A. Sundry Debtors
B. Stock
C. Prepaid insurance
D. All of A. B. and C. above
Which of the following should not be treated as revenue expenditure?
A. Interest on loans and debentures
B. Annual fire insurance premiums on Plant and Equipment
C. Sales tax paid in connection with the purchase of office equipment
D. Small expenditures on long- lived assets, such as ` 20 for a paper weight.
C. A revenue expenditure is an expenditure whose benefit expires within the current
accounting period and is in the nature of recurring and is therefore written off to P&L A/c. Sales tax
paid in connection with the purchase of office equipment is a non-recurring expenditure whose
benefit is going to last for more than one accounting period and hence not a revenue
expenditure
BUSINESS paid rent amounting to $100″ which of the following specialized journals records this transaction?
A. Cash receipts journal
B. Cash payments journal
C. Sales journal
D. Purchase journal
A. Scrap value
B. Residual value
C. Market value
D. Depreciable value
What is the basic accounting equation?
A. Capital+Liabilities=Assets
B. Assets+ liabilities =Capital
C. Capital+assets=liabilities
D. Liabilities+Capital
Period cost include which of the following ?
A. selling Expense
B. Direct labor
C. factory overhead
D. selling Expenses & administrative expenses
Recent developments have made much of a company‘s inventory obsolete. This obsolete inventory should be?
A. Written down to zero or its scrap value
B. Shown in the Balance Sheet at its replacement cost
C. Shown in the Balance Sheet at cost, but classified as a non-current asset
D. Carried in the accounting records at cost until it is sold