CBSE Class 11 (Commerce) Introduction to Accounting — practice questions
68 free MCQs with worked solutions. Tap any question for the answer + explanation, or practice them all in the app.
Practice CBSE Class 11 (Commerce) Introduction to Accounting in the app →Accounting is popularly called the what of business?Which step of the accounting process comes first?Which is the last step of accounting as a process of information?Accounting records business events using which kind of unit?Identified and measured events are recorded in which order?The appointment of a new managing director is not entered in the books because it isPayment of monthly rent to a landlord is which type of economic event?Supply of raw material by the stores department to the manufacturing department isWhich of these is an internal user of accounting information?A bank deciding whether to grant a loan is mainly interested in the firm'sOwners study financial reports mainly to learn whether they getCreditors look particularly at liquidity, which is the firm's ability toWhich user group would be most interested in a firm's VAT and other tax liabilities?Customers want accounting information mainly about the firm'sWhich group needs information on the stability and profitability of a firm for pay awards?Competitors use a rival's accounts mainly forWhich branch of accounting ascertains the cost of products and helps fix their prices?Sales forecasts and manpower needs are provided by which branch of accounting?Which is a newer area of accounting that has gained prominence?Information that users can depend on, free from error and bias, is calledWhich feature helps users predict outcomes and confirm earlier evaluations?A clearly presented report that users can interpret as intended showsA common unit of measurement and a common format of reporting promoteWhich of these is part of reliability of information?The primary objectives of accounting include maintaining a systematic record ofA firm earned revenue of Rs 6,00,000 and incurred expenses of Rs 5,40,000. What is the result?If total expenses of a period exceed total revenue, the difference is aThe balance sheet shows the business'sResources owned by a business and claims against them are called respectivelyWhich limitation of accounting information is true?Viewing accounting as a chronological record of transactions at actual amounts treats it as aWhich of these is NOT a business transaction of a shop?Who is regarded as the author of the first book on double entry book-keeping?In which year was Pacioli's Summa de Arithmetica published in Venice?Which ancient Indian text is linked to early accounting records?The seeds of accounting were first sown, on clay tablets, in which regions?The term credit comes from the Latin credo, which meansA reality with a definite individual existence, such as ITC Limited, is a businessAn event involving some value between two or more entities is aEconomic resources of an enterprise expressible in money are calledObligations or debts an enterprise must pay in the future areA three-year loan from a bank is shown in the balance sheet as aCurrent assets and liabilities are normally realised or settled withinThe amount invested by the owner in the firm is known asCapital is shown in the balance sheet on which side?Total revenues from goods or services sold to customers are calledAnother name for revenue isWhich of these is an item of revenue for a business?Costs incurred in the process of earning revenue are calledIf the benefit of an expenditure lasts for more than a year, it is treated asAn expenditure whose benefit is exhausted within a year is also calledThe excess of revenues over related expenses in an accounting year isWinning a court case or appreciation of an asset's value is an example ofA machine costing Rs 40,000 is sold for Rs 45,000. What is the gain?Goods lost by theft or a fire accident are treated asA deduction of an agreed percentage of list price when selling goods isA deduction allowed to debtors for prompt payment is calledDocumentary evidence in support of a transaction is aA buyer purchasing goods on credit receives which voucher?Chairs and tables are goods for a furniture dealer but for others they areWithdrawal of cash or goods by the owner for personal use isTotal goods procured for use or sale, on cash and credit, are calledUnsold goods lying with a trader at the end of the period are calledClosing stock of a manufacturing company comprises raw materials, finished goods andPersons who owe the firm money for goods bought on credit areSundry creditors are shown in the balance sheet on theMr. Sunrise starts with Rs 5,00,000, buys stationery worth Rs 1,50,000 from Mr. Peace on credit. Who is the crA trader sells stationery worth Rs 1,00,000 on credit to Mr. Ravi. Mr. Ravi is a