Author name: Administrator

2229. While prospecting for selling insurance, approaching the members of a caste or community association will be classified under which of the following?

Immediate group
Natural market
Centers of influence
References and introductions
✅ The correct answer is B.
The easiest people to approach would be one’s family and friends. Also, relatively easy to approach are people with whom we do business; people who work in the food stores, clothing stores, banks, etc. Other such people would be those who know us such as friends, acquaintances, people who belong to the same organisations and so forth. To sum up, these prospects form part of what we call the sales person’s natural market.

2231. An act of making sure, that all employees must understand goals is classified as

coordination
communication
annual profit plan
budgeting
✅ The correct answer is B.
An act of making sure, that all employees must understand goals is classified as communication. Communication is simply the act of transferring information from one place, person or group to another. Every communication involves (at least) one sender, a message and a recipient.

2201. Which of the following is the expression for operating leverage?

Contribution/EBIT
EBT/Contribution
Contribution/EAT
Contribution/Quantity
✅ The correct answer is A.
Contribution/EBIT is the expression for operating leverage. Operating leverage is a cost-accounting formula that measures the degree to which a firm or project can increase operating income by increasing revenue.

212. Accounting is the process of matching

Benefits and costs
Revenues and costs
Cash inflows and outflows
Potential and real performance
✅ The correct answer is B.
Accounting is the process of matching Revenues and costs. The matching concept is an accounting practice whereby firms recognize revenues and their related expenses in the same accounting period. Firms report “revenues,” that is, along with the “expenses” that brought them.

2207. Value of sales considers sales value at split off method is of

entire direct material of accounting period
entire production of accounting period
portion of production of accounting period
entire indirect material of accounting period
✅ The correct answer is B.
Value of sales considers sales value at split off method is of entire production of accounting period. The split-off point is the point at which joint production stops and processing for separate products begins. The relative-sales-value method allocates costs based on the relative sales value of each resulting from a joint-production process.

207. Suspense account given in the trial balance will be entered in the

Manufacturing account
Balance sheet
Trading account
Profit and loss account
✅ The correct answer is B.
Suspense account given in the trial balance will be entered in the Balance sheet. If the Trial Balance does not agree, the difference is put to Suspense A/c. Suspense A/c on credit side of Trial Balance will be entered on the liabilities side of Balance Sheet. Suspense A/c on debit side of Trial Balance will be entered on the assets side of Balance Sheet.

208. The real accounts are accounts of Assets, Liabilities and

Expenses
Revenues
Capital
Drawing
✅ The correct answer is C.
The real accounts are accounts of Assets, Liabilities and Capital. The accounting formula essentially shows that what the firm owns (its assets) is purchased by either what it owes (its liabilities) or by what its owners invest (its shareholders equity or capital).

2211. Who protects system from external threats?

firewall
EDI
ERP
Script kiddies
✅ The correct answer is A.
Firewall protects system from external threats. A firewall typically establishes a barrier between a trusted internal network and untrusted external network, such as the Internet.
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