Financial Accounting Multiple Choice Questions and Answers

91. Abnormal loss account should be transferred to

1. Profit and loss a/c
2. Trading a/c
3. Abnormal a/c
4. None of these.

92. What is prepared at the end of the period to show the financial position of business

1. Profit and loss account
2. Balance sheet
3. Trial balance
4. None of these

93. Interest is charged on drawings made by the proprietor it is gain to the ---------------- 

1. Proprietor
2. Employee
3. Other
4. Business

94. Bad debt shown in adjustment is known as  

1. Provision for bad debt
2. Bad debt
3. Further bad debt
4. Net bad debt

95. What is the major source of revenue of any business  

1. Purchase
2. Sale
3. Dividend
4. None of these.

96. If the goods are drawn by the proprietor for personal use, the amount should deduct from -------------------- and add to the  

1. Purchase and drawings
2. Sales and capital
3. Drawings and cash in hand
4. Cash in hand and stock

97. Patent Rights account is a ------ account

1. Real
2. Personal
3. Nominal
4. Fictitious

98. What is an example of fixed asset

1. Receivables
2. Stock
3. Land and Building
4. None of these.

99. Debit aspect is known as ------------------and Credit aspect is known as ----------------------------.

1. Receiving and giving
2. Liability and asset
3. Expense and Gains
4. Income and Expenses

100. Which one of these are not the function of account

1. Recording
2. Classifying
3. Summerising
4. Statement