Question : When, Value of output= Sales?
Option 1: When the entire output is sold in an accounting year.
Option 2: When the entire output is sold in the previous year.
Option 3: When the entire output is sold in the next year
Option 4: When the entire output is unsold.
Correct Answer: When the entire output is sold in an accounting year.
Solution :
Answer laterQuestion : What are the factors to be considered while source accounting software?
Option 1: Flexibility
Option 2: Adaptability
Option 3: Interest of Management
Option 4: Both 1 & 2
Correct Answer: Both 1 & 2
Solution : The things to think about when choosing an accounting software supplier.
Flexibility.
Adaptability.
the price of installation and upkeep.
a company's size.
level of secrecy.
Hence the correct answer is option 4.
Question : ---------------may be expressed as an arithmetical relationship between two accounting variables.
Option 1: Ratio
Option 2: Accounting ratio
Option 3: Ratio Analysis
Option 4: None of the above
Correct Answer: Accounting ratio
Solution : Answer = Accounting ratio
The accounting ratio may be expressed as an arithmetical relationship between two accounting variables. The term accounting ratio is used to describe significant relationships which exist between figures shown in a Balance Sheet, in a Statement of Profit and Loss, in a budgetary control system.
Hence, the correct option is 2.
Question : ____________ shows the financial performance, i.e., the result of business operations during an accounting period and is also known as an Income Statement.
Option 1: Profit and loss account
Option 2: Balance sheet
Option 3: Manufacturing account
Option 4: None of the above
Correct Answer: Profit and loss account
Solution : Answer = Profit and loss account
The Profit and Loss Account, also known as the Income Statement, summarizes a company's financial performance over a specific period by detailing revenues, expenses, gains, and losses. It provides insights into the profitability of the business operations during that accounting period.
Hence, the correct option is 1.
Question :
Which among these, cannot be treated as limitation of computerised accounting system?
Option 1: Security breach
Option 2: Staff opposition
Option 3: Automated document production
Option 4: Cost of training
Correct Answer: Automated document production
Solution : A computerised accounting system has the following drawbacks:
Expensive training.
Interruptions in service.
Systems failure
Expensive installation fees.
Failure to recognise unexpected mistakes
Security breach
Hence the correct answer is option 3.
Question : Under a manual accounting system, addition, subtraction, multiplication and division are done _________.
Option 1: manually
Option 2: through computers
Option 3: Through electronic media
Option 4: All of the above
Correct Answer: manually
Solution : The manual system of accounting calls for manual adding, subtracting, and totaling as well as the recording of transactions in the original entry books. Hence, the correct option is 1.
Question : The components of computerised accounting system are -
Option 1: Data, Report, Ledger, software, Hardware
Option 2: Software, Hardware, People
Option 3: Data, Coding, Procedure, Objective, Output
Option 4: People, Procedure, Hard ware, software
Correct Answer: Software, Hardware, People
Solution : Components of computerised accounting system are -
Software
Hardware
People
Hence the correct answer is option 2.
Question :
Under computerised accounting, software means
Option 1:
A logical sequence of actions to perform a task
Option 2: System software and application software
Option 3: The raw fact (as input) for any business application
Option 4: Computer, associated peripherals, and their network
Correct Answer: System software and application software
Solution : Under a computerized accounting system, software means system software and application software. Hence, the correct option is 2.
Question : Modern computerised accounting system is based on the concept of database which is implemented using -
Option 1: Management Information System
Option 2: Database Management System
Option 3: Marketing Information System
Option 4: Accounting Information System
Correct Answer: Database Management System
Solution : The idea of a database is the foundation of contemporary computerised accounting systems. A database management system, which is defined by a collection of computer programmes (or software) that properly manage and organise data and give access to the stored data to application programmes, is used to implement databases.
Hence the Correct answer is option 2.
