In cost accounting, if the 'Margin of Safety' is 20% of actual sales, and the actual sales are ₹5,00,000, what is the break-even sales? MCQ with Answer and Explanation
Question
Report Error
Discuss this Question (0)
Practice More Accountancy and Book Keeping Questions
Question #1
Report Error
In the context of AS 28 (Impairment of Assets), if a Cash Generating Unit (CGU) is impaired, the impairment loss is allocated to reduce the carrying amount of assets in what order?
Correct Answer: Option D
Explanation:
AS 28 dictates that an impairment loss for a CGU must first reduce the carrying amount of any goodwill allocated to the CGU, and then to the other assets pro-rata based on their carrying amounts.
AS 28 dictates that an impairment loss for a CGU must first reduce the carrying amount of any goodwill allocated to the CGU, and then to the other assets pro-rata based on their carrying amounts.
This question belongs to:
Accountancy and Statistics
Accountancy and Book Keeping
Question #2
Report Error
A company's debt-equity ratio is 1:1. If total assets are ₹10,00,000, the amount of debt is:
Correct Answer: Option C
Explanation:
Debt-equity 1:1 implies Debt = Equity. Total assets = Debt + Equity = 2x. So x = ₹5,00,000, hence debt ₹5,00,000.
Debt-equity 1:1 implies Debt = Equity. Total assets = Debt + Equity = 2x. So x = ₹5,00,000, hence debt ₹5,00,000.
This question belongs to:
Accountancy and Statistics
Accountancy and Book Keeping
Question #3
Report Error
The 'Deemed Exports' under GST are:
Correct Answer: Option C
Explanation:
Deemed exports are specified transactions where goods supplied do not leave India, but the supplier is entitled to refund of GST.
Deemed exports are specified transactions where goods supplied do not leave India, but the supplier is entitled to refund of GST.
This question belongs to:
Accountancy and Statistics
Accountancy and Book Keeping
No comments yet. Be the first to start the discussion!