Assets which are readily convertible into cash are termed as
Liquid assets
Fixed assets
Intangible assets
Tangible assets
Correct answer is A
Liquid assets are assets that can be converted into cash in a short time, with little or no loss in value. Liquid assets include items such as accounts receivable, demand and time deposits, gilt edged securities.
Bonus
Goodwill
Net profit
Premium
Correct answer is B
When buying or selling a business, goodwill represents the value of the business that is above and beyond the worth of separately identifiable tangible business assets. Unlike physical assets, like buildings or equipment, goodwill is an intangible asset.
Which of the following expenses is apportioned between departments based on sales?
Discount received
Electricity
Carriage inwards
Carriage outwards
Correct answer is D
The following are expenses which can be apportioned between departments based on sales
* Salesman's commission
* Discount allowed
* Bad debts
* Carriage Outwards
* Advertisement
* Packing expenses
* Provision for discount on debtors
* Traveling salesman's salary and commission
The total of the discounts received column in the three column cash book is?
Debited to discounts received account
Credited to discounts received account
Debited to discounts allowed account
Credited to discount allowed account
Correct answer is B
The total of discount column on credit side represents the total cash discount received from suppliers during the period and is posted to the discount received account maintained in the ledger.
Discount allowed is an expense and discount received is an income of the business.
The transfer of money from one sub-head to another in the public sector is
Budgeting
Allocation
Virement
Vote
Correct answer is C
Virement is the transfer of money from one account to another or from one section of a budget to another.