Postage stamps on hand are considered as_________?

Related Mcqs:

1. A second hand car is purchased for 2,00,000 and sold at 1,40,000 after two years. If depreciation is charged @ 10% on written down value method, find the profit or loss on sale of the Second hand car?

   A. Loss of 20,000
   B. Loss of 22,000
   C. Loss of 11,000
   D. Profit of 11,000

2. The closing balance of petty cash book is considered as_________?

   A. Liability
   B. Asset
   C. Expenses
   D. Income

3. Which of these is a Part of cash in hand?

   A. Postage stamps
   B. B/R
   C. Cheque Deposited with Bank
   D. B/R endorsed

4. A second hand car is purchased for 2,00,000 and sold at 1,40,000 after two years. If depreciation is charged @ 10% on SLM method, find the profit or loss on sale of the car?

   A. 20,000 Loss
   B. 20,000 Profit
   C. 10,000 Loss
   D. 10,000 Profit

5. A cash book that is used to record the small payments of cash is generally referred as_________?

   A. Simple cash book
   B. Two column cash book
   C. Three column cash book
   D. Petty cash book

6. Postdated checks are considered as__________?

   A. Cash
   B. Bank balance
   C. Accounts receivable
   D. Cash reserve

7. Which of the following can be considered as the most important phase of accounting cycle and it is the primarily objective of financial accounting?

   A. Identifying transactions
   B. Preparing “T Accounts”
   C. Preparing financial statements
   D. Preparing trial balances

8. For the past 3 years, DK Ltd. has failed to accrue unpaid wages earned by workers during the last week of the year. The amounts omitted, which were considered material, were as follows:
   March 31,2010 – ` 56,000
   March 31, 2011 – ` 51,000
   March 31, 2012 – ` 64,000
   The entry on March 31, 2012 to rectify these omissions would include a

   A. Credit to wage expense for ` 64,000
   B. Debit to wage expense for ` 64,000
   C. Debit to wage expense for ` 51,000
   D. Debit to wage expense for ` 13,000

9. Which one of the following should be considered a revenue expenditure?

   A. 1000 paid for the execution of a new plant
   B. Loss of 10,000 incurred in increasing the sitting accommodation of a hotel
   C. Damage paid on account of breach of a contract to supply certain goods
   D. Repair to machinery purchased, second hand.

10. Which of the following factors are primarily considered to determine the economic life of an asset?

    A. Passage of time, asset usage, and obsolescence
    B. Tax regulations and SEBI guidelines
    C. Tax regulations and asset usage
    D. SEBI guidelines and Asset usage