received in advance.
  • Question 8
    1 / -0
    Goods worth Rs. 36,000 were lost in fire. The goods were insured to the extent of Rs.20,000. Loss on account of fire would be accounted for as under________.
  • Question 9
    1 / -0
    Expenses paid but not accounted as expenses means ________.
    Solution
    An accrued expense is a liability that represents an expense that has been recognized but not yet paid. Not every transaction requires an immediate exchange of cash for goods and services. Sometimes, especially when there is a prolonged history of ongoing transactions between two parties, formal invoicing and payment requirements can occur after the expense associated with the transaction has been recognized. 
  • Question 10
    1 / -0
    Adjustment entries are those which are passed________.
Self Studies
User
Question Analysis

  • Correct -

  • Wrong -

  • Skipped -

My Perfomance
  • Score

    -

    out of -
  • Rank

    -

    out of -
Re-Attempt Weekly Quiz Competition
Self Studies Get latest Exam Updates
& Study Material Alerts!
No, Thanks
Self Studies
Click on Allow to receive notifications
Allow Notification
Self Studies
Self Studies Self Studies
To enable notifications follow this 2 steps:
  • First Click on Secure Icon Self Studies
  • Second click on the toggle icon
Allow Notification
Get latest Exam Updates & FREE Study Material Alerts!
Self Studies ×
Open Now