Commerce MCQ Question and Answer

Commerce MCQ Question and Answer
201. In connection with marine insurance the ‘Doctrine of Utmost Good Faith’ is based on the concept of—
  • Disclosure
  • Concealment
  • Misrepresentation
  • None of the above
Show Answer
202. Which statement is not true in respect of a Balance Sheet ?
  • It is an account
  • It is prepared every month
  • It is prepared to check the mathematical accuracy
  • All the above
Show Answer
203. A machinery is purchased for Rs. 3,00,000 and Rs. 50,000 is spent on its installation. Rs. 5,000 is spent on fuel. What will be the amount of capital expenditure ?
  • Rs. 3,00,000
  • Rs. 3,50,000
  • Rs. 3,55,000
  • None of these
Show Answer
204. Which of the following errors are not disclosed by Trial Balance ?
  • Compensatory Errors
  • Errors of Principle
  • Errors of Omission
  • All the three
Show Answer
205. A large amount spent on special advertisement is—
  • Capital Expenditure
  • Revenue Expenditure
  • Revenue Loss
  • Deferred Revenue Expenditure
Show Answer
206. Double Entry System was introduced in—
  • America
  • Japan
  • India
  • Italy
Show Answer
207. According to going concern concept a business entity is assumed to have—
  • A long life
  • A small life
  • A very short life
  • A definite life
Show Answer
208. The policy of ‘anticipate no profit and provide for all possible losses’ is followed due to—

  • Convention of consistency
  • Convention of conservation
  • Convention of disclosure
  • None of the above
Show Answer
209. Receipts and Payments Account is prepared by—
  • Companies
  • Banks
  • Partnership firms
  • Non-trading organizations
Show Answer
210. Examination of documents and vouchers is called—
  • Physical verification
  • Test checking
  • Vouching
  • None of the above
Show Answer
Questions and Answers for Competitive Exams Various Entrance Test