Most Important & Most Repeated MCQs

• A: Banking Companies
• B: Public Companies
• C: Tax Companies
• D: None of these
• Correct Answer: a

• A: Purposively selected items for audit
• B: Randomly selected items for audit
• C: Items carefully selected for audit
• D: Group audit
• Correct Answer: b

• A: Cement Industry
• B: Job Order Cost Oriented Projects
• C: Both A & B
• D: None of these
• Correct Answer: c

• A: Fixed Assets
• B: Fixed Liabilities
• C: Part of Owners Equity
• D: None of these
• Correct Answer: d
• Short Details:

  Difference of Asset life period and Tax duration is called Deferred Depreciation.

• A: Current Assets
• B: Fixed Assets
• C: Outward Charges
• D: None of the Above
• Correct Answer: b

• A: Earning Revenue
• B: Outward Charges
• C: Conversion into cash
• D: None of these
• Correct Answer: a

• A: Control Inflation
• B: Allocation saving efficiently
• C: Increase the price of common stock
• D: Lower the yield on bonds
• Correct Answer: b

Goods Sold for Cash:                                                           Cash  Sale
Good bought on Credit from T Carter:                           Purchase  T Carter
Goods returned by us to C berry :                                  C berry   Outward
Van bought for cash                                                        Purchase   Cash

• A: 2 & 4 Only
• B: 3 Only
• C: 1 & 3 Only
• D: 4 Only
• Correct Answer: b

• A: The employers contribution each period is based on formula.
• B: The accounting for a defined contribution plan is straight forward and uncomplicated.
• C: Requires pension expenses to be determined solely on the basis of the plan formula applied to years of service to date and based on existing salary level
• D: Changes in Employment Rules
• Correct Answer: c

• A: Accumulated benefit obligation
• B: Projected benefit obligation
• C: Vested benefit obligation
• D: None of these
• Correct Answer: b