Accounting equation signifies 

(a)

Capital of a business is equal to assets

(b)

Liabilities of a business are equal to assets

(c)

Capital of a business is equal to liabilities

(d)

Assets of a business always equal to the total of capital and liabilities

'Cash withdrawn by the proprietor from the business for his personal use' causes

(a)

Decrease in assets and decrease in owner's capital

(b)

Increase in one asset and decrease in another asset

(c)

Increase in one asset and increase in liabilities

(d)

Increase in asset and decrease in capital

Real account deals with  

(a)

Individual persons

(b)

Expenses and losses

(c)

Assets

(d)

Incomes and gains

Which one of the following is representative personal account?

(a)

Building A/c

(b)

Outstanding salary A/c

(c)

Mahesh A/c

(d)

Balan & Co

With drawal of cash from business by the proprietor should be credited to 

(a)

Drawings A/c

(b)

Cash A/c

(c)

Capital A/c

(d)

Purchases A/c

________ starts with identifying business transactions involving money or money's worth.

(a)

Accounting process

(b)

Accounting equation

(c)

Book keeping

(d)

Double entry system

____________ are recorded as and when they take place with the written and authentic proof.

(a)

Accounting equations

(b)

Transactions

(c)

Accountants

(d)

Book keeping

______ is used for credit purchases and credit sales.

(a)

Cash Receipt

(b)

Debit Note

(c)

Invoice

(d)

Credit Note

________ is prepared in three copies.

(a)

Debit Note

(b)

Credit Note

(c)

Receipts

(d)

Invoice

_______ is prepared in duplicate and the original is sent to the seller.

(a)

Debit Note

(b)

Credit Note

(c)

Pay-in-slip

(d)

None of these

Nominal account is classified under__________.

(a)

Personal A/c

(b)

Impersonal A/c

(c)

Neither of the two

Drawings account is classified under __________.

(a)

Real A/c

(b)

Personal A/c

(c)

Nominal A/c

Which of the following is correct accounting equation?

(a)

A=C-L

(b)

A=L-C

(c)

A=C+L

Which of the following is correct?

(a)

L=A+C

(b)

L=A-C

(c)

L=C-A

Which of the following is correct?

(a)

C=A-L

(b)

C=A+L

(c)

C=L-A

Revenue account

(1)

Paid creditors

Increase in capital

(2)

Commence business

Decrease in liability

(3)

Purchase of goods

Expenses account

(4)

Owner

Capital account

(5)

Rent received