GENERAL ACCOUNTING PRINCIPLES (GENERAL STUDIES)Total Questions: 5021. Below are listed Content of partnership Deed except:(a) Ratio in which profit or losses shall be share(b) Interest on Partners capital and drawings(c) Interest on Debentures(d) Name of the firm.Correct Answer: (c) Interest on Debentures22. What is the status of partnership from an accounting viewpoint(a) None of these(b) Both a separate business entity and Not separate from the owners(c) A separate business entity.(d) Not separate from the ownersCorrect Answer: (c) A separate business entity.23. From the following, identify a situation when fixed capitals of the partners may change?(a) When there is loss in the business(b) When drawings are made by the partners(c) When additional capital is introduced(d) When current accounts are openedCorrect Answer: (c) When additional capital is introduced24. While preparing Statement of Profit and Loss , net sales is Recorded as:(a) Revenue from operations(b) Finance Cost(c) Other Expenses(d) Other incomeCorrect Answer: (a) Revenue from operations25. While preparing Statement of P/L, Salaries and wages are shown under:(a) Cost of material consumed(b) Other Expenses(c) Employee benefit expense(d) Finance CostCorrect Answer: (c) Employee benefit expense26. An ideal Current Ratio is:(a) 3 : 1(b) 2 : 1(c) 1 : 1(d) 4 : 1Correct Answer: (b) 2 : 127. Liquid Ratio is also known as:(a) Debt Equity Ratio(b) Acid Test Ratio right(c) Gross Profit Ratio(d) Current RatioCorrect Answer: (b) Acid Test Ratio right28. Low ‘Working Capital Turnover Ratio’ indicates:(a) Under-utilization of working capital(b) Over-utilization of working capital(c) There is no working capital(d) No use of working capitalCorrect Answer: (a) Under-utilization of working capital29. When the concept of ratio is defined in respected to the items shown in the financial statements, it is termed as(a) None of these(b) Costing ratio(c) Financial ratio(d) Accounting ratioCorrect Answer: (d) Accounting ratio30. What type of transactions we record in the books of accounts?(a) Political nature(b) Cash nature(c) Social nature(d) Monetary natureCorrect Answer: (d) Monetary natureSubmit Quiz« Previous12345Next »
