R and S are partners sharing profits in the ratio of 5 : 3. T joins the firm as a new partner. R given 4 1 th 5 2 th
A. 15 : 01 : 26
B. 75 : 36 : 49
C. 25 : 15 : 26
D. 20 : 9 : 11
Select an option to see the answer and solution.
According to AS-3 Cash Flow Statement is mandatory to
A. all enterprises
B. companies listed on stock exchange
C. enterprises having turnover exceeding Rs. 50 crores
D. both B and C
Select an option to see the answer and solution.
Who among the following is a bear operator?
A. A stock broker who sells shares now and buys the same shares later
B. An investor who expects the price of a security or that of the whole securities market to rise
C. An investor who sells securities anticipation of being able to repurchase them later at a lower price
D. A broker who indulges in rigging of share prices
Select an option to see the answer and solution.
Charging a period for the proportionate cost of an Intangible asset is termed as:
A. depreciation
B. diminution
C. amortisation
D. expiration
Select an option to see the answer and solution.
Donation received for a specific purpose:
A. should be credited to a separate account and shown on the liabilities side of the balance sheet
B. should be credited to income and expenditure account
C. should not be recorded at all
D. should be debited to income and expenditure account
Select an option to see the answer and solution.
One of the major difficulties in improving the industrial efficiency in enterprises is
A. low investment
B. low productivity
C. ineffective marketing
D. poor inventory control
Select an option to see the answer and solution.
The discount on re-issue of forfeited shares is debited to . . . . . . . . a/c.
A. share capital
B. shares forfeited
C. bank
D. discount on issue of shares
Select an option to see the answer and solution.
The excess of current assets over current liabilities is called . . . . . . . .
A. Net tangible worth
B. Networth
C. Gross working capital
D. Net working capital
Select an option to see the answer and solution.
Companies may issue debentures as security against loans taken from banks/financial institutions.
A. principal
B. primary
C. collateral
D. chargeable
Select an option to see the answer and solution.
Which of the following is an accounting equation?
A. Assets - Capital - Liabilities
B. Capital - Assets - Liabilities
C. Assets - Liabilities - Capital
D. Liabilities - Assets - Capital
Select an option to see the answer and solution.
Any amount received towards endowment fund is a . . . . . . . . receipt.
A. Ordinary
B. Special
C. Revenue
D. Capital
Select an option to see the answer and solution.
Which of the following errors is revealed by trial balance?
A. Wrong amount entered in the book of original entry
B. Wrong amount entered in a ledger account
C. Complete omission of an entry from the book of original entry
D. All of these
Select an option to see the answer and solution.
Consistency with reference to application of accounting principles refers to the fact that:
A. Companies in the same industry use identical accounting procedures and methods, and are consistent
B. Income and assets have not been over stated
C. Accounting methods and procedures used have been consistently applied from year to year
D. All methods and procedures have been utilised
Select an option to see the answer and solution.
If some goods from business are given away as charity to a particular person or institution, it should be . . . . . . . .
A. debited to charity account
B. credited to charity account
C. debit sales account
D. debit to donation account
Select an option to see the answer and solution.
Generally, under single entry system:
A. only personal accounts are maintained
B. only personal, cash and bank accounts are maintained
C. all accounts are maintained
D. no account is maintained
Select an option to see the answer and solution.
While making an adjustment entry in respect of interest on capital, credit is made to:
A. Capital account
B. Interest on capital account
C. Profit & loss account
D. Interest account
Select an option to see the answer and solution.
. . . . . . . . supplies the management significant information in order to assist the management to discharge its various functions such as planning, control and decision making.
A. Financial accounting
B. Cost accounting
C. Management account
D. Human resource accounting
Select an option to see the answer and solution.
The distinction between capital and revenue is necessary for the preparation of . . . . . . . .
A. fund flow statement
B. receipts and payment account
C. final accounts
D. cash flow statement
Select an option to see the answer and solution.
Cost of goods sold - Rs. 13,300, Gross Profit - Rs. 3,200, Netprofit - Rs. 700, what is the amount of sales?
A. Rs. 14,000
B. Rs. 10,100
C. Rs. 16,500
D. Rs. 17,200
Select an option to see the answer and solution.
Match
List-I (Items) with
List-II (Standards) and select the correct answer using the options given below the lists:
List-I (Items)List-II (Standards)
a. Accounting for fixed assets
1. AS-9
b. Revenue recognition
2. AS-10
c. Depreciation accounting
3. AS-3
d. Cash flow statement
4. AS-6
A. a-2, b-3, c-4, d-1
B. a-4, b-1, c-2, d-3
C. a-2, b-1, c-4, d-3
D. a-4, b-3, c-2, d-1
Select an option to see the answer and solution.
