Net income equal to Revenues minus____________?

Related Mcqs:

1. Any gain on the sale of non-current assets should be _________ from the net profit and the loss must be _________to the net profit in determining fund from operation?

   A. Added, Reduced
   B. Added, Added
   C. Deducted, Added
   D. Deducted, Deducted

2. The beginnings inventory of the current year is overstated by 5,000 and closing inventory is overstated by 12,000. These errors will cause the net income for the current year by

   A. 17,000 (overstated.
   B. 12,000 (understated.
   C. 7,000 (overstated.
   D. 7,000 (understated.

3. 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

4. Net loss occurs when______________?

   A. Expenses are greater than Income
   B. Expenses are less than Income
   C. Expenses=Income
   D. Liabilities are greater than income

5. Which of the following assets is/are to be valued at the lower of cost and net realizable value?

   A. Goodwill
   B. Inventories
   C. Investments
   D. Both B. and C. above.

6. Net sales equals, sales minus:

   A. Return outwords
   B. Return inwards
   C. cost of goods sold
   D. carriage on sales

   Submitted by: Kamran Ahmad

7. Which of the following shall not be deducted from net profit while calculating managerial remuneration?

   A. Loss on sale of undertaking
   B. Debts considered bad and written off
   C. Liability arising from a breach of contract
   D. Director‘s remuneration

8. From the following details what will be the partners commission? Net profit before charging partners commission 65,000. Partners commission 11% before charging such commission

   A. 6441
   B. 5431
   C. 7150
   D. 5876

9. From the following details what will be the partners commission? Net profit before charging partners commission 65,000. Partners commission @ 11% after charging such commission.

   A. 6441
   B. 5431
   C. 7654
   D. 9876

10. Income earned but not received is called ____________?

    A. Fictitious assets
    B. Quick asset
    C. Real asset
    D. Outstanding asset