Basic Accountancy MCQ Quiz

Which of the following is NOT an accounting concept?

• Business Entity Concept

• Going Concern Concept

• Dual Aspect Concept

• Marginal Utility Concept

Matching principle is related to:

• Assets and liabilities

• Revenues and expenses

• Owners and outsiders

• Creditors and debtors

The assumption that a business will continue indefinitely is:

• Money Measurement Concept

• Going Concern Concept

• Cost Concept

• Periodicity Concept

Recording transactions at purchase price is as per:

• Cost Concept

• Realisation Concept

• Conservatism Concept

• Consistency Concept

"Anticipate no profit but provide for all possible losses" refers to:

• Consistency

• Prudence/Conservatism

• Matching

• Duality

GAAP stands for:

• Generally Accepted Accounting Principles

• Government Accepted Accounting Principles

• General Applied Accounting Principles

• General Accepted Auditing Practices

Which principle requires consistent use of policies year after year?

• Matching

• Consistency

• Periodicity

• Realisation

Financial statements are prepared on the basis of:

• Cash basis

• Accrual basis

• Both

• Either

Which principle requires conversion of all transactions into money terms?

• Money Measurement

• Going Concern

• Realisation

• Periodicity

Which is an accounting assumption?

• Business Entity

• Accrual

• Conservatism

• Matching