Correct Answer:
D. Complete omission of a transaction from the books
If both sides of a transaction are omitted, debits still equal credits.
November 13, 2026 · Accounting and Finance MCQs, Financial Accounting MCQs
Which of the following errors will NOT be disclosed by a trial balance?
Related MCQs
Subsidies are best defined as:
A.
Taxes imposed on producers
B.
Payments by the government to producers or consumers to reduce the price or cost of goods and services
C.
Penalties on consumers
D.
Loans from abroad
Correct answer is:
B. Payments by the government to producers or consumers to reduce the price or cost of goods and services
Do you agree with this answer?
Under the weighted average cost method, the cost per unit is calculated as:
A.
The cost of the latest purchase
B.
The cost of the oldest purchase
C.
Total cost of goods available divided by total units available
D.
The selling price less profit
Correct answer is:
C. Total cost of goods available divided by total units available
Do you agree with this answer?
Compared with an external auditor, an internal auditor is mainly:
A.
An employee or function inside the entity that evaluates risk management, control and governance
B.
Appointed by the tax authority to check returns
C.
Responsible for giving an opinion to shareholders
D.
Prohibited from reporting to the audit committee
Correct answer is:
A. An employee or function inside the entity that evaluates risk management, control and governance
Do you agree with this answer?
Net income is Rs. 500,000, preference dividends are Rs. 50,000 and weighted average ordinary shares are 100,000. Earnings per share (EPS) is:
A.
Rs. 4.50
B.
Rs. 5.00
C.
Rs. 5.50
D.
Rs. 450
Correct answer is:
A. Rs. 4.50
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Observation of the client's physical inventory count mainly provides evidence of:
A.
Ownership of inventory
B.
Valuation of inventory at net realizable value
C.
Fraud in payroll
D.
Existence of inventory
Correct answer is:
D. Existence of inventory
Do you agree with this answer?
An example of an indirect tax is:
A.
Income tax
B.
Wealth tax
C.
Sales tax
D.
Property tax on owner
Correct answer is:
C. Sales tax
Do you agree with this answer?
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