vu mgt101 Mid Term - Quiz No.2
vu mgt101 Financial Accounting Quiz
This quiz belongs to book/course code vu mgt101 Financial Accounting of vu organization. We have 99 quizzes available related to the book/course Financial Accounting. This quiz has a total of 10 multiple choice questions (MCQs) to prepare and belongs to topic Mid Term. NVAEducation wants its users to help them learn in an easy way. For that purpose, you are free to prepare online MCQs and quizzes.
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Question 1: If a business pays rent in advance for 12 months, it will be treated as:
Prepaid expenses of business
Long term liability of business
Fixed assets of business
Current liability of business
Question 2: Which of the following is an accounting system in which events are recorded as and when they occur?
Cash Accounting
Accrual Accounting
Both Accrual Accounting and Cash Accounting
None of the above
Question 3: Which of the following shows summary of a company's financial position at a specific date?
Profit & Loss Account
Cash Flow Statement
Balance Sheet
Income & Expenditure Account
Question 4: Which of the following is NOT an example of Current Asset?
Bank Overdraft
Accounts Receivable
Notes Receivable
Prepaid Expenses
Question 5: If you start with cash book favorable balance in Bank Reconciliation Statement, which item will be added?
Cheque deposited but not credited by the bank
Cheques omitted to be deposited into bank
Any amount directly collected by bank on behalf of customer but not recorded in cash book
Debit side of cash book was overcast
Question 6: A record maintained which is measurable in the form of money, this concept of accounting is known as:
Matching concept
Consistency concept
Money measurement concept
Materiality concept
Question 7: An expense incurred by the business for the purchase of land & building is an example of:
Capital Expense
Revenue Expense
Deferred Expense
Preliminary Expense
Question 8: Expenditures incurred anually on renewal of patent are known as:
Revenue Expenditures
Capital Expenditures
Financial Expenditures
Operating Expenditures
Question 9: We can say that the business is in profit, when:
Assets exceed Expenditure
Assets exceed Liabilities
Income exceeds Expenditure
Income exceeds Liabilities
Question 10: Which of the following asset is NOT depreciated?
Factory Buildings
Office Equipment
Plant & Machinery
Land
