NCERT Class 11 Accountancy MCQ Chapter 9 Financial Statements – II Solutions, AHSEC Class 11 Accountancy Multiple Choice Question Answer to each chapter is provided in the list so that you can easily browse throughout different chapters NCERT Class 11 Accountancy MCQ Chapter 9 Financial Statements – II Question Answer and select needs one.
NCERT Class 11 Accountancy MCQ Chapter 9 Financial Statements – II
Also, you can read the SCERT book online in these sections NCERT Class 11 Accountancy Multiple Choice Solutions by Expert Teachers as per SCERT (CBSE) Book guidelines. AHSEC Class 11 Accountancy MCQ Solutions. These solutions are part of SCERT All Subject Solutions. Here we have given HS 1st Year Accountancy Objective Type Question Answer for All Subjects, You can practice these here.
Financial Statements – II
Chapter: 9
| PART – ⅠⅠ |
MULTIPLE CHOICE QUESTION ANSWER
1. What does the accrual basis of accounting emphasise?
(i) Revenues on a receipt basis.
(ii) Revenues on an earned basis.
(iii) Expenses on a paid basis.
(iv) None of the above.
Ans: (ii) Revenues on an earned basis.
2. If an insurance premium of Rs.1,200 is paid on July 01, 2016, and covers 12 months, how much should be charged to the profit and loss account for the year ending March 31, 2017?
(i) Rs.1,200
(ii) Rs.900
(iii) Rs.300
(iv) Rs.1,000
Ans: (ii)Rs.900
3. Which account reflects a liability in the trial balance?
(i) Debtors.
(ii) Bank.
(iii) Long-term loan.
(iv) Furniture.
Ans: (iii) Long-term loan.
4. Which entry reflects the adjustment of closing stock in the accounts?
(i) Closing stock A/c Dr. To Purchases A/c.
(ii) Closing stock A/c Dr. To Trading A/c.
(iii) Purchases A/c Dr. To Closing stock A/c.
(iv) Trading A/c Dr. To Closing stock A/c.
Ans: (ii) Closing stock A/c Dr. To Trading A/c.
5. What are outstanding expenses?
(i) Expenses that have been paid.
(ii) Expenses that are unpaid at the end of the accounting period.
(iii) Expenses related to future periods.
(iv) Revenue earned in advance.
Ans: (ii) Expenses that are unpaid at the end of the accounting period.
6. How should Ankit record the journal entry for wages outstanding?
(i) Wages outstanding A/c Dr. To Wages A/c.
(ii) Wages A/c Dr. To Wages outstanding A/c.
(iii) Outstanding expenses A/c Dr. To Wages A/c.
(iv) Wages A/c Dr. To Cash A/c.
Ans: (ii) Wages A/c Dr. To Wages outstanding A/c.
7. Such persons who earn remuneration against their services are called –
(i) Seller.
(ii) Purchaser.
(iii) Professional.
(iv) None of these.
Ans: (iii) Professional.
8. Receipt and payment account is a summary of-
(i) Income & Expenditure account.
(ii) Profit & Loss A/c.
(iii) Cash – book.
(iv) None of these.
Ans: (iii) Cash – book.
9. Outstanding expenses are those expenses which have became _____ during the accounting year
(i) Payable.
(ii) Payed.
(iii) Received.
(iv) Receivable.
Ans: (i) Payable.
10. If Ankit has wages of Rs.8,000 recorded and owes an additional Rs.500, what total should be reported for wages in the profit and loss account?
(i) Rs.7,500
(ii) Rs.8,000
(iii) Rs.8,500
(iv) Rs.9,000
Ans: (iii) Rs.8,500
11. If Shiv paid a total salary of Rs.25,000, which includes an advance payment of Rs.5,000, what is the correct salary expense that should be reported in the profit and loss account?
(i) Rs.20,000
(ii) Rs.25,000
(iii) Rs.30,000
(iv) Rs.15,000
Ans: (i) Rs.20,000
12. Prepaid expenses are shown in-
(i) Liability side.
(ii) Asset side.
(iii) Assets or Liability side.
(iv) None of these.
Ans: (ii) Asset side.
13. What journal entry is made to record the prepaid salary of Rs.5,000?
(i) Salary A/c Dr. Rs.5,000
To Prepaid Salary A/c Rs.5,000
(ii) Prepaid Salary A/c Dr. Rs.5,000
To Salary A/c Rs.5,000
(iii) Prepaid Salary A/c Dr. Rs.10,000
To Salary A/c Rs.10,000
(iv) Salary A/c Dr. Rs.5,000
To Outstanding Salary A/c Rs.5,000
Ans: (ii) Prepaid Salary A/c Dr. Rs.5,000
To Salary A/c Rs.5,000
14. If Ankit earned a commission of Rs.5,000 and an additional Rs.1,500 is still receivable, what is the total commission income that should be reported in the profit and loss account?
(i) Rs.5,000
(ii) Rs.1,500
(iii) Rs.6,500
(iv) Rs.3,500
Ans: (iii) Rs.6,500
15. What is the journal entry to record the accrued commission of Rs.1,500?
(i) Commission A/c Dr. Rs.1,500
To Accrued Commission A/c Rs.1,500
(ii) Accrued Commission A/c Dr. Rs.1,500
To Commission A/c Rs.1,500
(iii) Accrued Income A/c Dr. Rs.1,500
To Outstanding Commission A/c Rs.1,500
(iv) Commission A/c Dr. Rs.1,500
To Outstanding Income A/c Rs.1,500
Ans: (ii) Accrued Commission A/c Dr. Rs.1,500
To Commission A/c v1,500
