Accounting MCQs with Answers

In Modaraba?

1. Two persons invest money
2. Both persons invest money and labour
3. One person invests money and the other invests labour and experiance
4. All of these

Per Capita income is calculated as?

1. N.I/ Population
2. N.I + Population
3. N.I + Population
4. None of these

The main function of World Trade Organization (WTO) is to ensure that trade flows?

1. Predictably
2. Freely
3. Smoothly
4. All of these
5. None of these

Deflation refers to what?

1. A decrease in the overall price level
2. A decrease in the overall level of economic activity
3. An increase in the overall price level
4. an increase in the overall level of economic activity

The expected disposal value of the asset (after deduction disposal costs) at the end of its expected useful life is called?

1. Net book value
2. Residual value
3. Depreciation
4. Substance over form

What standards are used to prepare financial statements by most of the countries and companies?

1. International Financial Reporting Standards
2. International Accounting & Auditing Standards
3. International Financial Accounting Standards
4. All of these

Custom duties are form of ______

1. Direct Taxation
2. Indirect Taxation
3. Non-Tax Revenue
4. Govt deposits

IFAC is an abbreviation of?

1. International Federation of Accountants
2. International Federation of Account
3. International Founder of Accountants
4. None

Entities are required to comply with the following standards to operative their financial statements?

1. IAS
2. ISA
3. IFRS
4. All of these
5. None of these

What is the main purpose of Financial Accounting?

1. Provide useful information to outsiders
2. Organizing financial information
3. Keep track of company's expenses
4. Keep information to maximize company profits
5. All of these