Depreciation is to be charged because

A. The machinery gets old with time
B. Of physical wear and tear
C. Of fall in the market value of the asset
D. The plant is not as good as new one

Sales= 150,000 Gross profit = 15,000 Net loss= 4,000 Then the operating expenses will be

A. 19,000
B. 165,000
C. 131,000
D. 11,000

Cost of sale is equal to

A. Sales -purchases 895
B. Opening stock – closing stock + purchase – returns out
C. Purchases – returns out + closing stock If.
D. Gross profit – expenses

The Current Ratio formula is

A. All assets: All Liabilities
B. All assets: Current liabilities
C. Current assets: All liabilities
D. Current assets: Current liabilities

A petty cash book records

A. All petty cash receipts
B. Petty transactions
C. Cash receipts from customers
D. All petty cash expenses

Audit of the sole-trader business is

A. Compulsory
B. Not compulsory
C. Compulsory in certain cases
D. None of these

Which’ of the following shows the details and results of the company’s profit related activities for a period of time?

A. Balance sheet
B. Statement of financial position
C. Income statement
D. Statement of cash flow

Balance sheet is always prepared

A. For the year ended
B. As on a specific date
C. With no specific date
D. None of these