Accounts - Principles of Accounts Questions
Question 2016:
Which of the following terms describes the provision made for the loss in the value of an asset that has a legal life span?
- A Capitalization
- B Depreciation
- C Depletion
- D Amortization
Question 2017:
The amount set aside out of profit for a specific purpose is
- A Provision
- B Reserve
- C Depreciation
- D Depletion
Question 2018:
Which of the following is correct about cost of goods sold?
- A Opening stock + purchases - closing stock
- B Opening stock + sales + closing stock
- C Openig stock - purchases - closing stock
- D Opening stock + sales + closing stock
Question 2019:
Net debtors is
- A Debtors less provision for bad debts
- B Debtors plus provision for bad debts
- C Debtors less prepayments
- D Debtors plus prepaments
Question 2020:
The balance on the sales ledger control Account at the end if the accounting year represents total
- A Trade debtors at the end of the year
- B Cash sales for the year
- C Credit sales for the year
- D Amount transferred from the sales day book