Q. What is not an advantage of a computerized accounting system. Sol:
✅ Correct Answer: (C)
Reduced training cost
Financial Accounting MCQs and Notes
Q. What are the features of a computerized accounting system? Sol:
✅ Correct Answer: (C)
It generates a print-out of purchase and sale invoices
Q. Which of the following should be deducted from the shares capital to find out paid up capital
✅ Correct Answer: (B)
calls in arrears
Q. Dividends are usually paid on
✅ Correct Answer: (D)
paid up capital
Q. When an existing company offers its shares for sale to the existing shareholders, it is known as
✅ Correct Answer: (C)
right issue
Q. When forfeited shares (which were originally issued at a discount ) are reused at a premium, the amount of such premium will be credited to
✅ Correct Answer: (B)
security premium account
Q. When shares are forfeited the share capital account is debited by
✅ Correct Answer: (B)
called up amount
Q. Premium on issue of shares can be used for
✅ Correct Answer: (A)
Issue of bonus shares
Q. The rate of discount on shares cannot exceed.
✅ Correct Answer: (B)
10%
Q. The rate of interest a company can charge on calls in arrears according to Table A of the companies act is
✅ Correct Answer: (C)
5%