Accounting Basics Bit Bank for APPSC | Panchayat Secretary | IBPS | SBI | SSC

Accounting Basics 

 1)  Any difference in trial balance  is adjusted through -----------------;  this account may either have debit balance or credit balance.  ?
Answer  ::   Suspense Account

 2)   Common point between the consignment and sale is -----------.  ?
Answer  ::   The stock outflow

 3)   The securities premium account  appears under the ----------------.  ?
Answer  ::   Head Reserve & Surplus

 4)   Capital Reserves are created out of --------------. ?
Answer  ::   Capital profits

 5)   Depreciation is related to ------------. ?
Answer  ::   All Fixed Tangible Assets

 6)  Depreciation accounting is ----------------.  ?
Answer  ::   A process of allocation of the cost of fixed asset

 7)   Depreciation is a ------------------. ?
Answer  ::   Non cash operating expenses

 8)  ------------------  arises when a transaction is completely or partly omitted. ?
Answer  ::   Error of Omission

 9)  ---------------------- arises due to wrong recording, wrong casting, wrong posting, wrong balancing etc. (Error of Commission) ----------------------- arises when the  transaction is recorded ignoring the principles of Accounting. ?
Answer  ::   Error of  Principles

 10)  -------------------- will not reveal  error of principle, error of complete omission, compensating errors. ?
Answer  ::   The trail balance

 11)  --------------------- will reveal posting  to wrong account on correct side with wrong amount. ?
Answer  ::   A trail balance