Closing stock is an item of ______.

(a)

Fixed asset

(b)

Current asset

(c)

Fictitious asset

(d)

Intangible asset

Drawings appearing in the trial balance is _______.

(a)

Added to the purchases

(b)

Subtracted from the purchases

(c)

Added to the capital

(d)

Subtracted from the capital

Current assets does not include _______.

(a)

Cash

(b)

Stock

(c)

Furniture

(d)

Prepaid expenses

At the end of the accounting year the balance in purchases returns account is closed by transferring to __________ account.

(a)

Capital

(b)

Purchases

(c)

Sales

(d)

None of these

____________ account is prepared to find out the difference between the revenue from sales and cost of goods sold.

(a)

Trading

(b)

Profit and Loss

(c)

Balance

(d)

Statement of affairs

Trading account is a __________ account.

(a)

Personal

(b)

Real

(c)

Nominal

(d)

None of these

___________ is the amount paid to the owner of a mine or a patent for using owner's right.

(a)

Octroi

(b)

Dock charges

(c)

Royalty

(d)

Wages

Net profit or Net loss is transferred to the _____________ account.

(a)

Trading

(b)

Profit and Loss

(c)

Capital

(d)

None of these

___________ is the arrangement of various assets and liabilities in a proper order.

(a)

Marshalling

(b)

Grouping

(c)

Recording

(d)

Packing

Opening stock is __________

(a)

debited in trading account

(b)

credited in trading account

(c)

Credit in profit and loss account

(d)

none of these