A. Interest on borrowed funds

B. Depreciation

C. Loss on sale of fixed assets

D. Salaries of employees

A. Decrease in asset value due to its physical deterioration

B. The diminution in an asset's recoverable value

C. Gradual decrease in value of an asset that has been used over its useful life

D. A reduction in the useful life of an asset

A. To arrive at net income

B. To present the change in shareholders' equity

C. To reflect the inflows and outflows of cash during the reporting period

D. To ascertain whether an enterprise is profitable or not

A. Long-term capital gain

B. Interest income on savings account

C. Dividend from a subsidiary

D. Income from the sale of land

A. Lease for an amount of 99 years

B. Lease where the lessee owns the asset at the end of the lease period

C. A lease with a duration less than the life of the asset

D. A lease in which the present value of the lease payments equals to the fair value of the leased asset.

A. Revenue recognition

B. Accounting policies

C. Physical verification of assets

D. Auditing standards

A. Each type of transaction

B. Each accounting period

C. Each class of asset

D. Each source of revenue

A. Dividend income

B. Interest on loans

C. Sale of assets

D. Depreciation

A. Trade payables

B. Short-term borrowings

C. Long-term borrowings

D. Current portion of long term debt

A. Immediately after the Budget

B. At the beginning of the next financial year

C. 6 months after the Budget

D. As deemed fit by the CBDT (Central Board of Direct Taxes)

A. They do not distribute profits to members

B. They are mainly engaged in charitable, religious, or social activities

C. They generate income for their members

D. They keep a fund or reserve for future operations

A. It is an asset.

B. It decreases the total assets in the balance sheet.

C. It increases the total income.

D. It is stated in the liabilities section of the balance sheet.

A. 50

B. 100

C. 200

D. 1000

A. Asset accounts

B. Expense accounts

C. Revenue accounts

D. Dividend accounts

A. Current liabilities

B. Fixed assets

C. Shareholders' equity (as a reduction)

D. Contingent liabilities

A. 1

B. 2

C. 3

D. 7

A. A calendar year

B. A financial year from 1st April to 31st March

C. A financial year from 1st January to 31st December

D. Any 12-month period as determined by the business

A. Any person liable to pay tax or any other sum of money

B. Only individuals who earn income

C. Only companies

D. Only public sector units

A. Salary expenses

B. Rent expenses

C. Purchase of machinery

D. Office supplies

A. 1st January to 31st December

B. 1st April to 31st March

C. 1st June to 31st May

D. 1st October to 30th September

A. Unlimited

B. Limited to the extent of their capital contribution

C. Limited to the personal assets of the partners

D. Limited to the amount guaranteed by the LLP

A. It deals with the classification and measurement of financial assets

B. It prescribes the accounting treatment for lease transactions

C. It deals with the treatment of goodwill

D. It provides guidelines for preparing the statement of cash flows

A. 1st April 2017

B. 1st July 2017

C. 1st August 2017

D. 1st January 2018

A. It is done at the discretion of the company

B. It is done according to the provision of the Companies Act, 2013

C. It is optional for small companies

D. It is only concerned with the profitability of the company

A. Market value of an asset

B. The cost of an asset in the historical period

C. The net value of an asset after the depreciation

D. The amount paid for an asset

A. They are current assets.

B. They are current liabilities.

C. They are long-term assets.

D. They are income.

A. Future expense that is certain

B. Uncertain future expense

C. Liability due to uncertain future events

D. Current liability of routine expenses

A. 5%

B. 12%

C. 18%

D. 28%