vu mgt101 Mid Term - Quiz No.3
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: Economic resources owned by a business and expected to benefit for the future operations are called:
Expenses
Assets
Capital
Liabilities
Question 3: What type of expenses are paid out of Gross Profit?
Selling Expenses
General Expenses
Financial Expenses
All of the given options
Question 4: Which of the following account will be credited in the books of ABC Co. Ltd., if furniture is purchased on cash?
Furniture account
Cash account
Business account
Bank account
Question 5: Which one of the following is NOT true about revenue expenditure?
These are the running expenses of the business
They improve the financial position of the business
They reduce the profit of the concern
They do not appear in the balance sheet
Question 6: The estimated value at which an asset is expected to be sold after the end of its useful life is called:
Residual value
Salvage Value
Scrap Value
All of the given options
Question 7: Which of the following is CORRECT about the flow of recording a transaction?
Occurrence of event – voucher—Journal—Ledger—Trial Balance—profit and loss account—Balance Sheet
Occurrence of event—Journal – voucher —Ledger—Trial Balance—profit and loss account—Balance Sheet
Occurrence of event—Ledger – voucher—Journal—Trial Balance—profit and loss account—Balance Sheet
Occurrence of event—Trial Balance – voucher—Journal—Ledger—profit and loss account—Balance Sheet
Question 8: Which of the following account will be credited, when the goods are purchased on cash?
Stock account
Cash account
Supplier account
Work in process account
Question 9: Which one of the following is NOT true about Capital Expenditure?
Creates future benefits
Incurred to acquire fixed assets
Incurred to increase the economic life of existing fixed assets
Reduce the profit of the concern
Question 10: In cost of goods sold statement, the cost of material consumed is equal to:
Opening raw material inventory + Purchases – Ending raw material inventory
Opening raw material inventory - Purchases + Ending raw material inventory
Ending raw material inventory + Opening raw material inventory - Purchases
Ending raw material inventory + Opening raw material inventory + Purchases
