1. Which of the following is not a qualitative characteristic of accounting information?

a) Reliability               b) Understand ability

c) Comparability         d) Materiality

2. Match the following:

A                                                                B

1 Debentures                                         A Fictitious assets

2 Trademark                                          B Current Liabilities

1 What are the two accounting systems to record financial transactions in the books of account?

2 A firm has received a large order to supply goods. Will it be recorded in the books of account of the firm? Give reason

3 What is ‘Accrual Basis of Accounting’? 

4 Which accounting principle requires that personal expenses of proprietor or partners should be debited to Drawings Account?

5 State three differences between Book Keeping and Accounting.