Accounting MCQs with Answers

Which of following account is not an account that normally has a credit balance?

1. Expense
2. Liability
3. Revenue
4. Owner's capital

A___ is a formal financial statement that summarizes revenue and expense for a period:

1. Income statement
2. Capital statement
3. Balance sheet
4. Statement of cash

A cost that changes with the number of units produced, but that can never be a zero, is what kind of cost ?

1. Mixed cost
2. Period cost
3. Variable cost
4. Product cost

The normal balance of liability account is:

1. Credit balance
2. Debit balance
3. Cash balance
4. None of above

Credit purchases of plant and machinery is recorded in which following specialized Journals?

1. General journal
2. Cash journal
3. Purchase journal
4. Purchase return journal

The process by which companies credit value for customer and build strong customer relationship in order to capture value from customer in return is called ____.

1. Marketing
2. Management
3. HRM
4. Research

In June 2013 the circular debt in Pakistan was:

1. 406 billion
2. 206 billion
3. 505 billion
4. 606 billion

Tender is a ____

1. Estimation of profit
2. Estimation of cost
3. Estimation of units
4. estimation of selling price

Calculate the amount of cash if: Total assets=$10,000 Total liabilities=$10,000 Total Capital=$5000

1. $6000
2. $10,000
3. $5000
4. $1000

The most important economic feature in the economic measures pursued by Aladdin Khilji was:

1. Market control
2. Market
3. Both
4. None