MCQ Questions Chapter 11 Accounts from Incomplete Records Class 11 Accountancy

Please refer to MCQ Questions Chapter 11 Accounts from Incomplete Records Class 11 Accountancy with answers provided below. These multiple-choice questions have been developed based on the latest NCERT book for class 11 Accountancy issued for the current academic year. We have provided MCQ Questions for Class 11 Accountancy for all chapters on our website. Students should learn the objective based questions for Chapter 11 Accounts from Incomplete Records in Class 11 Accountancy provided below to get more marks in exams.

Chapter 11 Accounts from Incomplete Records MCQ Questions

Please refer to the following Chapter 11 Accounts from Incomplete Records MCQ Questions Class 11 Accountancy with solutions for all important topics in the chapter.

MCQ Questions Answers for Chapter 11 Accounts from Incomplete Records Class 11 Accountancy

Question. Single entry system can only provide …………. degree of …………. as no proper method of accounting is followed in preparation of profit and loss.
(a) low, accuracy
(b) low, record
(c) high, accuracy
(d) high, record

Question. Which among the following transactions will be ignored under single entry system?
(a) Depreciation on fixed asset
(b) Cash paid to acquire a fixed asset
(c) Interest paid on loan
(d) None of these

Question. Closing Capital = ₹ 1,20,000 Drawing was 25% of closing capital Additional capital was ₹ 34,000. Opening capital was ₹ 20,000. What will be the amount of profit?
(a) ₹ 80,000
(b) ₹ 90,000
(c) ₹ 96,000
(d) ₹ 1,20,000

Question. Incomplete record mechanism of book keeping is
(a) scientific
(b) unscientific
(c) unsystematic
(d) Both (b) and (c)

Question. Generally accounts under single entry system are maintained by ……… .
(a) small businesses
(b) company
(c) partnership firm
(d) government undertakings

Question. What are the common objectives between the double entry system and single entry system?
(a) To determine profit/loss during the year
(b) To ascertain amount due from the debtors
(c) To know the financial position of the business
(d) Both (a) and (c)

Question. What will be the opening capital, if drawings are ₹ 15,000, profit for the year ₹ 25,000 and closing capital ₹ 70,000?
(a) ₹ 80,000
(b) ₹ 60,000
(c) ₹ 95,000
(d) ₹ 55,000

Question. Which of the following is not a method of ascertainment of profit or loss under single entry system?
(i) Conversion method
(ii) Net worth method
(iii) Alteration method
(iv) Conservation method
Alternatives
(a) Only (i)
(b) Both (ii) and (iii)
(c) Both (iii) and (iv)
(d) Only (iv)

Question. In single entry system of accounting,
(a) dual aspect of a transaction is recorded
(b) single aspect of transaction is recorded
(c) important transactions are recorded
(d) All of these

Question. Opening capital =₹ 60,000; Drawings =₹ 5,000; Capital added during the year =₹ 10,000;  Closing capital =₹ 90,000. Find profit/loss for the year.
(a) ₹ 15,000
(b) ₹ 25,000
(c) ₹ 18,000
(d) ₹ 10,000

Question. Statement of financial position produced from incomplete accounting record is called ……… .
(a) Balance sheet
(b) Statement of events
(c) Statement of affairs
(d) None of these

Question. Consider the following statements regarding single entry system of accounting and identify correct statement(s).
(i) Only cash transactions and personal accounts are maintained.
(ii) There is huge dependence on original vouchers for determining total credit sales, credit purchases etc.
(iii) Financial position of current year can be easily compared with previous years.
Alternatives
(a) Only (i)
(b) Both (ii) and (iii)
(c) Both (i) and (ii)
(d) All of these

Question. What will be the correct sequence of events under net worth method?
(i) Prepare statement of affairs at the end to calculate closing capital.
(ii) Prepare statement of profit or loss to find profit earned or loss incurred during the year.
(iii) Prepare statement of affairs at the beginning of year for calculating opening capital.
Alternatives
(a) (i), (ii), (iii)
(b) (ii),(iii), (i)
(c) (iii), (ii), (i)
(d) (iii), (i), (ii)

Assertion-Reasoning MCQs :

There are two statements marked as Assertion (A) and Reason (R). Read the statements and choose the appropriate option from the options given below.
(a) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A)
(b) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A)
(c) Both Assertion (A) and Reason (R) are false
(d) Assertion (A) is false, but Reason (R) is true

Question. Assertion (A) Arithmetical accuracy cannot be checked under single entry system.
Reason (R) A trial balance is not prepared under single entry system.

Question. Assertion (A) Single entry system is very expensive mode of maintaining books of accounts.
Reason (R) Specialised accountants are required to maintain accounts under single entry system. 

Question. Assertion (A) Accounts of various organisations are comparable under single entry system.
Reason (R) There is uniformity between books of accounts maintained under single entry system.

Question. Assertion (A) Single entry system is incomplete method of maintaining accounting records.
Reason (R) Both aspects of a transaction i.e., debit and credit are not recorded. 

Case Based MCQs :

Rohan, B.Com Hons. graduate from SRCC, has now started his own business of furniture near Gurugram. His business transactions are very less, therefore he maintains books of accounts on single entry system. As being a commerce graduate, Rohan is maintaining books of accounts himself. 

During the year, he introduced additional capital of ₹ 5,60,000 and withdrew ₹ 2,000 p.m. for household expenses.
At the end of year 31st March, 2021, he noticed few adjustments which are as follows
(a) Provision on debtors created @ 10%.
(b) Building and furniture depreciated by 10% and 5% respectively.
(c) Fire insurance paid in advance ₹ 10,000.
(d) Outstanding salary ₹ 5,000.

Question. What will be the net profit after all adjustments?
(a) ₹ 6,98,400
(b) ₹ 6,88,400
(c) ₹ 6,94,600
(d) None of these

Question. Which of the following will be the amount of closing capital after taking into consideration all adjustments?
(a) ₹ 24,50,100
(b) ₹ 24,47,600
(c) ₹ 21,54,200
(d) ₹ 23,98,600

Question. Amount of opening capital will be ……… .
(a) ₹ 11,99,200
(b) ₹ 10,44,200
(c) ₹ 11,64,200
(d) ₹ 11,29,200 

Question. What is the amount of closing capital before taking into account any of the above adjustments?
(a) ₹ 24,94,100
(b) ₹ 23,98,600
(c) ₹ 24,50,100
(d) ₹ 25,38,100