| 1 |
Retiring a bill under rebate means |
- A. Payment of Bill Before Due Date
- B. Payment of Bill After due date
- C. Discounting of a Bill
- D. Dishonouring of a Bill
|
| 2 |
When a bill is discharged the acceptor debits: |
- A. Creditors account
- B. Cash account
- C. Bill payable account
- D. Bill receivable account
|
| 3 |
At the time of drawing a bill the drawer credits: |
- A. Debtors account
- B. Creditors account
- C. bill receivable account
- D. Suppliers account
|
| 4 |
When bank column of a cash book shows a credit balance, it means: |
- A. Cash balance
- B. Bank balance
- C. Under draft
- D. Over draft
|
| 5 |
Any activity undertaken for the purpose of earning profit is called: |
- A. Performance
- B. Dealing
- C. Business
- D. Duties
|
| 6 |
The act of withdrawing a bill of exchange from circulation when it had been paid before the due date |
- A. Renewal of a Bill
- B. Discounting of a Bill
- C. Endorsement of a Bill
- D. Retiring of a Bill
|
| 7 |
When an acceptor refuses to pay the amount of bill to the holder on its maturity date it is called |
- A. Honoured Bill
- B. Retired Bill
- C. Dishonoured Bill
- D. Endorsed Bill
|
| 8 |
Subsidiary books are called the book of: |
- A. Original entry
- B. Secondary entry
- C. Temporary entry
- D. Basic entry
|
| 9 |
When a drawer discounts a bill, he debits |
- A. Bank Account
- B. Interest Account
- C. Drawee Account
- D. Bill Receivable Account
|
| 10 |
All those expenses which are incurred to convert raw-materials into finished goods are called: |
- A. Direct expenses
- B. Indirect expenses
- C. Administrative expenses
- D. Sales expenses
|
