MGT101 Quiz No.1 Shared by Jangloos

Total 20 questions

Select the most suitable equation which properly represents the derivation of fundamental Accounting Equation.
Assets = Owner’s Equity
Assets + Liabilities = Owner’s Equity
Cash = Assets
Assets – Liabilities = Owner’s Equity

Which of the following are recorded in Cash Book?
Receipts and payments

The proper classification of Suppliers account is:
Liabilites

When a customer purchases goods from business and makes a promise to pay the amount at certain future time period, he will be called as:
Liabilities

Which of the following is Not a part of General Ledger?

Amount generated from sales in a business is called:

Which of the following is Not an Asset Account?

__________ is the art of recording, classifying and summarizing the transactions and events of a business and interpreting the results thereof.

Find out the missing value of an Accounting Equation with the help of given data: Owner’s equity Rs. 22,500 Total Liabilities Rs. 80, 385 Cash Rs. 1,000 Bank Rs. 2,000 Debtors Rs. 500

Rs. 99,385 other assets

Which of the following is the example of Current Assert?
Building

Commercial Accounting is done through a system that is known as:
Double Entry system of Accounting

Outsider’s claim against the assets of the business is called:
Liability

Which of the following is used to calculate Gross Profit?

An amount of Rs. 8000 paid as wages for installation of a Machine should be debited to:

Normally single entry book keeping is followed by the:
Small businesses only

Which of the following businesses have unlimited liability?
I) Sole Proprietorship II) Partnership III) Joint Stock Company

I) and II)

A wrong entry on the debit side of the Cash Book would lead to:

The process of transferring journal entry information to the ledger is called:
Posting

Find out the Owner's equitt,apart of an Accounting Equation with the help of given data: Cash Rs. 22,500 Debtors Rs. 50,000 Total assets Rs. missing Accounts payable Rs. 30,000 Total liabilities+ owner equity Rs. missing

Net profit = Gross profit - _________