A second hand car is purchased for 2,00,000 and sold at 1,40,000 after two years. If depreciation is charged @ 10% on written down value method, find the profit or loss on sale of the Second hand car?

A. Loss of 20,000
B. Loss of 22,000
C. Loss of 11,000
D. Profit of 11,000

A second hand car is purchased for 2,00,000 and sold at 1,40,000 after two years. If depreciation is charged @ 10% on SLM method, find the profit or loss on sale of the car?

A. 20,000 loss
B. 20,000 profit
C. 10,000 loss
D. 10,000 profit

Which of the following is not a method of charging depreciation?

A. Straight line method
B. Written down value method
C. Discounted present value method
D. Sum of digits method

Provision is created for____________?

A. Unknown liabilities
B. Known liabilities
C. Creation of secret reserves
D. All the three

Which of the following is not a cause of difference in balance as per cash book and balance as per bank pass book___________?

A. Errors in cash book
B. Errors in pass book
C. Cheques deposited and cleared
D. Cheques issued but not presented for payment

Debit balance as per bank pass book mean_____________?

A. Surplus cash
B. Bank overdraft
C. Terms deposits with bank
D. None of these

Benefits of preparing Bank Reconciliation Statement includes___________?

A. It bring out any errors committed in preparation of cash book / bank pass book
B. Highlights under delay in clearance of cheques deposited but not credited
C. Help know actual bank balance
D. All the three

Bank reconciliation statement is a part of_________?

A. Cash book
B. Trial balance
C. Auditors report
D. None of these

Bank reconciliation is a statement prepared to reconcile__________?

A. Trial balance
B. Cash book
C. Bank a/c
D. Cash as per cash book with bank balance as per bank pass book

The Bank Reconciliation Statement is prepared?

A. To rectify the mistakes in the cash book
B. To arrive at the bank balance
C. To arrive at the cash balance
D. To bring out the reasons for the difference between the balance as per cash book and the balance as per bank statement