Accounting MCQs / Q&A

Every business transaction affects at least ________ accounts? A. One B. Two(Correct) C. Three D. Infinite

Which is the most important characteristic that all assets of a business have? A. Long life of assets B. Value of assets C. Intangible nature of assets D. Future economic benefits (Correct)

Which of the following account with normal balance is shown at the credit side of a trial balance? A. Cash account B. Bank account C. Equipment account D. Accrued expenses account(Correct)

Debit side of Bank Pass book corresponds to___________? A. Credit side of Cash Book(Correct) B. Debit side of Cash Book C. Debit side of Trial Balance D. Credit side of Balance Sheet

Unpresented checks also referred as____________? A. Uncollected checks B. Uncredited checks C. Outstanding checks (Correct) D. Bounced checks An unpresented check is a check written by a company and entered in its records, but…

Which of the following entries is correct in respect of reserve for discounts on accounts payable? A. Debit P&L A/c and Credit Reserve for Discount on Accounts Payable A/c B. Debit Accounts Payable A/c and Credit P&L A/c C.…