A:-Debited to P and L account only
B:-Deducted from the asset concerned in the Balance Sheet
C:-Both A) and B)
D:-None of these
Correct Answer:- Option-A
Question29:-Heavy advertisement expenses incurred to launch a new product is treated as
A:-Capital expenditure
B:-Revenue expenditure
C:-Deferred revenue expenditure
D:-Alll of these
Correct Answer:- Option-C
Question30:-Which of the following statements is a false one ?
A:-Single entry method is an incomplete record of transactions
B:-A trial balance cannot be prepared under single entry system
C:-Books maintained under single entry are not reliable with that of double entry system
D:-All accounts are maintained under single entry system
Correct Answer:- Option-D
Question31:-A B C share profits and losses in the ratio of (1)/(2)` , ` (1)/(3) and *(1)6)° respectively. D, a new partner is
admitted with *(1)/(8)° share. Then, what will be new profit sharing ratio ?
:-` (7)/(16) , ` (7)/(24). , ` (7)/(48), ` (1)/8).
(7)/(24) , ` (7)/(48). , ` (7)/(24). , ` (1)/(8)
(2)/8)` , ` (7)/(16). , 124), 0/8:
ഉ:- (2)/(8), ` (7)/(48) , ` (7)/(24), ` (1/8).
Correct Answer:- Option-A
Question32:-At the time of admission of a new partner, when goodwill is raised at full value in which ration the same is
credited to capital accounts of partners ?
A:-Sacrificing ratio
B:-Old profit sharing ratio
C:-New profit sharing ratio
D:-None of these
Correct Answer:- Option-B
Question33:-When an existing company takes over the business of one or more existing companies, it is the case of
A:-Amalgamation
B:-Internal reconstruction
C:-Extemal reconstruction
D:-Absorption
Correct Answer:- Option-D
Question34:-A company may utilise the premium received on issue of shares/debentures for
A:-Payment of dividends
B:-Writing off discount on issue of debentures
C:-Writing off any capital loss
D:-Writing off any revenue loss
Correct Answer:- Option-B
Question35:-The aggregate of the cost of indirect material, indirect labour and indirect expenses is called
A:-Overheads
B:-Cost
C:-Prime cost
D:-Works cost
Correct Answer:- Option-A
Question36:-Among the following, which one is not an expense excluded from cost accounts ?
A:-Capital losses
B:-Income tax
C:-Dividend
D:-Distribution expenses
Correct Answer:- Option-D
Question37:-The time lag between indenting and receiving of materials is know as
A:-Re order level
B:-Danger level
C:-Lead time