CA Foundation Exam > CA Foundation Questions > On March 31, 2010 after sale of goods worth R...
Start Learning for Free
On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This is
- a)An event
- b)A transaction
- c)A transaction as well as an event
- d)Neither a transaction nor an event
Correct answer is option 'A'. Can you explain this answer?
| FREE This question is part of | Download PDF Attempt this Test |
Most Upvoted Answer
On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with...
Explanation:
The correct answer is option 'A' - An event.
Definition of Event:
An event is a happening of consequence, an observable occurrence that has a special significance.
Explanation:
In this given scenario, the sale of goods worth Rs. 2,000 and the closing inventory of Rs. 10,000 are events.
Sale of Goods:
The sale of goods worth Rs. 2,000 is considered an event because it is an observable occurrence that has a special significance. It involves the transfer of goods from the seller to the buyer in exchange for money. This event is significant because it affects the financial position of the seller and generates revenue.
Closing Inventory:
The closing inventory of Rs. 10,000 is also considered an event because it represents the value of unsold goods at the end of the accounting period. It is significant because it helps determine the cost of goods sold and the overall profitability of the business.
Difference between an Event and a Transaction:
- An event is a happening of consequence, while a transaction is a specific type of event that involves an exchange or transfer of value between two parties.
- A transaction is measurable in monetary terms and is recorded in the accounting books, while an event may or may not have a monetary value and may not be recorded in the books.
Conclusion:
In conclusion, the sale of goods and the closing inventory are events because they are observable occurrences with special significance. They may or may not be recorded as transactions in the accounting books, depending on their monetary value and relevance to the financial position of the business. Therefore, the correct answer is option 'A' - An event.
The correct answer is option 'A' - An event.
Definition of Event:
An event is a happening of consequence, an observable occurrence that has a special significance.
Explanation:
In this given scenario, the sale of goods worth Rs. 2,000 and the closing inventory of Rs. 10,000 are events.
Sale of Goods:
The sale of goods worth Rs. 2,000 is considered an event because it is an observable occurrence that has a special significance. It involves the transfer of goods from the seller to the buyer in exchange for money. This event is significant because it affects the financial position of the seller and generates revenue.
Closing Inventory:
The closing inventory of Rs. 10,000 is also considered an event because it represents the value of unsold goods at the end of the accounting period. It is significant because it helps determine the cost of goods sold and the overall profitability of the business.
Difference between an Event and a Transaction:
- An event is a happening of consequence, while a transaction is a specific type of event that involves an exchange or transfer of value between two parties.
- A transaction is measurable in monetary terms and is recorded in the accounting books, while an event may or may not have a monetary value and may not be recorded in the books.
Conclusion:
In conclusion, the sale of goods and the closing inventory are events because they are observable occurrences with special significance. They may or may not be recorded as transactions in the accounting books, depending on their monetary value and relevance to the financial position of the business. Therefore, the correct answer is option 'A' - An event.
Attention CA Foundation Students!
To make sure you are not studying endlessly, EduRev has designed CA Foundation study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in CA Foundation.
|
Explore Courses for CA Foundation exam
|
|
Similar CA Foundation Doubts
Top Courses for CA FoundationView all
On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer?
Question Description
On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer?.
On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer?.
Solutions for On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free.
Here you can find the meaning of On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer?, a detailed solution for On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer? has been provided alongside types of On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice On March 31, 2010 after sale of goods worth Rs. 2,000, he is left with the closing inventory of Rs. 10,000. This isa)An eventb)A transactionc)A transaction as well as an eventd)Neither a transaction nor an eventCorrect answer is option 'A'. Can you explain this answer? tests, examples and also practice CA Foundation tests.
|
|
Explore Courses for CA Foundation exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup