(A) Cost Price (X)
(B) Market Price (X)
(C) Cost price or Market price whichever is higher (X)
(D) Cost price or Market price whichever is lower ()

Answers; Closing stock is generally valued at Cost price or Market price whichever is lower.

(A) They must be followed by reversing entries (X)
(B) They transfer the balances in all of the Nominal Accounts to the Trading and Profit and Loss Account (X)
(C) They must be made after the reversing entries but before the adjusting entries (X)
(D) They must be made after the adjusting entries but before the reversing entries ()

Answers: Which of the following is true regarding closing entries They must be made after the adjusting entries but before the reversing entries.

(A) A sale of an asset is recorded in the Sales Book (X)
(B) Total of Return Outward Book is debited to Return Outward Account (X)
(C) The balance of Petty Cash Book is a liability (X)
(D) Cash Book is a subsidiary book as well as a ledger ()

Answers: Which of the following statements is/are true  Cash Book is a subsidiary book as well as a ledger.

(A) Masood’s account ()
(B) Cash account (X)
(C) Cash account and Gagan’s account (X)
(D) None of these (X)

Answers: Amount paid to Masood posted to the credit side of his account would affect  Masood’s account.

(A) Scrap value (X)
(B) Residual value (X)
(C) Market value (X)
(D) Depreciable value ()

Answers: Total depreciation of an asset cannot exceed its Depreciable value.

(A) Assets accounts ()
(B) liability accounts (X)
(C) Cash accounts (X)
(D) Revenue accounts (X)

Answers: A chart of accounts generally start with which of the following types of accounts Assets accounts.