Money spent by a business on day to day activities comes under:
Capital expenditure
Revenue expenditure
Capital receipt
Revenue receipt
If a concern does not follow consistency principle, the result will be:
Unable to compare data
Profit will increase
Profit will decrease
Balance sheet will show losses
Sale of a fixed asset comes under:
Which concept says that business unit has indefinite life?
Accounting entity
Money measurement
Going concern
Accounting period
Who gave definition for material?
American Accounts Association
Accounting Standard Board
Institute of Chartered Accounts of India
European Union Accounts
The income arising in a normal trading activities is known as:
‘For every debit, there is corresponding credit’. On which concept is this statement based?
Business entity
Dual aspect
Which principle over rules all other principles?
Prudence
Matching
Cost
Consistency
According to business entity concept, when an owner introduces capital to the business that will be:
Capital account (dr)
Capital account (cr)
Drawing account (cr)
Drawing account (dr)
In business entity concept, everything is recorded:
In view point of business
View point of owner
View point of customer
View point of both owner and business
