The system of recording transactions based on both debit and credit aspects is called: MCQ with Answer and Explanation

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The system of recording transactions based on both debit and credit aspects is called:

A. Accrual basis system

B. Single entry system

C. Cash basis system

D. Double entry system

Answer: Option D

Solution (By JKSSB Mock Tests)

Double entry system records every transaction with a debit and a corresponding credit.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

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Social accounting is primarily concerned with:

A. Calculating national income and economic performance of the country

B. Recording petty cash expenses

C. Maximizing shareholder wealth

D. Minimizing corporate taxes

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Correct Answer: Option A

Explanation:
At a macro level, social accounting (or national income accounting) measures the economic activity, income, and expenditure of a nation.

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Question #2

The main difference between a partnership and a company is:

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Correct Answer: Option C

Explanation:
A company is a separate legal entity, while a partnership (except LLP) is not.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

Question #3

CSR (Corporate Social Responsibility) is mandatory under the Companies Act 2013 for companies with a net profit of at least:

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Correct Answer: Option C

Explanation:
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This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

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