Book Keeping & Accountancy Exam Questions
5 Questions
1 Views

Choose a study mode

Play Quiz
Study Flashcards
Spaced Repetition
Chat to lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

Which statement correctly describes the Composition of Financial Statements?

  • Financial statements exclusively consist of the Income and Expenditure Account.
  • Financial statements are composed of the Balance Sheet, Income Statement, and Cash Flow Statement. (correct)
  • Financial statements include only the Balance Sheet.
  • Financial statements include the Income Statement and Cash Flow Statement.

    • Who is identified as the endorsee in a bill of exchange?

  • The person to whom the bill is addressed.
  • The individual in whose favor the bill is endorsed. (correct)
  • The person who writes the bill.
  • The individual who accepts the bill.

    • What entitlement does a retiring partner have regarding the General Reserve and Accumulated profit?

  • They are entitled to share in the General Reserve and Accumulated profit.
  • They have no entitlement to either the General Reserve or Accumulated profit. (correct)
  • They are fully entitled to the entire General Reserve.
  • They are entitled to a partial share of the General Reserve.

    • Which type of account does the Income and Expenditure Account represent?

    <p>Nominal Account</p> Signup and view all the answers

    What is the term used for the proportion in which the continuing partners receive the share of a retiring partner?

    <p>Gain Ratio</p> Signup and view all the answers

    Study Notes

    Book Keeping & Accountancy Exam Questions

    • Question 1 (A): Agree or disagree with statements about financial statements.
      • Statement 1: Financial statements only include balance sheets. (Disagree)
      • Statement 2: The person a bill is endorsed to is called the endorsee. (Agree)
      • Statement 3: Retiring partners aren't entitled to general reserve/accumulated profits. (Agree)
      • Statement 4: Income and expenditure accounts are real accounts. (Agree)
      • Statement 5: A partnership firm is a trading concern. (Agree)

    Question 1 (B): Multiple Choice

    • Statement 1: The proportion in which continuing partners receive a retiring partner's share is called the _______.
      • (c) Gain Ratio

    Studying That Suits You

    Use AI to generate personalized quizzes and flashcards to suit your learning preferences.

    Quiz Team

    Description

    Test your knowledge on key concepts in Book Keeping and Accountancy with these exam questions. The quiz includes true or false statements and multiple-choice questions to assess your understanding of financial statements and partnerships.

    More Like This

    Use Quizgecko on...
    Browser
    Open
    Browser
    Browser