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Expenditure, which result in acquisition of permanent assets, is a capital expenditure.

A. True

B. False

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  1. The account which can never have a credit balance is
  2. Trial Balance is prepared after the preparation of Profit and Loss Account.
  3. All events are transactions but all transactions are not events.
  4. An expenditure intended to benefit the current period is revenue expenditure.
  5. All credit sales are recorded in
  6. The life span of a company is dependent on the life span of the
  7. An expense incurred to keep the machine in working condition is a capital expenditure.
  8. Choose the odd one out
  9. Goodwill is not a fictitious asset.
  10. Accrual concept implies accounting on cash basis.
  11. Any type of error affects the agreement of Trial Balance.
  12. A part of the profit distributed to the shareholders is known as
  13. Cash payments are recorded on the _______________ of the Cash Book.
  14. Wages and Salaries is a charge against
  15. E. & O.E.
  16. Which of the following events is not a transaction?
  17. Cash is an example of
  18. If the totals of debit and credit columns of a Trial Balance are equal, it implies correctness of books…
  19. Capital of the business is an example of external liability.
  20. WDV stands for
  21. Which of the following equation(s) is(are) true
  22. The aggregate of direct material, direct labour and direct expenses is known as
  23. HUF stands for
  24. Capital + Long-term liabilities = Fixed Assets + Current Assets + Cash - Current Liabilities.
  25. In Double Entry System of Book Keeping, the total of Debit balances may not be equal to the total of…
  26. Deferred Revenue Expenditure is current year's revenue expenditure to be paid in latter years.
  27. The basic unit of measurement of the accounting system is ______________.
  28. The accounts of a company may be maintained using Single Entry System of Book Keeping also.
  29. Net Realisable Value of an asset means
  30. Depreciation cannot be provided in case of loss, in a financial year.