Liabilities are which of the following?

Related Mcqs:

1. 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

2. The excess of current assets over current liabilities is called:

   A. Working Capital
   B. Circulating capital
   C. Fixed capital
   D. Trading capital

3. The real accounts are accounts of Assets, liabilities and ___________?

   A. Expenses
   B. Revenues
   C. Capital
   D. Drawing

4. Find out the value of assets if: Liabilities=$5000 and Capital=$1000

   A. $4000
   B. $6000
   C. $7000
   D. $3000

5. Calculate the amount of cash if: Total assets=$10,000 Total liabilities=$10,000 Total Capital=$5000

   A. $6000
   B. $10,000
   C. $5000
   D. $1000

6. If the total liabilities of a business decrease by $5000 what will be the effect on total asset?

   (assuming the amount of capital remain same)

   A. Remain constant
   B. Decrease by $5000
   C. Increase by $5000
   D. Increase by $10,000

7. If Cash=$1000 inventories=$4000 Debtors=$5000 fixed assets=? Capital+Liabilities=$15000 What is the Amount of total assets?

   A. $5000
   B. $10,000
   C. $15,000
   D. $20,000

8. Current assets – Current liabilities=?

   A. Capital
   B. Absorbed capital
   C. Net assets
   D. Net working capital

9. Assets-Liabilities=____________?

   A. Cash
   B. Equity
   C. Net income
   D. Net expenses

10. If a company has contingent liabilities, they appear in the__________?

    A. Balance Sheet
    B. Directors‘ report
    C. Notes on account to Balance Sheet
    D. Chairman‘s report

    Contingent liabilities are disclosed in the notes to Balance Sheet