accounting basics questions and answers pdf Thursday, May 13, 2021 12:23:28 AM

Accounting Basics Questions And Answers Pdf

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Here is a list of full accounting questions and answers that can be found on this site, along with a brief description of each one.

Accounts are a balance sheet or a report of company which consists of financial transactions that the company has received or spent. It is a record that encapsulates business and financial transactions in order to verify, interpret, and give the results. Top companies are looking for M.

Full Accounting Questions and Answers

Definition of accounting: the art of recording, classifying and summarizing in a significant manner and in terms of money, transactions and events which are, in part at least of a financial character and interpreting the results there of.

Book keeping: It is mainly concerned with recording of financial data relating to the business operations in a significant and orderly manner. Concepts of accounting: A. Separate entity concept B. Going concern concept C.

Money measurement concept D. Cost concept E. Dual aspect concept F. Accounting period concept G. Periodic matching of costs and revenue concept H. Realization concept. Conservatism B.

Full disclosure C. Consistency D. Materiality 5. Systems of book keeping: A. Systems of accounting: A. Cash system accounting B. Mercantile system of accounting. Principles of accounting: A. Meaning of journal: Journal means chronological record of transactions. Meaning of ledger: Ledger is a set of accounts. It contains all accounts of the business enterprise whether real, nominal, personal. Posting: It means transferring the debit and credit items from the journal to their respective accounts in the ledger.

Trial balance: Trial balance is a statement containing the various ledger balances on a particular date. Credit note: The customer when returns the goods get credit for the value of the goods returned. Contra entry: Which accounting entry is recorded on both the debit and credit side of the cashbook is known as the contra entry. Petty cash book: Petty cash is maintained by business to record petty cash expenses of the business, such as postage, cartage, stationery, etc.

Promissory note: an instrument in writing containing an unconditional undertaking signed by the maker, to pay certain sum of money only to or to the order of a certain person or to the barer of the instrument.

Cheque: A bill of exchange drawn on a specified banker and payable on demand. Stale Cheque: A stale cheque means not valid of cheque that means more than six months the cheque is not valid.

Bank reconciliation statement: It is a statement reconciling the balance as shown by the bank passbook and the balance as shown by the Cash Book. Matching concept: Matching means requires proper matching of expense with the revenue. Capital income: The term capital income means an income which does not grow out of or pertain to the running of the business proper. Revenue income: The income, which arises out of and in the course of the regular business transactions of a concern.

Capital expenditure: It means an expenditure which has been incurred for the purpose of obtaining a long term advantage for the business. Revenue expenditure: An expenditure that incurred in the course of regular business transactions of a concern. Differed revenue expenditure: An expenditure, which is incurred during an accounting period but is applicable further periods also.

Eg: heavy advertisement. Bad debts: Bad debts denote the amount lost from debtors to whom the goods were sold on credit. Depreciation: Depreciation denotes gradually and permanent decrease in the value of asset due to wear and tear, technology changes, laps of time and accident. Fictitious assets: These are assets not represented by tangible possession or property.

Examples of preliminary expenses, discount on issue of shares, debit balance in the profit And loss account when shown on the assets side in the balance sheet. Intanglbe Assets: Intangible assets mean the assets which is not having the physical appearance.

And its have the real value, it shown on the assets side of the balance sheet. Accrued Income: Accrued income means income which has been earned by the business during the accounting year but which has not yet been due and, therefore, has not been received.

Outstanding Income: Outstanding Income means income which has become due during the accounting year but which has not so far been received by the firm. Suspense account: The suspense account is an account to which the difference in the trial balance has been put temporarily.

Depletion: It implies removal of an available but not replaceable source, Such as extracting coal from a coal mine. Amortization: The process of writing of intangible assets is term as amortization. Dilapidations: The term dilapidations to damage done to a building or other property during tenancy. Capital employed: The term capital employed means sum of total long term funds employed in the business.

Equity shares: Those shares which are not having pref. Leverage: It is a force applied at a particular work to get the desired result. Operating leverage: the operating leverage takes place when a changes in revenue greater changes in EBIT.

Financial leverage: it is nothing but a process of using debt capital to increase the rate of return on equity Joint venture: A joint venture is an association of two or more the persons who combined for the execution of a specific transaction and divide the profit or loss their of an agreed ratio. Factoring: It is an arrangement under which a firm called borrower receives advances against its receivables, from financial institutions called factor Capital reserve: The reserve which transferred from the capital gains is called capital reserve.

General reserve: the reserve which is transferred from normal profits of the firm is called general reserve Free Cash: The cash not for any specific purpose free from any encumbrance like surplus cash. Minority Interest: Minority interest refers to the equity of the minority shareholders in a subsidiary company. Capital receipts: Capital receipts may be defined as non-recurring receipts from the owner of the business or lender of the money crating a liability to either of them.

Revenue receipts: Revenue receipts may defined as A recurring receipts against sale of goods in the normal course of business and which generally the result of the trading activities. Meaning of Company: A company is an association of many persons who contribute money or moneys worth to common stock and employs it for a common purpose.

The common stock so contributed is denoted in money and is the capital of the company. Types of a company: 1. Statutory companies 2. Government company 3. Foreign company 4. Registered companies: A. Companies limited by shares B. Companies limited by guarantee C.

Unlimited companies D. Private company: A private co. Of members Prohibits any Invitation to the public to subscribe for its shares or debentures. Public company: A company, the articles of association of which does not contain the requisite restrictions to make it a private limited company, is called a public company.

Equity share capital: The total sum of equity shares is called equity share capital. Authorized share capital: It is the maximum amount of the share capital, which a company can raise for the time being. Issued capital: It is that part of the authorized capital, which has been allotted to the public for subscriptions. Subscribed capital: it is the part of the issued capital, which has been allotted to the public Called up capital: It has been portion of the subscribed capital which has been called up by the company.

Paid up capital: It is the portion of the called up capital against which payment has been received. Debentures: Debenture is a certificate issued by a company under its seal acknowledging a debt due by it to its holder.

Cash profit: cash profit is the profit it is occurred from the cash sales. Deemed public Ltd. Having minimum share capital 5 lakhs 2. Accepting investments from the public 3. No restriction of the transferable of shares 4. No restriction of no. Accepting deposits from the investors Secret reserves: Secret reserves are reserves the existence of which does not appear on the face of balance sheet.

In such a situation, net assets position of the business is stronger than that disclosed by the balance sheet. These reserves are created by: 1. Excessive depot an asset, excessive over-valuation of a liability. Complete elimination of an asset, or under valuation of an asset. Provision: provision usually means any amount written off or retained by way of providing depreciation, renewals or diminutions in the value of assets or retained by way of providing for any known liability of which the amount cannot be determined with substantial accuracy.

Reserve: The provision in excess of the amount considered necessary for the purpose it was originally made is also considered as reserve Provision is charge against profits while reserves is an appropriation of profits Creation of reserve increase proprietors fund while creation of provisions decreases his funds in the business.

300+ TOP ACCOUNTING Interview Questions and Answers

These interview questions will help candidates to clear their job interview efficiently. It is introduced to gather text from the company from where the employee profits are generated. It is shown on the assets part, right after the current head asset. It is the software utilized for accounting in small shops and business for running routine accounting transactions. Departmental accounting is a kind of accounting in which a divided account is created for departments. It is managed and shown separately in the balance sheet. Inactive accounts are the accounts that have been closed and will not be used further, whereas dormant accounts are those that are not efficient today but may be used in the future.

Definition of accounting: the art of recording, classifying and summarizing in a significant manner and in terms of money, transactions and events which are, in part at least of a financial character and interpreting the results there of. Book keeping: It is mainly concerned with recording of financial data relating to the business operations in a significant and orderly manner. Concepts of accounting: A. Separate entity concept B. Going concern concept C. Money measurement concept D.


PDF compassionhamilton.orging are frequently asked questions in job interviews for freshers as well as experienced accountants. 1) Why did you 30) What is the basic difference between accounting and auditing? Accounting is all.


Accounts Interview Questions & Answers

Download PDF Here are accounting interview questions for fresher as well as experienced candidates to get their dream job. Accounting is chosen as a profession because: Become a part of an extensive network of professionals. Accept or experience a challenging role. Explore new opportunities.

Accounting can be defined as the production of financial information. It means that accounting allows us to see things like how much money you are earning, how much you are worth, how much money you spend and where you can improve to make even more money! Did you use accounting applications at your previous companies or prefer working manually?

Accounts Related Tutorials

 Директор, Стратмору не удается отключить ТРАНСТЕКСТ. - Что?! - хором вскричали Бринкерхофф и Фонтейн. - Он пытался, сэр! - Мидж помахала листком бумаги.  - Уже четыре раза. ТРАНСТЕКСТ заклинило. Фонтейн повернулся к окну.

 - Стратмора, похоже, удивило ее недоумение.  - Мне пришлось его проинструктировать. - Проинструктировать.

 - Кто-нибудь может мне объяснить, что это. ВАС МОЖЕТ СПАСТИ ТОЛЬКО ПРАВДА ВВЕДИТЕ КЛЮЧ______ Джабба не дождался ответа. - Похоже, кто-то очень нами недоволен, директор. Это шантаж.

Ей вспомнились мечты коммандера: черный ход в Цифровую крепость и величайший переворот в разведке, который он должен был вызвать. Она подумала о вирусе в главном банке данных, о его распавшемся браке, вспомнила этот странный кивок головы, которым он ее проводил, и, покачнувшись, ухватилась за перила. Коммандер.

Интересно, что они еще придумают. Телефон на столе громко зазвонил. Сеньор Ролдан поднял трубку с обычной для него самоуверенностью.

Junior Accountant interview questions

2 Comments

Natalie G. 14.05.2021 at 07:25

Cell by stephen king free pdf principles of managerial finance brief 8th edition pdf

Khalil P. 21.05.2021 at 08:52

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