Which of these is not an operating income?

Related Mcqs:

1. A company is currently operating at 80% capacity level. The production under normal capacity level is 1,50,000 units. The variable cost per unit is ` 14 and the total fixed costs are ` 8,00,000. If the company wants to earn a profit of ` 4,00,000, then the price of the product per unit should be

   A. 37.50
   B. 38.25
   C. 24.00
   D. 35.00

2. Income earned but not received is called ____________?

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

3. Net income equal to Revenues minus____________?

   A. Gains
   B. Depreciation
   C. Expenses
   D. Capital expenditures

4. The adjustment to be made for income received in advance is:

   A. Add income received in advance to respective income and show it as a liability
   B. Deduct income received in advance from respective income and show it as a liability
   C. Add income received in advance to respective income and show it as asset
   D. Deduct income received in advance from respective income and show it as an asset in the Balance Sheet

5. 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.

6. An income statement in which each item expressed as percentage of Sale?

   A. Balance sheet
   B. income statement
   C. common size income statement
   D. All of the Above

   Submitted by: Maneesh kumar

7. When goods, in which business deals are sold, it is called___________?

   A. Purchases
   B. Return inward
   C. Sales
   D. Return outwards

8. If a transaction is completely omitted from the books of accounts, will it affect the agreement of a trial balance?

   A. Yes
   B. No
   C. Transactions can’t be omitted
   D. none of these

9. On scrutiny of a firm‘s books of accounts, it was observed that the following errors have occurred in the previous years but have not yet been rectified.

   i. Depreciation for 2011-2012- 7,000 understated
   ii. Accrued expenses as at March 31, 2013 – 10,000 understated
   The impact of this on the reported net income for the year ending March 31, 2013 is

   A. 7,000 Overstated
   B. 10,000 Overstated
   C. 17,000 Understated
   D. 17,000 Overstated

10. Warehouse rent is a part of _________?

    A. prime cost.
    B. factory cost.
    C. distribution cost.
    D. production cost

    Submitted by: ALIYA NAWAZ