Goods given away as charity should be credited to: MCQ with Answer and Explanation

Question
Goods given away as charity should be credited to:
A. Charity Account
B. Sales Account
C. Cash Account
D. Purchases Account
Answer: Option D
Solution (By JKSSB Mock Tests)
Donating goods reduces the stock of purchased goods. Thus, the Purchases account is credited at cost price.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Request complete Subject PDF

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Accountancy and Book Keeping Questions

Question #1
If opening capital is Rs 1,00,000, closing capital is Rs 1,50,000, and drawings are Rs 20,000, what is the profit for the year assuming no additional capital?
A. Rs 30,000
B. Rs 1,70,000
C. Rs 50,000
D. Rs 70,000
Discuss
Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option D

Explanation:
Profit = Closing Capital + Drawings - Opening Capital. Profit = 1,50,000 + 20,000 - 1,00,000 = Rs 70,000.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Question #2
An asset is classified as current if it is expected to be realised within:
A. 12 months from the date of Balance Sheet
B. Operating cycle, whichever is longer
C. Both A and B are correct
D. Operating cycle, whichever is shorter
Discuss
Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option C

Explanation:
As per Schedule III, a current asset is one that is expected to be realized within 12 months from reporting date or within the operating cycle, whichever is longer.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Question #3
Which module of PFMS allows tracking of fund utilization by implementing agencies at lower tiers?
A. EAT (Expenditure, Advance and Transfer) Module
B. GSTN Module
C. DBT Module
D. E-Kuber Module
Discuss
Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option A

Explanation:
The EAT module maps the entire hierarchy of implementing agencies, ensuring funds transferred are tracked until final expenditure.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Explore All Accountancy and Book Keeping MCQs
Today's Top Topics
Accountancy and Book Keeping 1861 Statistics 1318
Explore Subjects
Accountancy and Statistics 3179 Economy GK 2220 English 15164 Computer 5279 Current Affairs 575
Practice Mix
Which of the following is an indirect tax in India?
The valve between the left atrium and left ventricle is the:
A person faces north. He turns 45° left, then 90° right, then 45° left. Which direction is he facing?
Under the Income Tax Act, the 'TDS' on the sale of an immovable property (other than agricultural land) by a resident is governed by which section, and what is the rate?
In 'Piecemeal Distribution' during dissolution, the first priority for payment of outside liabilities is: