Which of the following error is an error of principle

✅ C. The retained earnings was overstated during 2011-2012 and retained earnings will be understated during 2012-2013

Option A : The cost of goods sold was overstated during 2011-2012 and income will be understated during 2012-2013 Option B : The income was overstated during 2011-12 and closing inventory will be overstated during 2012-2013 Option C : The retained earnings was overstated during 2011-2012 and retained earnings will be understated during 2012-2013 Option D : The cost of… Read more

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Option A : Credited to the Profit & Loss Account Option B : Debited to the Profit & Loss Account Option C : Shown on the liabilities side of the Balance Sheet Option D : Shown on the assets side of the Balance Sheet Read More Details about this Mcq Correct Answer : Shown on the assets side of the… Read more

✅ D. They must be made after the adjusting entries but before the reversing entries

Option A : They must be followed by reversing entries Option B : They transfer the balances in all of the Nominal Accounts to the Trading and Profit and Loss Account Option C : They must be made after the reversing entries but before the adjusting entries Option D : They must be made after the adjusting entries but before… Read more

✅ A. Book value

Option A : Book value Option B : Intrinsic value Option C : Cost Option D : Market value Correct Answer : Book value Read more

✅ A. Passage of time, asset usage, and obsolescence

Option A : Passage of time, asset usage, and obsolescence Option B : Tax regulations and SEBI guidelines Option C : Tax regulations and asset usage Option D : SEBI guidelines and Asset usage Correct Answer : Passage of time, asset usage, and obsolescence Read more

✅ B. Debit balance of cash book

Option A : Credit balance of cash book Option B : Debit balance of cash book Option C : Bank overdraft Option D : Adjusted balance of cash book Correct Answer : Debit balance of cash book Read more

✅ B. Rent A/c

Option A : Outstanding Salary A/c Option B : Rent A/c Option C : SBI A/c Option D : Debtors A/c Correct Answer : Rent A/c Read more

✅ D. Postage & Stamps

Option A : Opening Stock Option B : Carriage inward Option C : Wages & Salary Option D : Postage & Stamps Correct Answer : Postage & Stamps Read more