Practice Test | Kullabs.com
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  • ______ is a financial statement, which helps to know the operating result of the business.

    Balance sheet
    Profit and loss account
    Trial balance
    Trading account
  • Profit and loss account is prepared after the preparation of ______.

    balance sheet
    ledger accounts
    trading account
    trial balance
  • "Profit and loss account is a statement which summarizes all indirect revenue expenses in one side which is compared with gross profit/ revenue incomes in another side and net trading income of an accounting period is assessed." Who said this?

    J. R. Batliboi
    A. Ashley
    S.P. Arora
    S. Mukharjee
  • Which one of them is not the objective of profit and loss account?

    To provide information about office and administrative expenses
    To provide information about expenses and losses
    To provide information about selling and distributing expenses
    To provide information about other expenses and losses
  • The expenses, which are incurred for fulfilling the financial need of the business, are known as ______.

    accrued expenses
    direct expenses
    financial expenses
    outstanding expenses
  • All the expenses, which are incurred in the process of operating the business, are known as ______.

    preliminary expenses
    financial expenses
    selling and distributing expenses
    office and administrative expenses
  • Expenses, which are incurred in the process of selling and distributing the goods, are known as ______.

    selling and distributing expenses
    office and administrative expenses
    preliminary expenses
    financial expenses
  • The expenses, which are incurred for fulfilling the financial need of the business, are known as ______.

    preliminary expenses
    office and administrative expenses
    selling and distributing expenses
    financial expenses
  • ______ is the permanent decrease in the value of fixed assets due to their continuous use.

    Appreciation
    Depreciation
    Patent
    Goodwill
  • Items relating to ______ are debited in the profit and loss account.

    repairs and maintenance expenses
    selling and distributing expenses
    all the options are correct
    depreciation
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