Corporate Accounting MCQ
Given below are Corporate Accounting MCQ with answers. These multiple choice questions are useful for BBA, B Com, MBA, MMS, M Com, BA, MA, and PGDM students. These corporate accounting mcq questions can also be used for UGC NET, SET, Ph D, UPSC, and MPSC competitive entrance exams.
Corporate Accounting MCQ
61) Cost of inventories includes
A. Direct Material + Direct Expenses
B. Direct Labour + Direct Expenses
C. All costs of purchase, cost of conversion and other costs incurred in bringing the inventories to their present location and condition
D. Direct material only
Option: C
62) Closing stock is valued at
A. Cost
B. Market value
C. Cost or market price whichever is lower
D. None of the above
Option: C
63) Salary due to clerk is preferential for a period not exceeding
A. 2 Month
B. 3 Month
C. 4 Month
D. 5 Month
Option: C
64) The fundamental accounting equation’ Assets = Liabilities + Capital’ is the formal expression of
A. Dual aspect concept
B. Matching concept
C. Going concern concept
D. Money measurement concept
Option: A
65) Maximum __________ can be treated as preferential salary and wages
A. 20,000
B. 25,000
C. 30,000
D. 10,000
Option: A
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66) Which of the following statements is true in relation to liabilities?
A. Claims against the resources.
B. Currently existing obligations which the firm intends to meet at some time in the future.
C. It must be capable of being expressed in money terms.
D. All of the above
Option: D
67) All capital expenditures and receipts are taken to
A. Trading and Profit and Loss Account
B. Balance sheet
C. Trial balance
D. None of the above
Option: B
68) Which one of the following branches of accounting primarily deals with processing and presenting of accounting data for internal use?
A. Financial accounting
B. Tax accounting
C. Management accounting
D. Inflation accounting
Option: C
69) Amount spent on an advertisement campaign, the benefit of which is likely to last for three years is a
A. Capital expenditure
B. Revenue expenditure
C. Deferred revenue expenditure
D. None of the above
Option: C
70) As per AS – 14 purchase consideration is what is payable to
A. Shareholders
B. Creditors
C. Debentureholders
D. Shareholders and Debentureholders
Option: A
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