Final accounts are prepared from:
Balance sheet
Income and expenditure account
Real account
Trial balance
Estimated loss in the fixed asset over a period of time is:
Loss of fixed asset
Depreciation
Appreciation
Diminishing
The result of wear and tear is due to:
Passage of time
Physical deterioration
Loss
Gains
How is depreciation shown in the profit and loss account?
As income
As loss
As expense
As profit
Depreciation does not involve out flow of money because:
It is a non-monetary expense.
It is an income.
It is a capital expenditure.
It is prudence.
In balance sheet, fixed assets are recorded at a figure less than the cost price. This is known as:
Written down value
Cost price
Income price
If the accounting records continue to show the asset in cost price, this is:
Correct as per accounting standards
Easy to compute
Misleading the accounting information
Help to calculate in exact manner
How many methods are there for recording the depreciation in ledger?
1
2
3
4
Depreciation is an:
Income
Expenditure
Non-monetary expenses
Monetary expenses
In the case of capital expenditure , the expense will be treated as:
An profit
An income
Not an expenses
