Accountancy and Auditing Quiz No:1

Return of Equity will be calculated as under:

Which one of the following accounts would usually have a debit balance?

Retained earnings is synonymous to:

Re-order quantity …… 3600 units Maximum consumption ...… 900 units per week Minimum comsumption …....300 units per week Re-order period …………….….5 weeks Based on this data Re-order level is:

If under applied FOH is closed to cost of goods sold, the journal entry is:

Under the diminishing balance method, depreciation amount is:

Every limited Company in Pakistan is required by law to include the following along with financial reports

Stratified audit sample means

An auditor is liable for his annual audit of accounts of

The measureable value of an alternative use of resources is referred to as:

Deferred Taxation amount be treated as:

The investment of personal assets by the owner:

Deferred Taxation is:

In Insurance, the following Profit and Loss Accounts are prepared:

Acid test is the same as:

Fixed Cost

Process Costing is relevant to:

Funds Flow Statement and sources and application statement are:

Conversion cost is:

Users of accounting information include:

Super Tax on companies is:

A resident multinational company need not

If a firm has paid super-tax, its partners may follow any one of the following behaviors:

Economics resources of a business that are expected to be of benefit in the future are referred to as:

Sources of funds can be increased by:

Current maturity of long term loan is:

Operating Profit is:

Productivity means:

Directors Report is ---- in respect of financial report constituent.

Depreciation in spirit is similar to:

Maximum number of partners in a partnership firm set up in Pakistan under Partnership Act, 1932 is:

Short term Loan can be best described as:

Flexible budget is a budget with the following features:

Sales budget must be prepared:

Cash budget excludes the following:

Short-term loan can be described as:

Consolidation of subsidiary accounts in the balance sheet of a unlisted Holding company is at present in Pakistan:

Net income plus operating expenses is equal to:

A partnership, in today’s Pakistan, under the current law can have the following number of partners:

Quick assets include which of the following?

Operating cost in often named as:

Preparation of final financial reports is governed in Pakistan under:

Verification includes:

Increase in income constitutes:

A fixed cost:

The business form(s) in which the owner(s) is (are) personally liable is (are) the:

A segment of the business that generates both revenue and cost is called:

An owner investment of each into the business would:

Process Cost is very much applicable in:

At break-even point of 400 units sold the variable costs were Rs. 400 and the fixed costs were Rs.200. What will be the 401 units sold contributing to profit before income tax?

All of the following are forms of organizations except:

Income Tax rates are the same for:

Internal Control is totally synonymous with:

Completion of a job is result in:

Current Ratio is calculated as:

The payment of rent each month for office space would:

Books of original entry are called:

Inventory turnover is calculated as under:

Direct material cost plus direct labour cost is called:

There is a difference between:

Economic resources of a business that are expected to be of benefit in the future are referred to as:

Depreciation is based on:

In considering a special order situation that will enable a company to make use of currently idle capacity, which of the following cost will be irrelevant:

Verification includes:

Deferred Revenue is:

Prime cost is calculated as under:

Audit of a bank is generally conducted through:

An endowment insurance policy can be taken in respect of:

A good Cost Accounting System is:

Audit of a bank is generally conducted through:

NGOs are legally required to:

The maximum number of partners in Pakistan can be fixed at the following:

A cost center is:

An owner investment of land into the business would:

For preparing balance sheets prepaid expenses are shown as part of

Partners in Pakistan can today be fixed at the following numbers:

Amount, cash, or other assets removed from business by owner is:

Break even can be calculated as under:

Expenditure incurred in procuring machinery is:

Investment Corporation of Pakistan follows:

The time lag between indenting and receiving material is called:

Combination can be best described as:

The latest computation of variances of manufacturing overheads is in one the following ways:

Preparation of annual report of a firm is governed under:

A cash purchase of supplies would:

Expenses such as rent and depreciation of a building are shared by several departments these are:

M & A stands for:

Audit and special audit are the same:

Real accounts are related to:

A credit balance remaining in FOH Control account is called:

In straight line method of depreciation, the written down value of a fixed asset will be at the end of the life of the asset as under:

Balance Sheet is always prepared:

Double entry book-keeping was fathered by:

Unpaid and unrecorded expenses are called:

The requirements of an audit report for a Banking Company in Pakistan is under:

Balance sheet is always prepared:

Income Tax is levied on:

Quick Ratio can be computed as under:

A quantitative expression of management objectives is an:

Random sampling in auditing means: