Accountancy Nios plus two II Welcome to your Accountancy Nios plus two II 1. Which of the following is an example of Capital Expenditure? Salaries paid Purchase of machinery Repair of furniture Purchase of raw material None Hint 2. The main purpose of preparing an Income Statement is: To calculate tax To find the value of assets To know the number of employees To ascertain profit or loss None Hint 3. What is the correct accounting equation? Assets = Income – Expenses Capital = Assets + Liabilities Assets = Capital – Liabilities Assets = Liabilities + Capital None Hint 4. Which of the following is not a capital receipt? Sale of old furniture Loan from a bank Sale of goods Capital introduced by the owner None Hint 5. Which of the following is a recurring activity in CAS? Generating reports Creating master files Creating ledger groups Setting organisation name None Hint 6. The nature of capital receipts is: Profit Income Revenue Capital None Hint 7. Revenue Expenditure is usually: Recorded in Balance Sheet Non-recurring Recurring Capital in nature None Hint 8. Which of the following statements is true? Revenue receipts are non-recurring Capital receipts occur frequently Revenue receipts are not recorded in the Profit & Loss Account Capital receipts do not arise from regular business operations None Hint 9. The main purpose of preparing a Trading Account is to: Find out Gross Profit or Gross Loss Determine the financial position Show capital of the business Find out Net Profit None Hint 10. What is the role of ‘Data Audit’ in CAS software? Create financial reports Identify changes and who made them Track expenses Prevent data loss None Hint 11. Gross Profit is calculated as: Cost of Goods Sold – Net Sales Net Sales – Net Purchases Net Sales – Cost of Goods Sold Opening Stock + Purchases None Hint 12. Deferred revenue expenditure: Is ignored while preparing accounts Occurs every month Is an item of liability Gives benefits over a long period None Hint 13. Capital receipts are: Treated as daily income Same as revenue receipts Recorded on the debit side of the Trading Account Not treated as income None Hint 14. Which of the following is not a financial statement? Trading Account Balance Sheet Income Statement Memorandum of Association None Hint 15. Capital Expenditure is shown in the: Notes to Accounts Cash Flow Statement Income Statement Balance Sheet None Hint 16. Revenue Expenditure gives benefit for: Several years No specific time One accounting year Five years None Hint 17. What are financial statements? Reports of marketing activities List of business employees Statements prepared at the end of the accounting period Statements showing future plans of a business None Hint 18. None 19. Capital Receipts are generally: Recorded on debit side of P&L Non-recurring in nature Recurring in nature Earned from daily operations None Hint 20. Revenue receipts are usually: Recurring in nature Not shown in financial statements Treated as capital Non-recurring in nature None Hint 21. Which of the following is included in the Trading Account? Office Rent Wages and Carriage Inward Salaries to Manager Interest Paid None Hint 22. Capital receipts arise from: Rent received from tenants Sale of fixed assets Interest received Sale of goods None Hint 23. Which of the following is a revenue receipt? Amount received from sale of machinery Capital introduced by owner Loan taken from bank Rent received from tenants None Hint 24. The Balance Sheet is also known as: Operational Sheet Revenue Sheet Annual Report Position Statement None Hint 25. Which of the following tasks is performed by CAS software? Booking movie tickets Drawing cartoons Updating customer accounts in Sales Ledger Editing YouTube videos None Hint 26. Revenue receipts are: Considered in calculating income Considered as capital Related to sale of fixed assets Not considered in calculating profit None Hint Time's up Share: admin Previous post Accountancy Nios plus two I September 26, 2025 Next post English NIOS NEW plus two I January 22, 2026
