Accounting for Managers

431. If payment is made on the average due date it results in ______________

1. loss of interest to the creditor
2. loss of interest to the debtor
3. no loss of interest to either of them
4. loss of interest to both the creditor and debtor

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432. A sale of goods to vidhya for cash should be debited to ______________.

1. Vidhya account
2. Cash account
3. Sale of goods accoun
4. Purchases account

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433. Purchases for office furniture on account is recorded in ______________.

1. general journal
2. cash book
3. purchases book
4. sales book

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434. Payment of compensation to a worker who has been discharged from service is a ______________.

1. capital expenditure
2. revenue expenditure
3. deferred revenue expenditure
4. partly capital expenditure

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435. The following items are shown in profit and loss appropriation account ______________

1. Dividend declared
2. Discount on issue of shares
3. Non-operating expenses
4. Current assets

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436. Wages paid to workers must be debited to ______________ account

1. Wages
2. Machinery
3. Factory expenses
4. Offices expenses

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437. Receipts and payment account record receipt and payments of ______________.

1. revenue nature only
2. capital nature only
3. both revenue and capital nature
4. capital receipts

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438. In a receipts and payments account the payments are recorded on the ______________ side.

1. credit
2. debit
3. Upper
4. Lower

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439. Any revenue expense for when a separate fund is available will be ______________.

1. debited to the separate fund
2. debited to income and expenditure account
3. capital issued and shown in the balance sheet
4. credited to the separate fund

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440. Donations received by a non-profit organisation are usually a ______________.

1. revenue receipt
2. capital receipt
3. capital expenditure
4. revenue expenditur

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