Which of the following is true regarding closing entries?

✅ C. Trading A/c

Option A : Profit and Loss A/c Option B : Capitalized with work in progress Option C : Trading A/c Option D : Shown in Balance Sheet Correct Answer : Trading A/c Read more

✅ C. Remitting or receiving the amount

Option A : Discounting of the bill with the bank Option B : Payment of the bill on due date Option C : Remitting or receiving the amount Option D : Sending the bill to bank for collection Read More Details about this Mcq Correct Answer : Remitting or receiving the amount Read more

✅ A. 2,40,000

Option A : 2,40,000 Option B : 2,10,000 Option C : 2,00,000 Option D : 1,80,000 Correct Answer : 2,40,000 Read more

✅ C. Debit Reserve for Discount on Accounts Payable A/c and Credit P&L A/c

Option A : Debit P&L A/c and Credit Reserve for Discount on Accounts Payable A/c Option B : Debit Accounts Payable A/c and Credit P&L A/c Option C : Debit Reserve for Discount on Accounts Payable A/c and Credit P&L A/c Option D : Debit Reserve for Discount on Accounts Payable A/c and credit Accounts Payable A/c Read More Details… 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

✅ A. Depreciation

Option A : Depreciation Option B : Physical deterioration of the asset Option C : Decrease in market value of the asset Option D : Valuation of an asset at a point of time Correct Answer : Depreciation Read more

✅ B. 500 being expense on travelling expense credited to travelling expenses

Option A : 500 purchase of old equipment not recorded in the books of A/c at all Option B : 500 being expense on travelling expense credited to travelling expenses Option C : Both Option D : None Correct Answer : 500 being expense on travelling expense credited to travelling expenses Read more

✅ A. The rate at which the asset is written off reduces year after year

Option A : The rate at which the asset is written off reduces year after year Option B : The amount of depreciation provided reduces from year to year Option C : The rate of depreciation as well as the amount of depreciation reduce year after year Option D : The value of the asset gets reduced to zero over… Read more