Basic Terms
Debtors + Bills Receivables
Trade Receivables
Number of accounting rules as per traditional approach?
Three i.e. Personal , Real and Nominal
Records only monetary aspects of accounting
Money measurement concept
____ is debited and _____ is credited when goods purchased on cash.
Purchases and Cash
Name the term which is an art and science also
Accounting
Decrease in the value of fixed tangible assets is called
Depreciation
Number of accounting rules as per modern apprach
Five i.e. Assets, Liabilities, Capital, Revenue and Expenditure
Every account has two sides
Dual aspect concept
____ is debited and _____ is credited when an asset is sold on credit.
Accounting is which stage of accountancy?
Secondary Stage
The person who invest money or money's worth in the business is known as
Proprietor
Decrease in asset is____ and Increase in Liabilities is ____.
Credit Only
Business units last indefinitely
Going concern concept
GST ____ is ____ when there is Purchase Return
Input and Credited
Entering the transactions from journal to ledger is ____ feature of accounting.
Classifying
those assets which don't have any physical form and do not have any value is called as
Fictitious Assets
Classify Bank overdraft according to traditional & modern approach
Personal account and Liabilities account
Anticipate no profits and provide for all possible losses
Prudence concept
Cash withdrawn for official use. Journal entry will be
Cash a/c Dr.
To Bank a/c
Preparation of Trial Balance , Profit & Loss, and Balance sheet is the ____ feature of accounting.
Summarizing
Ledger record in a summarized form is called as
Account
Capital withdrawn for personal use. here Drawings is debited and Cash is credited because
Debit: decrease in capital & Credit decrease in assets
Financial statements should show all material information, which is required by the proprietor
Full Disclosure Concept
Cheque of Shyam dishonored by bank. Journal Entry will be
Shyam a/c Dr.
To Bank a/c
The Process of manipulating accounts to show a better position of the business is called as
Window Dressing