The objective of bookkeeping is the ascertainment of financial position. The users of accounting information work on decisions on the basis of financial stability.

The users use the accounting information for decision making. It is not a part of process of accounting.

Management takes prompt decisions to manage the business efficiently. The management manages the internal affairs of the concern. Hence, it is the internal user. 

A period of 365 days is considered as the accounting period.

Accounting equation is based on the dual aspect concept (debit and credit). Every transaction has a two sided effect.

This is the correct answer. This principle says that a business should not anticipate any profit but provide for all possible losses.

Bookkeeping does not ascertain accounting information. It only provides a basis for ascertaining. Bookkeeping is the primary stage and accounting is the secondary stage.

They are the accounts which relate to individuals. Mohan’s a/c, Shyam’s a/c etc. are a few examples. 

Every transaction has an equal debit and credit effect on assets and/or liabilities. Dual aspect principle is the basis for the Double Entry System of bookkeeping.

A person who gives a benefit without receiving money or money’s worth immediately is a creditor. A creditor is shown as a liability in the balance sheet.

Both the accounts are real accounts. Debit what comes in and credit what goes out.

Stock includes availability of unsold stock at the opening and closing of time intervals.

Personal account deals with the above rule.

Purchases a/c is debited as it is an expense. Cash a/c and bank a/c are credited as payment is made and both the cash and the bank balance are decreasing.

Assets = Capital + Liabilities + Creditors Assets = Rs. 6,00,000 + Rs. 4,00,000 + Rs. 1,50,000 Assets = Rs. 11,50,000