A 'Bill Receivable Book' records: MCQ with Answer and Explanation

Question Report Error

A 'Bill Receivable Book' records:

A. Bills drawn by the business and accepted by debtors

B. All bills

C. Bills accepted by business

D. Bills payable

Answer: Option A

Solution (By JKExamLibrary)

Bills Receivable Book records all bills of exchange drawn on debtors and accepted by them.

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

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Accountancy and Book Keeping Questions

Question #1 Report Error

The 'Prepaid Insurance' is adjusted by:

A. Debit Cash A/c, Credit Insurance A/c

B. Ignore

C. Debit Prepaid Insurance A/c, Credit Insurance A/c

D. Debit Insurance A/c, Credit Prepaid Insurance A/c

View Answer & Solution Discuss

Correct Answer: Option C

Explanation:
Prepaid insurance is an asset, so Prepaid Insurance A/c Dr. To Insurance A/c.

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

Question #2 Report Error

A: Internal check is a system of routine checks on the work of staff. R: Internal check is the same as internal audit. Choose the correct option.

A. A is false but R is true

B. A is true but R is false

C. Both A and R are true and R is the correct explanation of A

D. Both A and R are true but R is NOT the correct explanation of A

View Answer & Solution Discuss

Correct Answer: Option B

Explanation:
Internal check is a continuous, routine system where the work of one employee is automatically checked by another. Internal audit is a separate, continuous appraisal system by specialized staff. They are not the same. A is true, R is false.

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

Question #3 Report Error

S1: In financial management, the 'Net Present Value' (NPV) method assumes that cash inflows are reinvested at the cost of capital. S2: The 'Internal Rate of Return' (IRR) method assumes that cash inflows are reinvested at the IRR itself. Which statement(s) is/are correct?

A. Both S1 and S2

B. S1 only

C. Neither S1 nor S2

D. S2 only

View Answer & Solution Discuss

Correct Answer: Option A

Explanation:
Both statements correctly identify the reinvestment rate assumptions of the two capital budgeting techniques. NPV assumes reinvestment at the cost of capital (discount rate), while IRR assumes reinvestment at the IRR.

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

Explore All Accountancy and Book Keeping MCQs