Q. The rule debit all expenses and losses and credit all income and gains relates to
✅ Correct Answer: (C)
Nominal accounts
Business Accounting MCQs and Notes
Q. Profit and loss is calculated at the stage of
✅ Correct Answer: (D)
Summarising
Q. Historical cost concept requires the valuation of an asset at
✅ Correct Answer: (A)
Original cost
Q. Which of the following is not a nominal Account?
✅ Correct Answer: (A)
Outstanding salaries Account
Q. As per the Matching concept, Revenue – ? = Profit
✅ Correct Answer: (A)
Expenses
Q. Debit the receiver & credit the giver is _____ account.
✅ Correct Answer: (A)
Personal
Q. Business enterprise is separate from its owner according to _____ concept.
✅ Correct Answer: (C)
Entity concept
Q. Small items like, pencils, pens, files, etc. are written off within a year according to _____ concept.
✅ Correct Answer: (A)
Materiality
Q. Fixed assets are held by business for _____.
✅ Correct Answer: (B)
Generating revenue