All Courses
Get the App Signup / Login
Sign in Open App
B Com Exam  >  B Com Tests  >  Test: Final Accounts- 3 - B Com MCQ

Test: Final Accounts- 3 - B Com MCQ


Test Description

10 Questions MCQ Test - Test: Final Accounts- 3

Test: Final Accounts- 3 for B Com 2024 is part of B Com preparation. The Test: Final Accounts- 3 questions and answers have been prepared according to the B Com exam syllabus.The Test: Final Accounts- 3 MCQs are made for B Com 2024 Exam. Find important definitions, questions, notes, meanings, examples, exercises, MCQs and online tests for Test: Final Accounts- 3 below.
Solutions of Test: Final Accounts- 3 questions in English are available as part of our course for B Com & Test: Final Accounts- 3 solutions in Hindi for B Com course. Download more important topics, notes, lectures and mock test series for B Com Exam by signing up for free. Attempt Test: Final Accounts- 3 | 10 questions in 10 minutes | Mock test for B Com preparation | Free important questions MCQ to study for B Com Exam | Download free PDF with solutions
Test: Final Accounts- 3 - Question 1
Save

What is the purpose of preparing financial statements in accordance with the provided schedule?

Detailed Solution for Test: Final Accounts- 3 - Question 1
The purpose of preparing financial statements in accordance with the provided schedule is to ensure that there is a balance between providing excessive detail, which might not be helpful for users of financial statements, and not providing important information. This balance helps users make informed economic decisions based on the financial statements.
Test: Final Accounts- 3 - Question 2
Save

What is the classification criteria for an asset to be considered as "current"?

Detailed Solution for Test: Final Accounts- 3 - Question 2
An asset is classified as "current" if the company expects to realise the asset in its normal operating cycle. If the operating cycle is not identifiable, it is assumed to be twelve months. Other criteria mentioned in the options are also relevant for classifying assets, but the normal operating cycle is a primary criterion.
1 Crore+ students have signed up on EduRev. Have you? Download the App
Test: Final Accounts- 3 - Question 3
Save

Under which section of the financial statements should the "Dividends" be disclosed?

Detailed Solution for Test: Final Accounts- 3 - Question 3
Dividends should be disclosed under the "Equity and Liabilities" section of the financial statements. Dividends represent distributions to shareholders and are therefore categorized as part of the company's equity and liabilities.
Test: Final Accounts- 3 - Question 4
Save
Which type of liabilities are classified as "contingent liabilities"?
Detailed Solution for Test: Final Accounts- 3 - Question 4
Contingent liabilities include items like guarantees, claims against the company not acknowledged as debt, and other money for which the company is contingently liable. Guaranteed loans fall under the category of contingent liabilities as they represent potential liabilities that might arise if the guaranteed party defaults.
Test: Final Accounts- 3 - Question 5
Save
Which of the following items should be cross-referenced to related information in the notes of financial statements?
Detailed Solution for Test: Final Accounts- 3 - Question 5
Items such as equity share capital, which are presented on the face of financial statements, should be cross-referenced to related information in the notes. This practice ensures transparency and helps users understand the details behind the reported figures.
Test: Final Accounts- 3 - Question 6
Save
What is the primary purpose of disclosing "Other Comprehensive Income" in the financial statements?
Detailed Solution for Test: Final Accounts- 3 - Question 6
"Other Comprehensive Income" includes items that do not qualify for recognition in the primary financial statements but are important for understanding the company's financial position. This information is disclosed to provide a comprehensive view of the company's financial performance.
Test: Final Accounts- 3 - Question 7
Save
What should be included in the notes to financial statements regarding "Investments"?
Detailed Solution for Test: Final Accounts- 3 - Question 7
Notes to financial statements should include a reconciliation of the gross and net carrying amounts of investments at the beginning and end of the reporting period. This reconciliation helps users understand the changes in investments, including additions, disposals, acquisitions through business combinations, and impairment losses.
Test: Final Accounts- 3 - Question 8
Save
What should be disclosed under the "Statement of Changes in Equity" in addition to equity share capital?
Detailed Solution for Test: Final Accounts- 3 - Question 8
In addition to equity share capital, the "Statement of Changes in Equity" should disclose other equity components such as reserves and surpluses, capital reserves, securities premium reserves, and other items of other comprehensive income. This statement provides insights into how the company's equity evolves over time.
Test: Final Accounts- 3 - Question 9
Save
Under which category of equity should "Retained Earnings" be presented?
Detailed Solution for Test: Final Accounts- 3 - Question 9
"Retained Earnings" should be presented under the category of "Other Reserves" in the equity section of the financial statements. This reserve represents accumulated profits that have not been distributed as dividends.
Test: Final Accounts- 3 - Question 10
Save
How should an entity classify a liability as "current"?
Detailed Solution for Test: Final Accounts- 3 - Question 10
A liability is classified as "current" if it is due to be settled within twelve months after the reporting period. This classification criterion helps distinguish between short-term and long-term obligations of the company.
Information about Test: Final Accounts- 3 Page
In this test you can find the Exam questions for Test: Final Accounts- 3 solved & explained in the simplest way possible. Besides giving Questions and answers for Test: Final Accounts- 3, EduRev gives you an ample number of Online tests for practice
Download as PDF

Important Questions for Final Accounts- 3

Find all the important questions for Final Accounts- 3 at EduRev.Get fully prepared for Final Accounts- 3 with EduRev's comprehensive question bank and test resources. Our platform offers a diverse range of question papers covering various topics within the Final Accounts- 3 syllabus. Whether you need to review specific subjects or assess your overall readiness, EduRev has you covered. The questions are designed to challenge you and help you gain confidence in tackling the actual exam. Maximize your chances of success by utilizing EduRev's extensive collection of Final Accounts- 3 resources.

Final Accounts- 3 MCQs with Answers

Prepare for the Final Accounts- 3 within the B Com exam with comprehensive MCQs and answers at EduRev. Our platform offers a wide range of practice papers, question papers, and mock tests to familiarize you with the exam pattern and syllabus. Access the best books, study materials, and notes curated by toppers to enhance your preparation. Stay updated with the exam date and receive expert preparation tips and paper analysis. Visit EduRev's official website today and access a wealth of videos and coaching resources to excel in your exam.

Online Tests for Final Accounts- 3

Practice with a wide array of question papers that follow the exam pattern and syllabus. Our platform offers a user-friendly interface, allowing you to track your progress and identify areas for improvement. Access detailed solutions and explanations for each test to enhance your understanding of concepts. With EduRev's Online Tests, you can build confidence, boost your performance, and ace Final Accounts- 3 with ease. Join thousands of successful students who have benefited from our trusted online resources.
© 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