SimonMash.com | Kerala Plus One & Plus Two Study Notes, Question Papers, Answer Keys, Resources

📘 CHAPTER 9: FINANCIAL STATEMENTS - II (Adjustments & Final Accounts) 🔹 Multiple Choice Questions (1 Mark each) 1. Income Receivable is a) an asset   b) a liability   c) a profit   d) a loss (2018 Imp – 1 Mark) Answer: a) an asset (accrued income). 2. If the salary paid during an year is Rs.5,000 and outstanding salary at the end of the year is Rs.2,000, then, the amount of salary to be debited to profit and loss account is: a) 3,000   b) 5,000   c) 2,000   d) 7,000 (2020 Mar – 1 Mark) Answer: d) 7,000 (Salary for the year = paid + outstanding = 5,000 + 2,000). 3. Outstanding salary at the end of an accounting period is a) An asset   b) A liability   c) An expense   d) a revenue (2020 Imp – 1 Mark) Answer: b) A liability . 4. Prepaid insurance is a/an a)...

📘 CHAPTER 8: FINANCIAL STATEMENTS - I (All previous years' questions – with answers) 🔹 Multiple Choice Questions (1 Mark each) 1. While marshalling the balance sheet in the order of liquidity assets comes last is? a) Debtors   b) Cash   c) Furniture   d) Bank (2019 Imp – 1 Mark) Answer: c) Furniture (least liquid among given). 2. ______ is an example of direct expense. a) Salary   b) Wages   c) Rent   d) Office expense (2020 Mar – 1 Mark) Answer: b) Wages (direct expense related to production). 3. In the Balance sheet of a sole proprietorship concern the assets and liabilities are usually arranged in a) Permanence order   b) Liquidity order   c) Trial balance order   d) Convenience order (2020 Imp – 1 Mark) Answer: a) Permanence order (or reverse, but traditionally in India, assets ...

📘 CHAPTER 7: DEPRECIATION, PROVISIONS AND RESERVES (All previous years' questions – with answers) 🔹 Multiple Choice Questions (1 Mark each) 1. Reserve is not shown in the Balance Sheet. a) Secret   b) General   c) Revenue   d) Capital (2018 Mar – 1 Mark) Answer: a) Secret reserve (not disclosed in balance sheet). 2. Which term refers to writing off the cost of intangible assets like Patents, Copyright, Trade Marks etc.? a) Amortisation   b) Depletion   c) Obsolescence   d) None of these (2019 Mar – 1 Mark) Answer: a) Amortisation . 3. Writing off the cost of intangible assets like patent, copy right etc. is known as (a) Depreciation (b) Depletion (c) Amortization (d) Obsolescence (2020 Mar – 1 Mark) Answer: c) Amortization . 4. The term 'amortisation' is related with the decreas...

📘 CHAPTER 6: TRIAL BALANCE AND RECTIFICATION OF ERRORS (All previous years' questions – with answers) 🔹 Multiple Choice Questions (1 Mark each) 1. Rent paid Rs. 4,500 was entered in cash book as Rs. 400. This is an error of a) Principle   b) Omission   c) Compensating error   d) Commission (2018 Mar – 1 Mark) Answer: d) Commission (wrong amount, error of commission). 2. The statement prepared to test the arithmetical accuracy of the books of accounts. a) Balance Sheet   b) Trial Balance   c) P/L Account   d) Journal (2019 Mar – 1 Mark) Answer: b) Trial Balance . 3. A Trial balance is prepared to (a) Ascertain the arithmetical accuracy of Ledger Accounts (b) Locating Errors (c) Help in the preparation of Final Accounts (d) All of the above (2021 Mar – 1 Mark) Answer: d) All of the above . ...