Capital expenses are shown in___________?

Related Mcqs:

1. Expenses of the following nature are treated as a Revenue expenses except__________?

   A. Expenses for day to day running of the business
   B. Putting the new asset in working condition
   C. Depreciation
   D. Purchase of raw material

2. Revenue receipts are shown in___________?

   A. Balance Sheet
   B. Profit and Loss appropriation A/c
   C. Manufacturing A/c
   D. Trading and Profit and Loss A/c

3. Based on which of the following concepts, is Share Capital Account shown on the liabilities side of a Balance Sheet?

   A. Business entity concept
   B. Money measurement concept
   C. Going concern concept
   D. Matching concept

4. Capital of a business decreases if there is an increase in___________?

   A. Drawings
   B. Income
   C. Gains
   D. Fresh capital

5. Payment of expenses will ______ the assets

   A. Increase
   B. Reduce
   C. apportion
   D. Overstate

6. Which of the following is a revenue expenses?

   A. Raw material consumed
   B. Plant purchased
   C. Long term loan raised from bank
   D. Share Capital

7. The accounting process of gradually converting the unexpired cost of fixed assets into expenses over a series of accounting periods is_________?

   A. Depreciation
   B. Physical deterioration of the asset
   C. Decrease in market value of the asset
   D. Valuation of an asset at a point of time

8. The adjustment to be made for prepaid expenses is____________?

   A. Add prepaid expenses to respective expenses and show it as an asset
   B. Deduct prepaid expenses from respective expenses and show it as an asset
   C. Add prepaid expenses to respective expenses and show it as a liability
   D. Deduct prepaid expenses from respective expenses and show it as a liability

9. Prepaid expenses are valued on the Balance Sheet at

   A. Replacement cost
   B. Current cost
   C. Cost to acquire less accumulated amortization
   D. Cost less expired portion

10. The revenues and expenses of a company are displayed in which statement?

    A. Balance Sheet
    B. Cash Flow Statement
    C. Income Statement
    D. None of the above

    Submitted by: Aqeel Ahmed