CBSE Class 11 Accountancy Accounts from Incomplete Records MCQs Set 03

Question: Accounts are usually held using a single entry scheme by ______.
a) Society
b) Company
c) Sole trader
d) Government
Answer: c

Question: Sales are calculated by adding:
a) Cash sales and cash received from debtors
b) Credit sales and cash received from debtors
c) Cash sales and credit sales
d) None of the options
Answer: c

Question: Which of the following is deducted from closing capital to find out profit under single entry system?
a) Additional Capital
b) Drawings
c) Both of the options
d) None of the options
Answer: a

Question: The system of accounting which is not based on dual aspect of accounting is:
a) Double Entry system
b) Single entry system
c) No entry system
d) None of the options
Answer: b

Question: The amount of credit sales can be computed from:
a) Total debtors account
b) Total creditors account
c) Bills receivable account
d) Bills payable account
Answer: a

Question: If closing capital is Rs.50,000, additional capital Rs.30,000, drawings Rs.20,000, and profit Rs.30,000, then opening capital was:
a) Rs.10,000
b) Rs.30,000
c) Rs.20,000
d) Rs.35,000
Answer: a

Question: Generally accounts under single entry system are maintained by:
a) Sole Trader
b) Company
c) Society
d) Government
Answer: a

Question: Assets and Liabilities amount to Rs. 80,000 and Rs. 58,000 respectively, then the difference amount will represent:
a) Capital
b) Creditors
c) Profit
d) Loss
Answer: a

Question: Which one of the following systems is applicable for income tax purposes:
a) Single entry system
b) Double entry system
c) Both of the options
d) None of the options
Answer: b

Question: A system of accounting which is not based on double entry system is called-
a) Cash system
b) Mahajani system of accounting
c) Incomplete accounting system
d) None of the options
Answer: c

Question: If opening capital is Rs. 60,000, drawings Rs. 5,000, additional capital Rs. 10,000, closing capital Rs. 90,000, the profit is:
a) Rs. 20,000
b) Rs. 25,000
c) Rs. 30,000
d) Rs. 40,000
Answer: b

Question: From incomplete records, it is possible to prepare:
a) Ledger Accounts
b) Trial Balance
c) Statement of Affairs
d) None of the options
Answer: c

Question: Liabilities and assets amount to Rs. 50,000 and Rs. 78,000 respectively. The difference amount will represent-
a) Creditors
b) Debentures
c) Profit
d) Capital
Answer: d

Question: The formula for calculating profit is: Capital at end + ______ - Capital introduced - Capital in beginning.
a) Sales
b) Drawings
c) Net Purchases
d) None of the options
Answer: b

Question: If gross profit rate is 25% of sales and cost of goods sold is Rs.1,00,000, gross profit equals:
a) Rs.25,000
b) Rs.33,333
c) Rs.20,000
d) None of the options
Answer: b

Question: Accounts maintained under single entry system are:
a) Personal accounts
b) Impersonal accounts
c) Both Personal accounts and Impersonal accounts
d) None of the options
Answer: a

Question: When closing capital falls short of opening capital, it means:
a) Profit
b) Loss, if there is no drawing
c) Loss
d) None of the options
Answer: b

Question: Generally, which of the following accounts is maintained under single entry system:
a) Expenses Account
b) Cash Account
c) Furniture Account
d) Income Account
Answer: b

Question: Under single entry system, capitals can be calculated by preparing:
a) Balance Sheet
b) Statement of Affair
c) Income and Expenditure Account
d) Cash Account
Answer: b

Question: If we want to calculate opening capital, what should be added in closing Capital?
a) Loss
b) Profit
c) Profit and drawing
d) Loss and drawing
Answer: d 

Question: Further capital introduced during the year is ____________ from closing capital in order to find out the correct profit.
a) Added
b) Deducted
c) Divided
d) Ignored
Answer: b

Question: Credit purchase during the year is ascertained by preparing:
a) Total creditor's account
b) Total debtor's account
c) Cash account
d) Opening statement of affairs
Answer: a

Question: If capital at year-end is Rs.40,000, additional capital Rs.30,000, drawings Rs.20,000, and loss Rs.60,000, then opening capital was:
a) Rs.90,000
b) Rs.80,000
c) Rs.70,000
d) Rs.10,000
Answer: a

Question: Bills Payable honoured during the year will be debited to:
a) Cash Account
b) Bills Payable Account
c) Creditors Account
d) None of the options
Answer: b

Question: If books are kept under single entry system, credit purchases are ascertained by preparing:
a) Total Creditors Account
b) Total Debtors Account
c) Credit Purchases Account
d) Bills Payable Account
Answer: a

Question: A system of accounting that is not based on a double-entry system is called:
a) Cash system
b) Mahajani system of accounting
c) Incomplete accounting system
d) None of the options
Answer: c

Question: Given opening/closing balances of debtors and credit sales, the balancing figure gives:
a) Bills received during the year
b) Cash received from debtors
c) Closing balance of bill receivable
d) None of the options
Answer: b

Question: If opening capital is ₹60,000, drawings ₹5,000, capital introduced during the period ₹10,000, closing capital ₹90,000. The value of profit earned during the period will be:
a) ₹20,000
b) ₹25,000
c) ₹30,000
d) ₹40,000
Answer: b

Question: If closing capital is less than opening capital, it shows:
a) Loss
b) Profit
c) No profit no loss
d) Loss, if there is no fresh capital
Answer: d

Question: Bills Receivable endorsed dishonoured are debited to:
a) Debtors Account
b) Bills Receivable Account
c) Creditors Account
d) Bank Account
Answer: a

Question: Generally, incomplete records are maintained by:
a) Trader
b) Society
c) Company
d) Government
Answer: a

Question: In the absence of drawings, when closing capital is less than opening capital, it indicates:
a) Profit
b) Loss
c) No profit, no Loss
d) None of the options
Answer: b

Question: Opening capital is ascertained by preparing:
a) Total debtor's account
b) Total creditor's account
c) Cash account
d) Opening statement of affairs
Answer: d

Question: A single-entry bookkeeping scheme is:
a) Simple
b) Unauthorized by tax authorities
c) Unscientific
d) all of the options
Answer: d

Question: What are the common objectives between the double entry system and single entry system?
a) To determine profit/loss during the year
b) To know the financial position of the business
c) Both To determine profit/loss during the year and To know the financial position of the business
d) None of the options
Answer: c

Question: If books are kept under single entry system, credit sales are ascertained by preparing:
a) Total Creditors Account
b) Total Debtors Account
c) Credit Sales Account
d) Trading Account
Answer: b

Question: If books are kept under single entry system, opening stock is ascertained by preparing:
a) Opening Stock Account
b) Stock Register
c) Memorandum Trading Account
d) Opening Statement of Affairs
Answer: c

Question: Incomplete record mechanism of book keeping is:
a) Scientific
b) Unscientific
c) Unsystematic
d) Both Unscientific and Unsystematic
Answer: b

Question: A single-entry bookkeeping scheme is:
a) Simple
b) Unauthorized by tax authorities
c) Unscientific
d) all of the options
Answer: d

Question: Which among the following transactions will be ignored under single entry system?
a) Depreciation on fixed asset
b) Cash paid to acquire a fixed asset
c) Interest paid on loan
d) None of the options
Answer: d