Final accounts – Test 2

Final accounts include preparation of-

The manufacturing account is prepared-

_________ is the part of income statement, which is prepared to ascertain the profit/loss for a given accounting period.

Under statement of closing stock of work-in-progress in the period will-

In trading account, closing stock is shown at-

A manufacturing account is intended to disclose the-

_________ is the difference between the selling price and the cost price of the goods sold.

Opening stock+Purchases of raw material-Closing stock of Raw material=?

Which of the following equation is correct?

Direct materials+Direct wages+Direct expenses=?

If prepaid rent appears in trial balance, while preparing the final accounts it will be shown in

Which one is the following statement is TRUE?

Income earned which is yet to be a collected result in-

The correct sequence in preparation of periodical financial statement would be-

1. Preparation of balance sheet
2. Preparation of cash flow statement
3. Preparation of trial balance
4. preparation of Profit & Loss A/c

Which of the following equation is incorrect?

Out of the overheads given below, the following is an example of distribution overheads-

In trading account, closing stock is shown at cost price or net realizable price whichever is lower. This is due application is-

Unearned income is classified as-

Gross profit or gross loss revealed by trading account is transferred to-

Which of the following is true when a debtor pays his dues?

The _________ measures net profit/loss by matching revenue and expenses according to the accounting principles.

If outstanding wages appears in trial balance, while preparing the final accounts it will be shown in-

The owner of B&Co. paid in additional capital amounting to 50,000 in cash. As a result of this:-

The net profit or loss is transferred to-

Fixed assets are-