FPSC Accounts Audit Finance MCQs

internal control is the term that matches the description: a process designed to support reliable reporting, operations and compliance

cash flow statement refers to a statement of cash inflows and outflows by activity

trial balance refers to a list of ledger balances used to check debit–credit equality

materiality refers to the significance of information to users’ decisions

current ratio is the term that matches the description: current assets divided by current liabilities

debit refers to the left side of a ledger account

direct tax is the term that matches the description: a tax imposed directly on income, wealth or profits

capital budget refers to budgeting for long-term assets and development expenditure

balance sheet is the term that matches the description: a statement of assets, liabilities and equity at a point in time

5% of 180 = 5/100 × 180 = 9.

20% of 260 = 20/100 × 260 = 52.

asset refers to a resource controlled by an entity that is expected to provide future benefit