#141

Which day of the week was 14/6/2026?

(a) Wednesday

(b) Monday

(c) Sunday

(d) Tuesday

Explanation: Step-by-step solution: 1. Use Zeller's congruence to compute the day of the week. 2. After substituting the values, remainder corresponds to Sunday. 3. Therefore, 14/6/2026 fell on a Sunday.

#142

Which day of the week was 21/3/2026?

(a) Monday

(b) Tuesday

(c) Saturday

(d) Wednesday

Explanation: Step-by-step solution: 1. Use Zeller's congruence to compute the day of the week. 2. After substituting the values, remainder corresponds to Saturday. 3. Therefore, 21/3/2026 fell on a Saturday.

#143

Which day of the week was 21/7/2026?

(a) Wednesday

(b) Tuesday

(c) Monday

(d) Thursday

Explanation: Step-by-step solution: 1. Use Zeller's congruence to compute the day of the week. 2. After substituting the values, remainder corresponds to Tuesday. 3. Therefore, 21/7/2026 fell on a Tuesday.

#144

Which day of the week was 21/11/2026?

(a) Wednesday

(b) Monday

(c) Saturday

(d) Tuesday

Explanation: Step-by-step solution: 1. Use Zeller's congruence to compute the day of the week. 2. After substituting the values, remainder corresponds to Saturday. 3. Therefore, 21/11/2026 fell on a Saturday.

#145

Which day of the week was 28/8/2026?

(a) Monday

(b) Wednesday

(c) Friday

(d) Tuesday

Explanation: Step-by-step solution: 1. Use Zeller's congruence to compute the day of the week. 2. After substituting the values, remainder corresponds to Friday. 3. Therefore, 28/8/2026 fell on a Friday.

#146

Which day of the week was 28/4/2026?

(a) Thursday

(b) Wednesday

(c) Tuesday

(d) Monday

Explanation: Step-by-step solution: 1. Use Zeller's congruence to compute the day of the week. 2. After substituting the values, remainder corresponds to Tuesday. 3. Therefore, 28/4/2026 fell on a Tuesday.

#147

Which day of the week was 7/9/2026?

(a) Monday

(b) Tuesday

(c) Thursday

(d) Wednesday

Explanation: Step-by-step solution: 1. Use Zeller's congruence to compute the day of the week. 2. After substituting the values, remainder corresponds to Monday. 3. Therefore, 7/9/2026 fell on a Monday.

#148

If a business pays rent quarterly at $1,200, with an opening accrual of $800 on January 1, 2018, and payments of $2,000, $1,200, and $1,200 made during the year, what amount should be debited to the Income Statement for the year ended December 31, 2018?

(a) $5 600

(b) $4 800

(c) $3 600

(d) $4 400

Explanation: The Income Statement must reflect the rent expense incurred during the current accounting period, regardless of cash payments. Since the rent is $1,200 per quarter, the annual expense is $1,200 multiplied by 4 quarters, totaling $4,800. Accruals and prepayments adjust the cash paid to arrive at this accrual-based expense figure.

#149

Calculate the maturity date for a three-month Bill of Exchange drawn on January 1, 2013, for 10,000.

(a) 4-4-2013

(b) 31-3-2013

(c) 1-4-2013

(d) 3-4-2013

Explanation: The maturity date is determined by adding the three-month term to the drawing date, which results in April 1, 2013. According to the Negotiable Instruments Act, three days of grace are added to the nominal due date. Therefore, April 1 plus three days of grace equals April 4, 2013.

#150

A drama club pays $4,500 in rent during 2018. If the annual rent is $3,600 and $300 was accrued on 1 January 2018, what amount is recorded in the Receipts and Payments account?

(a) called up share capital

(b) issued capital plus loan capital

(c) capital the company is allowed to raise

(d) paid up share capital

Explanation: The Receipts and Payments account records actual cash movements. The question asks for the amount paid, which is $4,500. However, the provided options appear to refer to authorized share capital definitions, suggesting a mismatch between the question and the provided answer key. Reviewing the source answer cautiously, it seems to be a placeholder error.

#151

An asset was acquired on January 1, 20X3, for £5,500. Using the reducing balance method at a rate of 20% per annum, what is the net book value as of December 31, 20X5?

(a) £2,816

(b) £2,200

(c) £3,520

(d) £3,300

Explanation: To calculate the book value after three years: Year 1: £5,500 * 0.8 = £4,400. Year 2: £4,400 * 0.8 = £3,520. Year 3: £3,520 * 0.8 = £2,816. The reducing balance method applies the depreciation rate to the remaining book value each year, resulting in a final book value of £2,816 after three full years of depreciation.

#152

On January 1, 2009, a business acquired premises using a bank loan repayable in ten years. How does this transaction affect the balance sheet on the date of acquisition?

(a) increased non-current assets, decreased current liabilities

(b) increased non-current assets, increased current liabilities

(c) increased non-current assets, increased non-current liabilities

(d) decreased non-current assets, increased non-current liabilities

Explanation: The purchase of premises increases the business's non-current assets. Since the loan is repayable in ten years, it is classified as a long-term or non-current liability. Thus, the transaction results in an increase in both non-current assets and non-current liabilities, maintaining the balance sheet equation.

#153

A business reported a working capital of $6,000 on January 31. On February 2, trade receivables paid $1,150 to settle debts of $1,200, and damaged inventory costing $200 was written off. Calculate the working capital at the close of business on February 2.

(a) $7,150

(b) $4,600

(c) $6,950

(d) $5,750

Explanation: Working capital is Current Assets minus Current Liabilities. The cash receipt of $1,150 increases cash but decreases receivables by $1,200, resulting in a net decrease of $50 in current assets. The $50 discount allowed is an expense reducing equity, not affecting current assets/liabilities. Writing off $200 inventory reduces current assets by $200. Total reduction: $50 + $200 = $250. $6,000 - $250 = $5,750.

#154

A business reports a working capital of $6,000 as of January 31. On February 2, trade receivables pay $1,150 to settle debts of $1,200, and damaged inventory costing $200 is written off. Calculate the working capital at the close of business on February 2.

(a) $6 950

(b) $7 150

(c) $4 600

(d) $5 750

Explanation: Working capital is Current Assets minus Current Liabilities. The receipt of $1,150 cash increases cash (current asset) but decreases trade receivables (current asset) by the same amount, resulting in no net change. The $50 discount allowed reduces current assets. The $200 inventory write-off reduces current assets. Thus, $6,000 - $50 - $200 = $5,750.

#155

Calculate the closing balance of the debtors account as of December 31, 2012, given an opening balance of $2,000 on January 1, 2012, credit sales of $1,000, and total cash receipts from debtors of $1,500.

(a) 2000

(b) 1500

(c) 1000

(d) 500

Explanation: The closing balance of debtors is calculated by taking the opening balance, adding credit sales, and subtracting cash received. Here, $2,000 (opening) + $1,000 (sales) - $1,500 (receipts) equals $1,500. This reflects the net amount still owed by customers at the end of the accounting period.

#156

On January 1, 2009, a business acquired premises using a bank loan repayable in ten years. How does this transaction affect the balance sheet on the date of acquisition?

(a) increased non-current assets, decreased current liabilities

(b) increased non-current assets, increased current liabilities

(c) increased non-current assets, increased non-current liabilities

(d) decreased non-current assets, increased non-current liabilities

Explanation: The purchase of premises increases the business's non-current assets. Since the loan is repayable in ten years, it is classified as a long-term or non-current liability. Thus, the transaction results in an increase in both non-current assets and non-current liabilities, maintaining the balance sheet equation.

#157

On January 1, 2012, X drew a bill of exchange for Rs. 20,000 on Y, payable in three months. X discounted this bill with a bank for Rs. 19,900. If the bill is dishonored on the due date, what amount should be credited to the bank account in X's books?

(a) Rs. 19,900

(b) Rs. 20,000

(c) Rs. 20,100

(d) Rs. 19,800

Explanation: When a discounted bill is dishonored, the drawer (X) becomes liable to the bank for the full face value of the bill, including any noting charges if applicable. Since the bank paid the drawer the discounted amount earlier, upon dishonor, the bank recovers the full maturity value from the drawer. Therefore, the bank account is credited with the full face value of Rs. 20,000 to reflect the total liability settled.

#158

A plant was purchased on January 1, 1999, and depreciated at 12% per annum using the diminishing balance method. If the book value on March 31, 2001, was Rs. 1,50,234, what was the original cost on January 1, 1999?

(a) Rs. 2,00,000

(b) None of the above

(c) Rs. 1,90,000

(d) Rs. 1,80,000

Explanation: Using the diminishing balance formula: Book Value = Cost * (1 - r)^n. Here, n = 2.25 years (from Jan 1, 1999 to March 31, 2001). Calculating backwards from Rs. 1,50,234 at a 12% rate confirms the initial cost was Rs. 2,00,000.

#159

A machine was purchased on January 1, 1998, for Rs. 100,000 with a residual value of Rs. 5,000. Given a revised estimated useful life of 8 years, what is the annual depreciation charge using the straight-line method?

(a) Rs. 9,500

(b) Rs. 11,875

(c) Rs. 13,300

(d) Rs. 12,500

Explanation: Under the straight-line method, annual depreciation is calculated by subtracting the residual value from the cost of the asset and dividing the result by the useful life. Here, (100,000 - 5,000) / 8 = 95,000 / 8 = 11,875. This calculation ensures the asset's book value is systematically reduced to its salvage value over the remaining useful life.

#160

A machine was acquired on January 1, 2001, for Rs. 100,000. Depreciation is applied at 10% per annum using the diminishing balance method. Calculate the depreciation expense to be recorded in the profit and loss account for the year ending December 31, 2004.

(a) Rs. 10,000

(b) Rs. 8,100

(c) Rs. 20,000

(d) Rs. 7,290

Explanation: Under the diminishing balance method, depreciation is calculated on the written-down value. Year 1: 100,000 * 10% = 10,000 (Value: 90,000). Year 2: 90,000 * 10% = 9,000 (Value: 81,000). Year 3: 81,000 * 10% = 8,100 (Value: 72,900). Year 4: 72,900 * 10% = 7,290. Thus, the depreciation for the fourth year is Rs. 7,290.

January 2026 Current Affairs MCQs & Solutions

Which day of the week was 14/6/2026?

Which day of the week was 21/3/2026?

Which day of the week was 21/7/2026?

Which day of the week was 21/11/2026?

Which day of the week was 28/8/2026?

Which day of the week was 28/4/2026?

Which day of the week was 7/9/2026?

If a business pays rent quarterly at $1,200, with an opening accrual of $800 on January 1, 2018, and payments of $2,000, $1,200, and $1,200 made during the year, what amount should be debited to the Income Statement for the year ended December 31, 2018?

Calculate the maturity date for a three-month Bill of Exchange drawn on January 1, 2013, for 10,000.

A drama club pays $4,500 in rent during 2018. If the annual rent is $3,600 and $300 was accrued on 1 January 2018, what amount is recorded in the Receipts and Payments account?

An asset was acquired on January 1, 20X3, for £5,500. Using the reducing balance method at a rate of 20% per annum, what is the net book value as of December 31, 20X5?

On January 1, 2009, a business acquired premises using a bank loan repayable in ten years. How does this transaction affect the balance sheet on the date of acquisition?

A business reported a working capital of $6,000 on January 31. On February 2, trade receivables paid $1,150 to settle debts of $1,200, and damaged inventory costing $200 was written off. Calculate the working capital at the close of business on February 2.

A business reports a working capital of $6,000 as of January 31. On February 2, trade receivables pay $1,150 to settle debts of $1,200, and damaged inventory costing $200 is written off. Calculate the working capital at the close of business on February 2.

Calculate the closing balance of the debtors account as of December 31, 2012, given an opening balance of $2,000 on January 1, 2012, credit sales of $1,000, and total cash receipts from debtors of $1,500.

On January 1, 2009, a business acquired premises using a bank loan repayable in ten years. How does this transaction affect the balance sheet on the date of acquisition?

On January 1, 2012, X drew a bill of exchange for Rs. 20,000 on Y, payable in three months. X discounted this bill with a bank for Rs. 19,900. If the bill is dishonored on the due date, what amount should be credited to the bank account in X's books?

A plant was purchased on January 1, 1999, and depreciated at 12% per annum using the diminishing balance method. If the book value on March 31, 2001, was Rs. 1,50,234, what was the original cost on January 1, 1999?

A machine was purchased on January 1, 1998, for Rs. 100,000 with a residual value of Rs. 5,000. Given a revised estimated useful life of 8 years, what is the annual depreciation charge using the straight-line method?

A machine was acquired on January 1, 2001, for Rs. 100,000. Depreciation is applied at 10% per annum using the diminishing balance method. Calculate the depreciation expense to be recorded in the profit and loss account for the year ending December 31, 2004.