MCQ Question for Accountancy Class 11 With Answers Chapter 10 Financial Statements – II

Check the below NCERT MCQ Class 11 Accountancy Chapter 10 Financial Statements – II with Answers available with PDF free download. MCQ Questions for Class 11 Accountancy with Answers were prepared based on the latest syllabus and examination pattern issued by CBSE, NCERT and KVS. Our teachers have provided below Financial Statements – II Class 11 Accountancy MCQs Questions with answers which will help students to revise and get more marks in exams

Financial Statements – II Class 11 Accountancy MCQs Questions with Answers

Refer below for MCQs Financial Statements – II with solutions. Solve questions and compare with the answers provided below

Question. Any expenditure incurred in installation of Machinery
a. Deferred Revenue Expenditure
b. Promotional Exp.
c. Revenue Exp.
d. Capital Exp.

Question. . ……………………. Is the arrangement of various assets and liabilities in a proper order
a. Balancing
b. Grouping
c. Marshalling
d. All of these

Question. Patents fall under which category
a. Current Assets
b. Fictitious Assets
c. Intangible Assets
d. None of these

Question. Wages and Salaries account is shown in
a. Profit & loss Account
b. Assets
c. Trading Account
d. None of these

Question. What is the treatment of Discount on purchase?
a. Debited to Trading Account
b. Credited to Profit & Loss Account
c. Debited to Profit & Loss Account
d. None of these

Question. Which type of expenses is written in Profit & Loss Account?
a. Direct
b. Indirect
c. Direct & Indirect
d. None of these

Question. If Commission received in advance Rs. 3000 given in Trial balance. It will be shown in
a. Liabilities
b. Assets
c. Profit & Loss Account (Credit)
d. Trading Account (debit)

Question. The Trial balance of a firm shows Debtor Rs. 40000, Bad debts Rs. 200 and Provision for doubtful debts at Rs. 1400. A 5% provision for doubtful debts is to be created on debtors. The amount of Debtors to be shown in Assets
a. Rs. 38000
b. Rs. 36400
c. 41200
d. None of these

Question. Types of account to be shown in balance sheet
a. Real & Personal
b. Nominal & Real
c. Nominal & Personal
d. None of these

Question. Which type of expenses are written in Tradinng Account?
a. Direct
b. Indirect
c. Direct & Indirect
d. None of these

Question. Calculation of Operating profit
a. Gross profit –(Office & Administration exp. + Selling & Distribution Exp.)
b. Gross profit – (Office & Administration exp. – Selling & Distribution EXp.)
c. Gross profit – (Factory exp. + Office & Administration exp. + Selling & Distribution Exp)
d. Gross profit –(Office & Administration exp.+ Selling & Distribution Exp+ Direct Exp.) 

Question. The manager is entitled to a commission of 10% on Net Profit after charging such commission. If Net profit is Rs. 110000, then manager’s commission will be :
a. Rs. 11000
b. Rs. 20000
c. 10000
d. None of these

Question. Bad debts mentioned in Trial balance will be shown in
a. Trading Account
b. Assets
c. Profit & Loss Account
d. None of these

Question. If the wages paid Rs. 4000 and outstanding wages Rs. 500. The amount of wages shown in Trading account will be:
a. Rs. 4500
b. Rs. 3500
c. 500
d. None of these

Question. If Gross profit is Rs. 10000 and the net profit is 25% of Gross profit. The Indirect expenses will be
a. 2500
b. 3500
c. Rs. 7500
d. Rs. 9000

Question. Trial Balance shows the Value of Machinery is Rs. 20000 purchased on 1st January, 2018. Rate of Depreciation is 10%. What is the amount of machinery to be shown in balance sheet as on 31st March, 2019?
a. Rs. 19500
b. Rs. 18000
c. 22000
d. None of these

Question. Goods given as samples is debited to
a. General Expenses
b. Sales promotion exp.
c. Staff welfare expenses
d. None of these

Question. If outstanding salary is appearing in the trial balance, it means…..
a. Salary of entire period is debited as expenses
b. Salary for some period is to be added to the salary account
c. No liability incurred for payment of salary
d. None of above

Question. Rent paid during the year amounted to Rs. 300000, which includes Rs. 20000 relating to the previous year and Rs. 20000 relating to the next year. Rs. 30000 relating to the current year is still outstanding. How much rent will be debited to the profit & Loss account of the current year?
a. Rs. 200000
b. Rs. 2,90,000
c. Rs. 2,15,000
d. Rs. 2,80,000

Question. Calculate Gross profit if rate of gross profit is 20% on cost of goods sold and cost of goods sold is Rs. 120000.
a. 24000
b. 15000
c. Rs. 10000
d. None of these

Question. The Trial balance of a firm shows Debtor Rs. 30000, Bad debts Rs. 200 and Provision for doubtful debts at Rs. 1400. A 10% provision for doubtful debts is to be created on debtors. The profit and loss account for the current year is to be debited by
a. Rs. 3200
b. Rs. 3000
c. 4600
d. 1800

Question. Carriage of Rs. 8,000 paid on purchase of Second had Machinery is treated as
a. Revenue Expenditure
b. Capital Expenditure
c. Deferred Revenue Expenditure
d. None of these

Question. Calculate Gross profit if rate of gross profit is 20% on cost of goods sold and Sales is Rs. 120000
a. 20000
b. 24000
c. Rs. 30000
d. Rs. None of these

Question. Heavy amount spent by Airtel on Advertisement for brand positioning in the market will fall under which category
a. Revenue Expenditure
b. Capital Expenditure
c. Deferred Revenue Expenditure
d. None of these

Question. Trial Balance shows the Value of Machinery is Rs. 40000 purchased on 1st April 2018. Rate of Depreciation is 10% p.a. What is the amount of Depreciation to be shown in Profit & Loss Account for the year ending 31st March, 2019?
a. Rs. 4000
b. Rs. 36000
c .3600
d. None of these

Question. Loss of goods by fire should be credited to
a. Sales Account
b. Loss Account
c. Profit & Loss Account
d. Purchases Account

Fill In The Blanks 

Question. Rent Account is shown in ………………………. Account.

Question. Salaries & Wages are debited to ……………………Account.

Question. Carriage on sales is shown in ……………..Account.

Question. Amortization is used for ………………………..assets.

Question. Goodwill is an …………….. Assets.

Question. Financial position is determined by ……………………. .

Question. Outstanding salary is Shown in balance sheet …………….. Side.

Question. If value of cost of sales is Rs. 1,20,000 & Rate of Gross profit is 20% on Sales. The amount of Sales Rs ………….. .

Question. When expenses of an accounting year remain unpaid, it is known as …………………………..

Question. In case of adjusted purchase, closing stock is shown in…………… .

Question. Trial balance shows debtor of Rs. 10,000, bad debts of Rs. 500. Provision for doubtful debts Rs. 1200. Adjustment shows further bad debts Rs. 600 & new provision for bad & doubtful debts @2%. Amount of debtors to be shown in balance sheet is Rs . ………

Question. Goods given as charity costing Rs. 5,000, Sales price Rs. 5,500. The amount to be debited to profit & Loss account is Rs.…………… .

Question. Written off part of Deferred Revenue Expenditure is shown in ……………………… . 

Question. Under…………………..concept, provision for doubtful debts is made. 

Question. If gross profit is Rs. 20,000, commission paid is Rs. 2,000. Commission received Rs. 3,000. The amount of operating profit will be Rs …………………. .

Question. Gross profit is obtained by deducting……………………………. from Net sales. 

Question. Discount on purchase is shown in ………………….side of ………………. Account. 

True/False

Question. Depreciation has an impact on balance of cash.

Question. Purchase return is also known as return inward.

Question. Sales return is always deducted from sales.

Question. Printing charges are always debited to P&L A/c.

Question. Goods given away as charity is deducted from purchase a/c.

Question. Provision for doubtful debt have a credit balance.

Question. Income tax paid is also known as Drawing .

Question. The formulae for calculating cost of goods sold opening stock + net purchases – closing stock.

Question. The value of gross profit is 2,40,000 and cost of goods sold is 9,60,000. The rate of gross profit is 25% on cost.

Question. The formula for calculating adjusted purchase is opening stock + net purchases + direct expenses – closing stock.

Question. The value of gross profit will be 12,500 if the value of purchases is 2,00,000, returns is 5000, and 2/3rd of the goods are sold for 1,52,500.

Question. Net sales for year ended 31st march 2016 is. Rs 4,00,000 the rate of gross profit is 25% on sales the amount of gross profit is 1,00,000

Question. If closing and opening stock is Rs. 60,000 each. Purchases are Rs. 1,40,000, manufacturing expenses are Rs. 40,000 and sales are 2 50,000 in that case gross profit is 70,000.

Question. The net profit before charging depreciation was Rs 1,89,000. The amount of depreciation was Rs 19,000. The net profit after depreciation is Rs 2,08,000.

Question. The amount of net purchases is 1,21,000. Amount of return outward is 6,000. The purchases debited to trading account is. Rs 1,27,000.

Match the following

Question. Match the following terms with their methods of diminishing value

1. Depreciation	A. Wasting Assets
2. Amortization	B. Tangible Assets
3. Depletion	C. Intangible Assets

Question. Match the following with Revenue Receipts and capital receipts:

Receipts	Heading
1. Contribution towards capital	A Revenue Receipts
2. Loan Received by the business	B Capital Receipts
3. Sales of goods
4. Interest received

Question. Match the following:

Account Type	Transferred to
1. Real A/c	A. Closed by transferring to Profit and Loss A/C
2. Personal A/c	B. Balance carried to next year by Transferring to Balance sheet
3. Nominal A/c

Question. Match the below expenses with their respective expense head

Expense	Expense Type
1. White wash Expense	A. Deferred Revenue Expenditure
2. Purchase of second hand Machine	B. Revenue Expenditure
3. Advertisement Expenses	C. Capital Expenditure

Question. Match the following assets with their respective Assets account

Assets	Categories
1. Debtors	A. Intangible Assets
2. Furniture	B. Current Assets
3. Patent	C. Current Liabilities
4. Short term Loan	D. Tangible Assets

Question. Match the below items

1. Commission	A. Expense
2. Commission (Cr.)	B. Income
3. Rent
4. Rent (Cr.)

Question. Match the below expense with business expense and Personal expenses

1. Insurance premium	A. Business Expenses
2. Life insurance premium of owner	B. personal expenses
3. Rent
4. Rent of House of proprietor

Question. Match the below expense with business expense and Personal expenses Match the item from their source of calculate

Item	calculate from
1. Gross profit	A. Profit and Loss A/c
2. Net Profit	B. Balance sheet
3. Capital	C. Trading Account

Question. Match the following

1. Trial Balance	A. Both sides may or may not be tallied
2. Profit and Loss A/c	B. Both side should always be tallied
3. Balance sheet	C. For checking Arithmetical accuracy both side should be tallied

Question. Match the following items with account where it is appeared:

1. Outstanding salary	A. Income side of Profit and loss A/c
2. Salary A/c	B. Liability side of Balance sheet
3. Rent A/c	C. Assets side of Balance sheet
4. Prepaid Rent A/c	D. Expense side of Profit and loss A/c

Question. Match the items according to:

1. Order of Permanence cash in hand	A goodwill
2. Order of Liquidity Goodwill	B cash in hand.

Question. Match the following expenses with their clarification

Expenses	Definition
1. Outstanding expenses	A. part of expenses paid if relates to next accounting year
2. Prepaid expenses	B. Income received before it becomes due.
3. Accrued Income	C. Expenses related to current year but have not been paid.
4. Unearned income	D. income earned but not received

We hope you liked MCQ Class 12 Accountancy Chapter 10 Financial Statements – II with answers provided above. In case you have any questions please post them in the comments section below and our Accountancy teachers will provide a response. Also read DK Goel Class 11 Solutions