CBSE Questions for Class 11 Commerce Accountancy Financial Statements 2 Quiz 3 - MCQExams.com

In case of insolvency of a partner, any balance in reserve fund or profit and loss accounts is distributed to all the partners ______________.
  • Equally
  • In the profit sharing ratio
  • In the ratio of capitals
  • In sacrificing ratio
There are certain items which are not recorded on day-to-day basis such as _________________.
  • Salary expenses
  • Wages expenses
  • Depreciation on fixed assets
  • Rent expenses
The interest on partners capital accounts is to be credited to _______________.
  • Interest Account
  • Profit and Loss Account
  • Drawing Account
  • Partner's Capital Account
In the absence of an agreement to the contrary,  ___________________.
  • An active partner is entitled for salary and a sleeping partner for interest on capital @ 6% p.a.
  • An active partner is entitled for salary and each partner for interest on capital @ 6% p.a.
  • All partners are entitled for salary and interest on capital @ 6%
  • No partner is entitled for salary or interest on capital
 Amount realization from the sale of private estate of partners is used first to pay off ___________________.
  • Debts of the firm
  • Private debts of the partner
  • Wife's loan
  • Bank loan of the firm
' Taxes owned but payable in the following period' should be classified as __________________.
  • Accrued assets
  • Accrued liability
  • Prepaid expense
  • Unrearned revenue
Life insurance premium received by an insurance company' should be classified as _______________.
  • Accrued Asset
  • Accrued Liability
  • Prepaid Expense
  • Unearned Revenue
The debts written off as bad, if subsequently recovered are credited to __________________.
  • Debtors
  • Sales account
  • Profit and loss account
  • Bad debts account
Outstanding and prepaid expenses and incomes are taken into account in determining profit or loss under _________________.
  • Cash system of accounting.
  • Mercantile system of accounting.
  • Both (A) and (B).
  • None of the above.
'Interest earned but not received' should be classified as _____________.
  • Accrued asset
  • Accrued liability
  • Prepaid expense
  • Unearned revenue
Accounting entry for Manager's Commission (outstanding) on net profits will be made as _______________.
  • Outstanding Manager's Commission A/c To Commission A/c
  • Outstanding Manager's Commission A/c To Profit and Loss A/c
  • Profit and Loss A/c To Outstanding Manager's Commission A/c
  • None of the above
'A three years premium paid on a fire insurance policy' should be classified as _______________.
  • Accrued asset
  • Accrued liability
  • Unearned revenue
  • Prepaid expense
When item is shown on the debit side of a trial balance?
  • Purchase returns
  • Rent Outstanding
  • Prepaid Expenses
  • None
'Subscriptions collected in advance by a publisher' should be classified as _________________.
  • Accrued asset
  • Accrues liability
  • Unearned revenue
  • Prepaid expense
The works manager gets commission of 10% on the profit after charging such commission. If the profit is Rs.2,200 what is the amount of his commission ?
  • Rs.220
  • Rs.200
  • Rs.240
  • Rs.244.44
Net Profit of business before charging commission is Rs 110,000 and manager is entitled to get commission of net profit before charging commission 10% p.a. , the commission will be calculated as Rs. _________.
  • 11,000
  • 12,000
  • 13,000
  • 10,500
Opening capital Rs. 100000 and additional capital on 1st Oct was Rs. 20000
Interest on capital @ 10% on 31st march closing will be ?
  • 5,000
  • 8,000
  • 11,000
  • None of these.
Interest on capital is ______ for a business concern.
  • Expense
  • Income
  • Asset
  • Liability
When interest on capital is allowed _________ is credited.
  • Capital A/c
  • Profit and loss A/c
  • Cash A/c
  • None
Net Profit of business before charging commission is Rs 8,00,000 and manager are entitled to get a commission of net profit after charging commission 20 %, the commission will be calculated as Rs _________.
  • Rs 2,00,000
  • Rs 1,90,000
  • Rs 1,95,000
  • None of these.
Percentage commission to manager can be  calculate on net profit _______.
  • Before charging commission
  • After charging commission
  • Either on net profit before or after charging commission
  • None
The General Manager gets $$\dfrac{1}{4}$$ of the profit as commission after charging such commission of Works Manager, which is 10% of profits after charging such commission. If profit is Rs. 2,200, the commission of General manager is:
  • Rs.495
  • Rs.384
  • Rs.500
  • Rs.400
The manager of business is given ________ on Net Profit.
  • Commission
  • Interest
  • Discount
  • None
Interest on capital is calculated on _____________.
  • Opening capital
  • Additional Capital
  • Closing capital
  • Both A & B
Providing Interest on Capital _______ net profit.
  • Reduces
  • Increases
  • No effect
  • None
Depreciation are shown as a _________ to fixed asset.
  • Deduction
  • Appreciation
  • Addition
  • None
Bad debts are regarded as _________ for a firm.
  • Loss
  • Profit
  • Expense
  • Income
When bad debts are charged __________ account is credited.
  • Debtors
  • Creditors
  • Sales
  • Purchases
Calculate Depreciation @ 10% in the given question:
Opening furniture Rs. 10000 and additional furniture Purchased after 6 months Rs 5000
  • 1250
  • 1130
  • 1200
  • 1300
Commission to manager is __________ to Profit and loss Account.
  • Debited
  • Credited
  • Added
  • Deducted
0:0:1


Answered Not Answered Not Visited Correct : 0 Incorrect : 0

Practice Class 11 Commerce Accountancy Quiz Questions and Answers