Accounting

Mark-up on goods sent to branch offices are recorded in the books by creating?

A. stock adjustment account debiting branch stock account B. goods sent to branch account and debiting branch stock account C.…

5 years ago

A share is under-subscribed when?

A. it is offered for sale at less than the nominal value B. it is offered for sale at nominal…

5 years ago

Shares are sold at less than nominal value. They are issued at a?

A. profit B. loss C. discount D. premium E. par Correct Answer: Option C - discount

5 years ago

An excess of the value of the assets over the purchases consideration for acquisition of business is credited to?

A. general reserve B. capital reserve C. goodwill D. current asset E. share capital Correct Answer: Option B - capital…

5 years ago

Payment for future services are?

A. prepayment B. deposit C. accruals D. investment E. advances Correct Answer: Option E - advances

5 years ago

Which of the following is a credit item on an income and expenditure account?

A. bar expenses B. electricity C. salaries D. subscription E. rates Correct Answer: Option D - subscription

5 years ago

Which of the following is not contained in the sales ledger control account?

A. receipts from debtors B. returns inwards C. returns outwards D. dishonoured cheque E. discount allowed Correct Answer: Option C…

5 years ago

Return inwards was understated. The effect is that?

A. amount of goods available was understated B. cost of sales was understated C. amount of purchase returns was understated…

5 years ago

Which of the following is true of trade discounts?

A. they are recorded in the ledger only B. they are not different from cash discount C. they are recorded…

5 years ago

The books of accounts are opened by means of a?

A. sales journal B. principle journal C. purchases journal D. return inwards journal E. return outwards journal Correct Answer: Option…

5 years ago