Do you need some help in preparing for your upcoming Accounting exam? We’ve compiled a list of MCQ Questions for Class 11 Accountancy with Answers to get you started with the subject, Introduction to Accounting Class 11 MCQs Questions with Answers. You can download NCERT MCQ Questions for Class 11 Accountancy Chapter 1 Introduction to Accounting with Answers Pdf free download and learn how smart students prepare well ahead. So, ace up your preparation with MCQ on Introduction to Accounting Class 11 Objective Questions.
Introduction to Accounting Class 11 MCQs Questions with Answers
Question 1.
Which of the following is not a business transaction?
(a) Bought furniture of Rs. 10,000 for business
(b) Paid for salaries of employees Rs. 5,000
(c) Paid sons fees from her personal bank account Rs. 20,000
(d) Paid sons fees from the business Rs. 2,000
Answer
Answer: (c) Paid sons fees from her personal bank account Rs. 20,000
Question 2.
Deepti wants to buy a building for her business today. Which of the following is the relevant data for his decision?
(a) Similar business acquired the required building in 2000 for Rs. 10,00,000
(b) Building cost details of 2003
(c) Building cost details of 1998
(d) Similar building cost in August, 2005 Rs. 25,00,000
Answer
Answer: (a) Similar business acquired the required building in 2000 for Rs. 10,00,000
Question 3.
Which is the last step of accounting as a process of information?
(a) Recording of data in the books of accounts
(b) Preparation of summaries in the form of financial statements
(c) Communication of information
(d) Analysis and interpretation of information
Answer
Answer: (c) Communication of information
Question 4.
Which qualitative characteristics of accounting information is reflected when accounting information is clearly presented?
(a) Understandability
(b) Relevance
(c) Comparability
(d) Reliability
Answer
Answer: (a) Understandability
Question 5.
Use of common unit of measurement and common format of reporting promotes
(a) Comparability
(b) Understandability
(c) Relevance
(d) Reliability
Answer
Answer: (a) Comparability
Complete the following sentences with appropriate words
Question 1.
Information in financial reports’is based on ……………. transactions.
Answer
Answer: economic
Question 2.
Internal users are the ……………… of the business entity.
Answer
Answer: management/employees
Question 3.
A ………………. would most likely use an entities financial report to determine whether or not the business entity is eligible for a loan.
Answer
Answer: creditor
Question 4.
The Internet has assisted in decreasing the ………………… in issuing financial reports to users.
Answer
Answer: time-gap
Question 5.
………………….. users are groups outside the business entity, who uses the information to make decisions about the business entity.
Answer
Answer: external
Question 6.
Information is said to be relevant if it is ……………….
Answer
Answer: free from bias
Question 7.
The process of accounting starts with …………….. and ends with ……………….
Answer
Answer: identifying the transactions, communicating information
Question 8.
Accounting measures the business transactions in terms of ……………….. units.
Answer
Answer: monetary
Question 9.
Identified and measured economic events should be recording in ……………….. order.
Answer
Answer: chronological
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