Wages paid for installation of a new machinery should be debited to: MCQ with Answer and Explanation

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Wages paid for installation of a new machinery should be debited to:

A. Cash Account

B. Installation Account

C. Machinery Account

D. Wages Account

Answer: Option C

Solution (By JKSSB Mock Tests)

All costs incurred to bring a fixed asset to its working condition are capitalized, hence debited to the Machinery account (Real Account rule).

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

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Which of the following is not an accounting concept?

A. Dual citizenship concept

B. Conservatism concept

C. Money measurement concept

D. Dual aspect concept

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Correct Answer: Option A

Explanation:
Dual citizenship is not an accounting concept. Others are fundamental accounting concepts.

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Question #2

The 'Related Party' as per AS 18 includes:

A. Key management personnel and their relatives

B. All suppliers

C. Government

D. All customers

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Correct Answer: Option A

Explanation:
Related parties include key management, enterprises with control or significant influence, etc.

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Question #3

GST Council decisions are taken by a majority of not less than:

A. Simple majority

B. Two-thirds of the weighted votes

C. Three-fourths of the weighted votes

D. Unanimous vote

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Correct Answer: Option C

Explanation:
Article 279A dictates that every decision of the GST Council must be supported by a minimum of 75% (three-fourths) weighted majority of the members present and voting.

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

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