Q48. A liability arises because of:
(1) Cash transaction
(2) Credit transaction
(3) Cash and credit transaction
(4) None of the options
Answer
Credit transaction
Related Questions on Theory Base of Accounting
Q49.Which one of the following statement is correct?
(1) Income = Expenses – Revenue.
(2) Income = Revenue Expenses.
(3) Income= Profits – Expenses.
(4) Expenses = Income – Revenue.
Answer
Income = Revenue Expenses.
Q50. The sum of Liabilities and Capital is-
(1) Income
(2) Expense
(3) Assets.
(4) Drawings
Answer
Assets.