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Principles of Accounting

Cash discount is provided on ……………?

A. Purchases
B. Prompt payment
C. Sales
D. Sales return

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Goods return to supplier are known as:……….?

A. Merchandise return
B. Purchase return
C. Return inwards
D. Sales return

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The excess of current assets over current liabilities is called:

A. Working Capital
B. Circulating capital
C. Fixed capital
D. Trading capital

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When goods, in which business deals are sold, it is called………..?

A. Purchases
B. Return inward
C. Sales
D. Return outwards

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Sales return is also known as…………?

A. Return received
B. Return Payed
C. Return inward
D. Return outward

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reduction in price is called:

A. Paid price
B. Invoice price
C. Book price
D. Discount

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Cash brought by the owner to start business is called……….?

A. Capital
B. Loan
C. Drawing
D. None of these

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The concession received on the price of defective goods is called:

A. Discount
B. Cash discount
C. Allowance
D. Trading discount

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In support of business transaction, any written evidence is called ………..?

A. Discount
B. Voucher
C. Allowance
D. Price

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Building and furniture are called …………?

A. Current asset
B. Fictitious asset
C. Tangible asset
D. Fixed assets

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