Financial Accounting Multiple Choice Questions and Answers

71. Which is one which has been sent by one party but not received by the other before theclosing books of accounts.

1. Item of transaction
2. Transit item
3. Credit transaction
4. None of these.

72. Principal books of accounting is known as

1. Journal
2. Profit and loss
3. Ledger
4. Balance sheet

73. What is an example of wasting asset

1. Land
2. Fixed asset
3. Stock
4. Mines

74. Who is the person take property on the lease agreement

1. Lessor
2. Lessee
3. Payee
4. None of these

75. Who is the person tends the ownership right of property

1. Lessor
2. Lessee
3. Payer
4. None of these

76. Which are the two persons in lease agreement

1. Lessor and Lessee
2. Payer and payee
3. Drawer and drawee
4. None of these

77. Which of these is accounting equation?

1. Liability = Asset + Capital
2. Asset = Liability – Capital
3. Capital = Asset + Liability
4. Asset = Liability +Capital.

78. What is the gross decrease in the assets or gross increase in liabilities.

1. Loss
2. Revenue
3. Profit
4. Expense

79. In which principal we say that if depreciation is charged on fixed installment basis it should beDone year after year

1. Materiality concept
2. Consistency concept
3. Conservatism concept
4. Time line principal

80. The person to whom the goods are sent for sale on commission basis is calle

1. Merchant
2. Consignor
3. Consignee
4. None of these.