Accounting Multiple Choice Question – 10 May 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Accounting

The accruals concept…?

Select ONE answer:

  1. applies to revenues and expenses only.
  2. applies to assets and liabilities only.
  3. applies to revenues, expenses, assets, and liabilities.
  4. is not a fundamental accounting concept.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Accounting KS5 classes.

The answer is 3

  1. It is true that the accruals concept applies to revenues and expenses but not exclusively so – it also applies to assets and liabilities.
  2. It is true that the accruals concept applies to assets and liabilities but not exclusively so – it also applies to revenues and expenses.
  3. Correct
  4. The accruals concept is one of the fundamental accounting concepts, that is, those concepts referred to in SSAP 2.

 

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Author: stuart001uk2014

Referral marketing, business, economics and accounting s​pecialist & corporate mentor

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s