Subject: Financial Accounting Principles

Select correct answer of all parts with reason:

1. ____________ is the example of Liabilities.

(a) Sales

(b) Supplies in Hand

(c) Account Receivables

(d) Unearned Commission

1. Revenue minus expenses equals ___

(a) Profit

(b) Sales

(c) Cost of Goods Sold

(d) Loss

2. "The business is in Loss, when ___"

(a) Revenue exceeds Expenditure

(b) Assets exceed Liabilities

(c) Expenses exceed Sales

(d) Expenses exceed Other Income

3. Purchases of stationary will be debited to __

(a) General Expenses

(b) Stationary Account

(c) Purchases Account

(d) None of the Above

4.Supplies in hand would be classified as ___.

(a) Expenses

(b) Capital

(c) Assets

(d) Revenue

Note: Required accurate answer please go through carefully.