HTET Solved Question Paper haminpur.com
1. Which of the following is not the functions of Financial Accountancy
(A). Recording Transaction
(B). Making profit and loss account
(C). To know the financial position
(D). To prepare budget
Right Answer:
2. Book Keeping is
(A). To write business transactions in specific books
(B). To record in the books of specific principles
(C). To write monetary values of transaction
(D). All of the above
Right Answer:
3. Which of the following is not kept in single entry system
(A). Cash Account
(B). Asset Account
(C). Personal Account
(D). Bank Account
Right Answer:
4. Which one is not the objective of Book keeping
(A). To know the number of workers
(B). To ascertain profit and loss
(C). vkfFkZd fLFkfr Kkr djuk To ascertain financial position
(D). udn fLFkfr Kkr djuk To ascertain cash position
Right Answer:
5. Drawing means
(A). To invest money in business
(B). Art
(C). To withdraw money from business
(D). Withdraw money from bank
Right Answer:
6. Book Keeping is
(A). An art
(B). A Science
(C). Art and Science Both
(D). Neither Art nor Science
Right Answer:
7. Book Keeping is useful in
(A). A sole trade
(B). A firm
(C). A company
(D). All forms of Business
Right Answer:
8. Trade discount is
(A). Debited and
(B). Credited
(C). Both
(D). No entry is formed
Right Answer:
9. Dead Stock includes
(A). Only land
(B). Only building
(C). Only furniture
(D). All fixed assets
Right Answer:
10. Capital + Liabilities =
(A). Asset
(B). Fixed Asset
(C). Long term Loan
(D). Loan
Right Answer:
11. Cash discount is given
(A). To sell in huge quantity
(B). To receive quickly
(C). To increase sales
(D). To reduce the price
Right Answer:
12. Lucas Pacioli invented double entry system in
(A). 1494
(B). 1594
(C). 1694
(D). 1794
Right Answer:
13. In double entry system opening book of entry is known as
(A). Journal
(B). General
(C). Stock Register
(D). Pass Book
Right Answer:
14. Which one is incorrect
(A). Credit what goes out
(B). Debit the gains
(C). Debit the receiver
(D). Credit the profit
Right Answer:
15. If one purchases goods of Rs. 2000 at a trade discount of 10% then
(A). Purchase account will be debited with Rs. 2000
(B). Purchase account will be debited with Rs. 1800
(C). Discount account will be credited with Rs. 200
(D). Purchaser's account will be debited with Rs. 1800
Right Answer:
16. Capital account comes under
(A). Separate business entity concept
(B). Accounting period concept
(C). Accrual concept
(D). Realisation concept
Right Answer:
17. Nominal account are kept as per which concept
(A). Separate business entity
(B). Accounting period
(C). Capital
(D). Dual aspect
Right Answer:
18. Goods purchased in cash from Mr. A then
(A). Cash a/c will be credited
(B). A's a/c will be credited
(C). Purchase a/c will be credited
(D). Cash a/c will be debited
Right Answer:
19. In case of purchase return what a/c will be credited
(A). Purchase
(B). Sales
(C). Purchase Return
(D). Sellers
Right Answer:
20. Goods used by owner for private purpose will be treated as
(A). Drawing
(B). Sales
(C). Purchase Return
(D). Stock
Right Answer:
21. Salary paid to owner is
(A). Salary
(B). Wages
(C). Drawing
(D). Expense
Right Answer:
22. Loss of stock due to fire will be
(A). Credited in trading a/c or and
(B). Deducted from Purchase a/c
(C). Either
(D). Both
Right Answer:
23. Cost price or market price whichever is less is for
(A). Stock Valuation
(B). Land Valuation
(C). Debtors
(D). All assets
Right Answer:
24. Contra Entry is made in
(A). Purchase Book
(B). Cash Book
(C). Journal
(D). Pass Book
Right Answer:
25. Cheque issued will be credited
(A). At the time of issue
(B). After 7 days
(C). After payment
(D). At the time of reconciliation
Right Answer:
26. A cheque received from A and endorsed to B will be written in
(A). Cash Column of Cash Book
(B). Bank Column of Cash Book
(C). Contra side of Cash Book
(D). None of the above
Right Answer:
27. While reconciling debit balance of bank column in cash book with pass book
(A). Cheque issued but not paid will be added
(B). Cheque issued but not paid will be deducted
(C). Cheque deposited but not collected will be added
(D). Amount directly deposited will be deducted
Right Answer:
28. In Sales Book we write
(A). All Sales
(B). Only Credit Sales
(C). Only cash sales
(D). Sales and sales returns
Right Answer:
29. Trial balance is prepared
(A). To know the balance of any account
(B). To know the completeness of double entry
(C). To know the arithmetic accuracy of accounts
(D). All of the above
Right Answer:
30. Suspense account is shown in
(A). Trading Account
(B). Profit and loss account
(C). Balance Sheet
(D). not shown anywhere
Right Answer:
31. Discounting of bill means
(A). Discounting from bank
(B). Discounting from market
(C). Discounting from customer
(D). Selling goods at discount
Right Answer:
32. Retiring of bill means
(A). To return the bill
(B). To pay on maturity
(C). To pay after maturity
(D). To pay before maturity
Right Answer:
33. A bill drawn without consideration is known as
(A). Ordinary bill
(B). Accommodation bill
(C). Endorsement of bill
(D). Bill for collection
Right Answer:
34. Depreciation account is debited in
(A). Trading account
(B). Profit and loss account
(C). Asset account
(D). Profit and loss appropriation account
Right Answer:
35. Which one of the following is not subject of Depreciation
(A). Land
(B). Building
(C). Machinery
(D). Furniture
Right Answer:
36. Dividend is shown in
(A). Trading account
(B). Profit (-) loss account
(C). Manufacturing account
(D). Profit and loss appropriation account
Right Answer:
37. Goods supplied on sales or return is shown on
(A). Sales
(B). Purchase
(C). Sales Return
(D). Closing Stock
Right Answer:
38. Which of the following is/are shown in trading account
(A). Credit Purchase
(B). Credit Sales
(C). Stock
(D). All of the above
Right Answer:
39. Balance sheet shows financial position on a specific
(A). Date
(B). Month
(C). Six Months
(D). Year
Right Answer:
40. Balance Sheet is prepared on the basis of
(A). Cost Concept
(B). Separate trade Concept
(C). Accounting Period Concept
(D). Realisation Concept
Right Answer:
41. If a person wants to earn 20% profit on sales it would be
(A). 25% of cost
(B). 20% of cost
(C). 30% of cost
(D). 40% of cost
Right Answer:
42. Contingent liabilities are shown in
(A). Trading Account
(B). Profit and Loss Account
(C). Balance Sheet
(D). Below Balance Sheet
Right Answer:
43. Legal expenses on Land is a
(A). Capital expense
(B). Revenue expense
(C). Deferred revenue expense
(D). None of the above
Right Answer:
44. Revenue expense which is changed in more than one year is known as
(A). Revenue Expense
(B). Capital Expense
(C). Deferred Revenue Expense
(D). Not treated as Expense
Right Answer:
45. An expenses of Rs. 1,00,000 on a hoording for 3 years is a
(A). Revenue expense
(B). Capital Expense
(C). Deferred revenue expence
(D). Asset
Right Answer:
46. If manager is paid Commission of 10% on net profit this will be how much on profit before commission
(A). 10%
(B). 11.11%
(C). 15%
(D). 20%
Right Answer:
47. Prepaid expense is
(A). Expense
(B). Income
(C). Asset
(D). Liability
Right Answer:
48. If invoice is received but goods not, then
(A). It is treated as purchase
(B). It is treated as stock
(C). It is treated as suspense
(D). It is not treated at all
Right Answer:
49. Provision for discount on Debtors is created on
(A). Total Debtors -
(B). Bad Debts -
(C). Doubtful debt
(D). Above
Right Answer:
50. Cost of Goods sold =
(A). Cost of Purchase -
(B). Cost of Opening Stock -
(C). Cost of Closing Stock
(D). Above
Right Answer:
51. Purpose of interpretation of account is
(A). To ascertain financial strength and
(B). To ascertain financial weakness
(C). To identify the causes of
(D). All of the above
Right Answer:
52. Which one is not a function of Interpretation of financial Statement
(A). Trend Study
(B). Budgeting
(C). Reclassification
(D). Approximation of data
Right Answer:
53. Which one of the following is a technique of Analysis of financial statement
(A). Cash flow statement
(B). Marginal Cost Analysis
(C). Variance analysis
(D). All of the above
Right Answer:
54. Cost of Sales + Operating Exps. × 100 = Sales
(A). Profit Ratio
(B). Operating Ratio
(C). Sales Ratio
(D). Payout Ratio
Right Answer:
55. Payout ratio related to
(A). Dividend
(B). Cash
(C). Expenses
(D). Salary
Right Answer:
56. Market Price per share = Earning per share
(A). Market price ratio
(B). Price earning ratio
(C). Share earning ratio
(D). Market earning ratio
Right Answer:
57. For Inventory Turnover ratio we consider
(A). Cost of Goods Sold
(B). Total Cost
(C). Value of Goods sold
(D). Total Sales
Right Answer:
58. In asset turnover ratio we see
(A). How much asset to sell
(B). The relationship with asset and net sale
(C). Sale price of asset
(D). Market price of asset
Right Answer:
59. Quick ratio = Current Liabilities
(A). Current Asset
(B). Liquid Asset
(C). Total Asset
(D). Only Cash
Right Answer:
60. Capital employed =
(A). Equity +
(B). Long term capital \ ?
(C).
(D).
Right Answer:
61. Capital structive ratio =
(A). Equity : Preference
(B). Equity : Reserve
(C). Equity : Debt
(D). Long term debt : Short term debt
Right Answer:
62. Which one is not included in fund flow
(A). Transaction between Current and Fixed Assets
(B). Transaction between Current Liability and Fixed Assets
(C). Transaction between Current Assets and Current Liabilities
(D). Transaction between Purchase and Sales of Goods
Right Answer:
63. Which one of the following is not uses of fund
(A). Increase in Fixed Asset
(B). Decrease in Liability
(C). Decrease in Working Capital
(D). Increase in Working Capital
Right Answer:
64. To calculate fund from operation which one is deducted from net profit
(A). Capital Gains
(B). Reduce in Goodwill
(C). Increase in Asset
(D). Dividend paid
Right Answer:
65. Provisions on moveable asset are shown in fund flow statement as
(A). Current Liability or
(B). Adjustment from current assets
(C). Either
(D). None of the above
Right Answer:
66. Net working capital =
(A). All current asset +
(B). All current liability
(C).
(D).
Right Answer:
67. Opening balance of Depreciation a/c Rs. 50,000, closing balance is Rs. 60,000, Accumulated depreciation on an asset sold Rs. 10,000. How much depreciation is charged during the year
(A). Rs. 10,000
(B). Rs. 20,000
(C). Rs. 30,000
(D). Rs. 40,000
Right Answer:
68. Cost price of a machine Rs. 1,00,000, accumulated depreciation Rs. 45,000, sale price Rs. 40,000. How much is the loss and profit
(A). Gain of Rs. 15,000
(B). Loss of Rs. 15,000
(C). Gain of Rs. 60,000
(D). #0 60,000 dk gkfu Loss of Rs. 60,000
Right Answer:
69. Which one of the following is a non cash expense
(A). Dividend paid
(B). Depreciation
(C). Credit Purchase
(D). Outstanding expense
Right Answer:
70. Which one of the following is non operating expenses
(A). Dividend
(B). Interest on Loan
(C). Capital Loss
(D). All of the above
Right Answer:
71. Which of the following is paid in cash with current year
(A). Dividend provided in previous year
(B). Dividend provided in current year
(C). Depreciation provided
(D). Capital loss
Right Answer:
72. Which one of the following is not shown in cash flow statement
(A). Operating Activity
(B). Banking Activity
(C). Financing Activity
(D). Investing Activity
Right Answer:
73. Cash from operation includes
(A). Which effects working capital
(B). Which effects fixed capital
(C). Which effects non cash expense
(D). Which effects capital
Right Answer:
74. To acertain the actual cash outflow due to an expense shown in profit and loss account
(A). Opening prepared will be deducted and
(B). Closing prepared will be added will be done
(C). Both
(D). None above will be done
Right Answer:
75. Total sales + Opening Debtor () closing Debtor =
(A). Cash Sales
(B). Total Sales
(C). Credit Sales
(D). Closing Stock
Right Answer:
76. What is sole trade
(A). One person earns profit
(B). One person takes decision
(C). One person directs
(D). One person manages
Right Answer:
77. Which form of the organization is maximum in number
(A). Company
(B). Firm
(C). Cooperative
(D). Sole Trade
Right Answer:
78. For which form of organization there is no legal provision for registration
(A). Sole trade
(B). Firm
(C). Company
(D). Cooperative
Right Answer:
79. Registration of a firm is
(A). Mandatory
(B). Voluntary
(C). Useful
(D). None of the above
Right Answer:
80. A Partner can transfer his interest
(A). On his own
(B). On the approval of registrar
(C). With the consent of other partners
(D). On the approval of Bank
Right Answer:
81. Which of the following is always treated as special legal existence
(A). Sole Trade
(B). Firm
(C). Joint Hindu Family
(D). Company
Right Answer:
82. Who decides maximum number of partners in a firm
(A). Partnership Deed
(B). Partnership Act
(C). Partners
(D). Registrar
Right Answer:
83. What is the maximum number of Partners in a Banking firm
(A). 10
(B). 20
(C). 30
(D). 40
Right Answer:
84. What is the minimum number of members in a public limited company
(A). 5
(B). 7
(C). 10
(D). Unlimited
Right Answer:
85. The liability of members in a limited company is
(A). limited
(B). unlimited
(C). At the desire of members
(D). Both Limited and Unlimited
Right Answer:
86. Document which contains rules for indoor management of company is known as
(A). Memorandum
(B). Prospectus
(C). Articles
(D). Certificate of Incorporation
Right Answer:
87. Minimum number of directors in a private company is
(A). 1
(B). 2
(C). 3
(D). 4
Right Answer:
88. Which document states the limits of powers of a company
(A). Articles
(B). Prospectus
(C). Memorandum
(D). All of the above
Right Answer:
89. How much is the maximum remuneration of a full time company director
(A). 5%
(B). 11%
(C). 15%
(D). No limit
Right Answer:
90. Statutory meeting is compulsory for a
(A). Private limited company
(B). Public limited company
(C). For all companies
(D). For none
Right Answer:
91. Gap between two Annual General Meeting should not be more than
(A). 12 Months
(B). 15 Months
(C). 20 Months
(D). No Limit
Right Answer:
92. Doctrine of ultra vires relates to
(A). Name Clause
(B). Object Clause
(C). Capital Clause
(D). Liability Clause
Right Answer:
93. Is it mandating to hold qualification shares by a director
(A). If provided in Memorandum
(B). If provided in Article
(C). If provided in Prospectus
(D). If Board decides
Right Answer:
94. Share issued without consideration is known as
(A). Equity Share
(B). Preference Share
(C). Bonus Share
(D). Debenture
Right Answer:
95. How much minimum shares of the Government holds in case of Government Company
(A). 25%
(B). 50%
(C). 51%
(D). 100%
Right Answer:
96. At least one board meeting must be convened in
(A). Every Month
(B). Every Quarter
(C). Six Month
(D). One Year
Right Answer:
97. A minor is admitted to a firm
(A). in profit and loss
(B). Only in profit
(C). Only in loss
(D). Neither in profit nor loss
Right Answer:
98. RBI is a
(A). Government Department
(B). Government Company
(C). Statutory Corporation
(D). Private Company
Right Answer:
99. IFCI was established in
(A). 1948
(B). 1956
(C). 1964
(D). 1980
Right Answer:
100. A Private Company can issue to public
(A). Only equity shares
(B). Only preference shares
(C). Both above
(D). None above
Right Answer:
101. Where the application is given for registration of shares
(A). Central Government
(B). Registrar of Companies
(C). Stock Exchange
(D). All of the above
Right Answer:
102. Where is head office of SEBI situated
(A). Delhi
(B). Mumbai
(C). Kolkata
(D). Chennai
Right Answer:
103. Business combination is done for
(A). To reduce competition
(B). Joint Venture
(C). Forming Company
(D). Forming Firms
Right Answer:
104. To combine an inefficient organization with efficient is known as
(A). Combination
(B). Rationalisation
(C). Absorption
(D). Amalgamation
Right Answer:
105. Not an essential feature of rationalisation
(A). Combination
(B). Standardization
(C). Simplification
(D). Reduction
Right Answer:
106. Management is a
(A). Continuous process
(B). Dynamic process
(C). Social process
(D). All aboves process
Right Answer:
107. Management is
(A). A Science
(B). An Art
(C). Both Science and Art
(D). None of the above
Right Answer:
108. Which one is not macro environment
(A). Economic
(B). Product
(C). Social
(D). Cultural
Right Answer:
109. Which one is treated as output
(A). Product and Service
(B). Profit
(C). Satisfaction
(D). All of the above
Right Answer:
110. The Short term objective of firms is
(A). To maximise profit
(B). To maximise wealth
(C). To maximise sales
(D). To maximise dividend
Right Answer:
111. The modern approach of finance is
(A). Only keeping of records
(B). Bank Transaction
(C). Optimum use of resources
(D). Dealing in share market
Right Answer:
112. Long term financial decision is known as
(A). Longterm Finance Decision
(B). Capital Decision
(C). Budgeting Decision
(D). Capital Budgeting Decision
Right Answer:
113. Equity is a
(A). Short term capital resource
(B). Long term capital resource
(C). Medium term capital resource
(D). All of the above
Right Answer:
114. Reserve is a
(A). Owned capital
(B). Proprietary reserve
(C). Both above
(D). Not a capital
Right Answer:
115. Trade creditor is a
(A). Short term source
(B). Medium term source
(C). Long term source
(D). Not a source
Right Answer:
116. Over capitalization means
(A). Company has excess capital
(B). Company has excess reserve
(C). Company fails to pay reasonable dividend
(D). Company fails to use capital
Right Answer:
117. Real value of capital > Book value of capital means
(A). Under Capitalization
(B). Over Capitalization
(C). Optimum Capitalization
(D). Real Capitalization
Right Answer:
118. Annual income rate of Capitalization in the market
(A). Total Capitalization
(B). Over Capitalization
(C). Under Capitalization
(D). Increase in Capitalization
Right Answer:
119. Which one is the internal factor that determines capital structure
(A). Psychology of investor
(B). Expenses of issue
(C). Current law and regulation
(D). Risk
Right Answer:
120. EBIT means
(A). Earning before Income Tax
(B). Earning before Income Tax and Interest
(C). Earning, Bad debt and Income Tax
(D). Earning before interest and Trade Expenses
Right Answer:
121. In trading on equity advantage belongs to
(A). Equity Shareholders
(B). Preference shareholders
(C). All types of shareholders
(D). Shareholders and debenture holders
Right Answer:
122. Equity Capital Preference capital Borrowed capital
(A). Capital ratio
(B). Loan Ratio
(C). Capital Gear Ratio
(D). Liability Ratio
Right Answer:
123. Liquidity means
(A). Water
(B). Drinks
(C). Meeting Debts
(D). All of the above
Right Answer:
124. Present value is calculated
(A). For revenue expenses
(B). For capital expenditures
(C). a + b
(D). b a
Right Answer:
125. In MM model of dividend
(A). There will be no effect in share price
(B). Share prices increase with dividend
(C). Share prices decrease due to increase in dividend
(D). When share prices increase dividend automatically increase
Right Answer:
126. Walter model of dividend is
(A). Same as M. M. Model
(B). Extension of M. M. Model
(C). Opposite of M. M. Model
(D). Improvement over M. M. Model
Right Answer:
127. Bonus shares can be issued out of
(A). Share Capital Account
(B). Share Premium Account
(C). Share Application Account
(D). Debentures Account
Right Answer:
128. After issue of Bonus Shares residual reserve should be
(A). At least 40% of increased paid up capital
(B). Equal to previous paid up capital
(C). 40% of average paid up capital
(D). Equal average paid up capital
Right Answer:
129. Net Working Capital =
(A). Total of current Assets +
(B). Total of Current Liabilities
(C).
(D).
Right Answer:
130. Which one of not considered for working capital
(A). Reserve
(B). Provision
(C). Trade Creditors
(D). Bill Payables
Right Answer:
131. Regular working capital is
(A). Variable
(B). Seasonal
(C). Permanent
(D). None of the above
Right Answer:
132. Which source is used for variable working capital
(A). Long term Source
(B). Capital Source
(C). Current Source
(D). Any Source
Right Answer:
133. Depreciation is a
(A). Long term source of finance
(B). Medium source of finance
(C). Short term source of finance
(D). Not a source of finance
Right Answer:
134. Which one is not a source of working capital
(A). Bill payable
(B). Public deposit
(C). Overdraft
(D). Hundi
Right Answer:
135. EOQ is used in
(A). Inventory Management
(B). Bill Receivable Management
(C). Cash Management
(D). Capital Budgeting
Right Answer:
136. LIFO is a technique of
(A). Bill Receivable Valuation
(B). Inventory Valuation
(C). Asset Valuation
(D). Product Valuation
Right Answer:
137. Universality of management concept was given by
(A). Taylor
(B). Fayol
(C). Terry
(D). Koontz
Right Answer:
138. In MBO objectives are find for
(A). Directors
(B). Managers
(C). Workers
(D). All
Right Answer:
139. Encoding is a step in
(A). Planning
(B). Controlling
(C). Communication
(D). Motivation
Right Answer:
140. Chain of command is a method of
(A). Communication
(B). Motivation
(C). Budgeting
(D). Planning
Right Answer:
141. Leadership as a Continuum includes
(A). Selling of decision
(B). There is a scope of change in decision
(C). Manager defines limits
(D). All of the above
Right Answer:
142. Telling style is a process of
(A). Leading
(B). Planning
(C). Controlling
(D). Story telling
Right Answer:
143. Which one is only expense chain
(A). Production
(B). Marketing
(C). Research and Development
(D). All of the above
Right Answer:
144. MIS is a technique of
(A). Control
(B). Coordination
(C). Planning
(D). Organising
Right Answer:
145. Organizational behaviour relates to undertaking the
(A). Behaviour of the organization
(B). Behaviour of the group
(C). Behaviour of human
(D). Behaviour with outsiders
Right Answer:
146. In balance theory a group is formed by
(A). Local resources
(B). Activities
(C). Attitude
(D). Exchange
Right Answer:
147. Human resource planning is the process of
(A). Recruitment
(B). Controlling
(C). Coordination
(D). All of the above
Right Answer:
148. In sensitivity training process share will be
(A). Role Playing
(B). Informal Relation
(C). Organised Group
(D). Formal relation
Right Answer:
149. Maslow's hierarchy of need relates to
(A). Planning
(B). Controlling
(C). Motivation
(D). Recruitment
Right Answer:
150. Staff organization is for
(A). Main Activities
(B). Production
(C). Marketing
(D). Specialised advise
Right Answer:
151. Matrix structure is made of
(A). Activity Structure
(B). Project Structure
(C). Both Structures mentioned above
(D). None of the above
Right Answer:
152. Decentralization is
(A). Delegation of authority
(B). Formal expansion of authority
(C). Fixing of respoonsibility
(D). A process of Control
Right Answer:
153. What is/are the basis of departmentation
(A). Territory
(B). Customer
(C). Product
(D). All of the above
Right Answer:
154. Organising is
(A). A system of Communication
(B). A Means of Problem solving
(C). Facilitates decision making
(D). All of the above
Right Answer:
155. Delegation of authority is a process of
(A). Planning
(B). Organising
(C). Coordinating
(D). Controlling
Right Answer:
156. Advertisement is a process of
(A). Selling
(B). Marketing
(C). Distribution
(D). All of the above
Right Answer:
157. What does a seller sells
(A). Product
(B). Goods
(C). Service
(D). Satisfaction
Right Answer:
158. Product mix is a
(A). Production Decision
(B). Marketing Decision
(C). Selling Decision
(D). Pricing Decision
Right Answer:
159. A non profit organization does not prepare
(A). Income and Expenditure Account
(B). Receipts and Payments Account
(C). Profit and Loss Account
(D). Balance Sheet
Right Answer:
160. In a non profit organization endowment receipt is treated as
(A). Capital Receipt
(B). Capital
(C). Revenue Receipt
(D). Loan
Right Answer:
161. In a non profit organization of the opening day of the financial year Total Assets Liabilities =
(A). Capital
(B). Capital Fund
(C). Total Financial Source
(D). Loan
Right Answer:
162. Rent Paid + opening prepaid rent closing prepaid rent + closing outstanding rent opening outstanding rent =
(A). Adjusted Rent
(B). Actual rent paid
(C). Rent of the Current Year
(D). Outstanding Expense
Right Answer:
163. Marketing is meant to facilitate the process of
(A). Buying
(B). Selling
(C). Both above
(D). None of the above
Right Answer:
164. Market is a collection of
(A). Buyers
(B). Sellers
(C). Shops
(D). Producers
Right Answer:
165. The Second phase of PLC is
(A). Introduction
(B). Growth
(C). Maturity
(D). Decline
Right Answer:
166. The Producer Wholesaler retailer Consumer is a channel
(A). Zero Level
(B). One Level
(C). Two Level
(D). Four Level
Right Answer:
167. The most recent media of advertising in India is
(A). Television
(B). Radio
(C). Internet
(D). Newspaper
Right Answer:
168. In stock investor pay on
(A). Share Application Amount
(B). Allottment Amount
(C). Calls
(D). Entire Amount
Right Answer:
169. In cumulative preference Shares
(A). Dividend Accumulates
(B). Current Dividend is transfered reserve to reserve
(C). Share price accumulates
(D). Profit accumulates
Right Answer:
170. Maximum rate of discount on share can be
(A). 8%
(B). 10%
(C). 12%
(D). 15%
Right Answer:
171. Premium received on issue of shares is shown in Balance Sheet as
(A). Paid up capital
(B). Calls in advance
(C). Separately
(D). Not shown in balance sheet
Right Answer:
172. Share discount is treated as
(A). Fictitious Asset
(B). Expense
(C). Revenue Expense
(D). Capital loss
Right Answer:
173. Forfeited Amount in Share is transfered to
(A). Profit and loss account
(B). Capital account
(C). Cash account
(D). Capital Reserve account
Right Answer:
174. Forfeited share can be reissued at a discount
(A). 10%
(B). 20%
(C). To the extent of forfeited amount
(D). Par value of share
Right Answer:
175. Preference share can be redeemed from
(A). Capital redemption reserve a/c
(B). Fresh issue of shares
(C). Both above sources
(D). Cannot be redeemed
Right Answer:
176. Profit before and after incorporation is ascertained
(A). On time basis
(B). On turnover basis
(C). On gross profit basis
(D). On all above bases
Right Answer:
177. Accounts for appropriation of profit is maintained by
(A). Sole trader
(B). Firm
(C). Company
(D). Cooperation Societies
Right Answer:
178. Profit and loss account of a Company shows amount of
(A). Current Year
(B). Previous and Current Years
(C). 3 Previous Years
(D). 5 Previous Years
Right Answer:
179. Authorised Capital is mentioned in
(A). Memorandum
(B). Article
(C). Certificate of incorporation
(D). Certificate of commencement of business
Right Answer:
180. A company shows in Balance Sheet
(A). Authorized Capital
(B). Issued Capital
(C). Paid up Capital
(D). All of the above
Right Answer:
181. Proposed Dividend is
(A). Shown as provision
(B). Actually paid during the current year
(C). Is added with previous dividend
(D). Is not shown anywhere
Right Answer:
182. The format of Company Balance Sheet is given in
(A). Memorandum
(B). Article
(C). Company's Act
(D). Not given anywhere
Right Answer:
183. Schedules of Balance Sheet show
(A). Detail of Fixed Assets
(B). Detail of Liabilities
(C). Detail of Current Assets
(D). All of the above
Right Answer:
184. For what purpose current account is maintained by a firm
(A). In place of partner's Capital A/c
(B). To keep the partner's Capital A/c fixed
(C). To know the partner's drawings
(D). To know the current assets
Right Answer:
185. How the profit and loss of a firm is distributed
(A). Equally
(B). As per capital
(C). Ratio given in deed
(D). Any one of the above mentioned
Right Answer:
186. Partners are eligible for salary
(A). If provided in Partnership Act
(B). If provided in Company Act
(C). If provided in partnership deed
(D). Are never eligible
Right Answer:
187. Goodwill of a firm is calculated
(A). At the time of entry of partners
(B). At the time when a partner leaves the firm
(C). On any one of the above mentioned situation
(D). Goodwill is not calculated
Right Answer:
188. A new partner can bring capital and goodwill in form of
(A). Cash
(B). Asset
(C). Partly cash and partly asset
(D). Any one of the above
Right Answer:
189. A and B are partners in a firm share profit and loss in the ratio of 3 : 2. C joins as a new partner for 4 1 which he takes equally from A and B. The new ratio will be
(A).
(B).
(C).
(D).
Right Answer:
190. If goodwill account is raised then
(A). This is distributed to all partners
(B). This is distributed to old partners in new ratio
(C). This is distributed to old partners in old ratio
(D). Goodwill account cannot be raised
Right Answer:
191. Average due date is calculated for
(A). Payment by various vouchers
(B). Credit Purchase
(C). Partners Drawings
(D).
Right Answer:
192. Which one is not the advantage of spread sheet
(A). Simple to use
(B). Easy to understand
(C). Easy calculation
(D). Automatic double entry
Right Answer:
193. Pre packaged accounting softwares
(A). Do not cover peculiarities of specific business
(B). Do not cover all functional areas
(C). Easy to install
(D). All of the above
Right Answer:
194. Which one is not the advantage of Accountancy Package
(A). Input screen can be customised
(B). New MIS reports can be included in the package
(C). Bar code scanner cannot be used as attachment
(D). System can be customised as paid organizational structure
Right Answer:
195. ERP
(A). Standardises reporting
(B). Is expensive
(C). Is less flexible
(D). All of the above
Right Answer:
196. Legal expenses paid to purchase land is debited in legal expense a/c is an
(A). Error of Omission
(B). Error of Principle
(C). Error of opening records
(D). Not an error
Right Answer:
197. A bill can be sent to a bank
(A). for collection
(B). for discounting
(C). As pledge
(D). All of the above
Right Answer:
198. If an endorsed bill is dishonoured who is liable to pay to endorsee
(A). Drawer
(B). Drawee
(C). Endorser
(D). By any one
Right Answer:
199. Which one of the following is a direct tax
(A). Trade Tax
(B). Income Tax
(C). Sales Tax
(D). Excise Duties
Right Answer:
200. Which one of the following is the most recent in India
(A). Custom duty
(B). Company tax
(C). VAT
(D). Trade Tax
Right Answer:
(A). Recording Transaction
(B). Making profit and loss account
(C). To know the financial position
(D). To prepare budget
Right Answer:
2. Book Keeping is
(A). To write business transactions in specific books
(B). To record in the books of specific principles
(C). To write monetary values of transaction
(D). All of the above
Right Answer:
3. Which of the following is not kept in single entry system
(A). Cash Account
(B). Asset Account
(C). Personal Account
(D). Bank Account
Right Answer:
4. Which one is not the objective of Book keeping
(A). To know the number of workers
(B). To ascertain profit and loss
(C). vkfFkZd fLFkfr Kkr djuk To ascertain financial position
(D). udn fLFkfr Kkr djuk To ascertain cash position
Right Answer:
5. Drawing means
(A). To invest money in business
(B). Art
(C). To withdraw money from business
(D). Withdraw money from bank
Right Answer:
6. Book Keeping is
(A). An art
(B). A Science
(C). Art and Science Both
(D). Neither Art nor Science
Right Answer:
7. Book Keeping is useful in
(A). A sole trade
(B). A firm
(C). A company
(D). All forms of Business
Right Answer:
8. Trade discount is
(A). Debited and
(B). Credited
(C). Both
(D). No entry is formed
Right Answer:
9. Dead Stock includes
(A). Only land
(B). Only building
(C). Only furniture
(D). All fixed assets
Right Answer:
10. Capital + Liabilities =
(A). Asset
(B). Fixed Asset
(C). Long term Loan
(D). Loan
Right Answer:
11. Cash discount is given
(A). To sell in huge quantity
(B). To receive quickly
(C). To increase sales
(D). To reduce the price
Right Answer:
12. Lucas Pacioli invented double entry system in
(A). 1494
(B). 1594
(C). 1694
(D). 1794
Right Answer:
13. In double entry system opening book of entry is known as
(A). Journal
(B). General
(C). Stock Register
(D). Pass Book
Right Answer:
14. Which one is incorrect
(A). Credit what goes out
(B). Debit the gains
(C). Debit the receiver
(D). Credit the profit
Right Answer:
15. If one purchases goods of Rs. 2000 at a trade discount of 10% then
(A). Purchase account will be debited with Rs. 2000
(B). Purchase account will be debited with Rs. 1800
(C). Discount account will be credited with Rs. 200
(D). Purchaser's account will be debited with Rs. 1800
Right Answer:
16. Capital account comes under
(A). Separate business entity concept
(B). Accounting period concept
(C). Accrual concept
(D). Realisation concept
Right Answer:
17. Nominal account are kept as per which concept
(A). Separate business entity
(B). Accounting period
(C). Capital
(D). Dual aspect
Right Answer:
18. Goods purchased in cash from Mr. A then
(A). Cash a/c will be credited
(B). A's a/c will be credited
(C). Purchase a/c will be credited
(D). Cash a/c will be debited
Right Answer:
19. In case of purchase return what a/c will be credited
(A). Purchase
(B). Sales
(C). Purchase Return
(D). Sellers
Right Answer:
20. Goods used by owner for private purpose will be treated as
(A). Drawing
(B). Sales
(C). Purchase Return
(D). Stock
Right Answer:
21. Salary paid to owner is
(A). Salary
(B). Wages
(C). Drawing
(D). Expense
Right Answer:
22. Loss of stock due to fire will be
(A). Credited in trading a/c or and
(B). Deducted from Purchase a/c
(C). Either
(D). Both
Right Answer:
23. Cost price or market price whichever is less is for
(A). Stock Valuation
(B). Land Valuation
(C). Debtors
(D). All assets
Right Answer:
24. Contra Entry is made in
(A). Purchase Book
(B). Cash Book
(C). Journal
(D). Pass Book
Right Answer:
25. Cheque issued will be credited
(A). At the time of issue
(B). After 7 days
(C). After payment
(D). At the time of reconciliation
Right Answer:
26. A cheque received from A and endorsed to B will be written in
(A). Cash Column of Cash Book
(B). Bank Column of Cash Book
(C). Contra side of Cash Book
(D). None of the above
Right Answer:
27. While reconciling debit balance of bank column in cash book with pass book
(A). Cheque issued but not paid will be added
(B). Cheque issued but not paid will be deducted
(C). Cheque deposited but not collected will be added
(D). Amount directly deposited will be deducted
Right Answer:
28. In Sales Book we write
(A). All Sales
(B). Only Credit Sales
(C). Only cash sales
(D). Sales and sales returns
Right Answer:
29. Trial balance is prepared
(A). To know the balance of any account
(B). To know the completeness of double entry
(C). To know the arithmetic accuracy of accounts
(D). All of the above
Right Answer:
30. Suspense account is shown in
(A). Trading Account
(B). Profit and loss account
(C). Balance Sheet
(D). not shown anywhere
Right Answer:
31. Discounting of bill means
(A). Discounting from bank
(B). Discounting from market
(C). Discounting from customer
(D). Selling goods at discount
Right Answer:
32. Retiring of bill means
(A). To return the bill
(B). To pay on maturity
(C). To pay after maturity
(D). To pay before maturity
Right Answer:
33. A bill drawn without consideration is known as
(A). Ordinary bill
(B). Accommodation bill
(C). Endorsement of bill
(D). Bill for collection
Right Answer:
34. Depreciation account is debited in
(A). Trading account
(B). Profit and loss account
(C). Asset account
(D). Profit and loss appropriation account
Right Answer:
35. Which one of the following is not subject of Depreciation
(A). Land
(B). Building
(C). Machinery
(D). Furniture
Right Answer:
36. Dividend is shown in
(A). Trading account
(B). Profit (-) loss account
(C). Manufacturing account
(D). Profit and loss appropriation account
Right Answer:
37. Goods supplied on sales or return is shown on
(A). Sales
(B). Purchase
(C). Sales Return
(D). Closing Stock
Right Answer:
38. Which of the following is/are shown in trading account
(A). Credit Purchase
(B). Credit Sales
(C). Stock
(D). All of the above
Right Answer:
39. Balance sheet shows financial position on a specific
(A). Date
(B). Month
(C). Six Months
(D). Year
Right Answer:
40. Balance Sheet is prepared on the basis of
(A). Cost Concept
(B). Separate trade Concept
(C). Accounting Period Concept
(D). Realisation Concept
Right Answer:
41. If a person wants to earn 20% profit on sales it would be
(A). 25% of cost
(B). 20% of cost
(C). 30% of cost
(D). 40% of cost
Right Answer:
42. Contingent liabilities are shown in
(A). Trading Account
(B). Profit and Loss Account
(C). Balance Sheet
(D). Below Balance Sheet
Right Answer:
43. Legal expenses on Land is a
(A). Capital expense
(B). Revenue expense
(C). Deferred revenue expense
(D). None of the above
Right Answer:
44. Revenue expense which is changed in more than one year is known as
(A). Revenue Expense
(B). Capital Expense
(C). Deferred Revenue Expense
(D). Not treated as Expense
Right Answer:
45. An expenses of Rs. 1,00,000 on a hoording for 3 years is a
(A). Revenue expense
(B). Capital Expense
(C). Deferred revenue expence
(D). Asset
Right Answer:
46. If manager is paid Commission of 10% on net profit this will be how much on profit before commission
(A). 10%
(B). 11.11%
(C). 15%
(D). 20%
Right Answer:
47. Prepaid expense is
(A). Expense
(B). Income
(C). Asset
(D). Liability
Right Answer:
48. If invoice is received but goods not, then
(A). It is treated as purchase
(B). It is treated as stock
(C). It is treated as suspense
(D). It is not treated at all
Right Answer:
49. Provision for discount on Debtors is created on
(A). Total Debtors -
(B). Bad Debts -
(C). Doubtful debt
(D). Above
Right Answer:
50. Cost of Goods sold =
(A). Cost of Purchase -
(B). Cost of Opening Stock -
(C). Cost of Closing Stock
(D). Above
Right Answer:
51. Purpose of interpretation of account is
(A). To ascertain financial strength and
(B). To ascertain financial weakness
(C). To identify the causes of
(D). All of the above
Right Answer:
52. Which one is not a function of Interpretation of financial Statement
(A). Trend Study
(B). Budgeting
(C). Reclassification
(D). Approximation of data
Right Answer:
53. Which one of the following is a technique of Analysis of financial statement
(A). Cash flow statement
(B). Marginal Cost Analysis
(C). Variance analysis
(D). All of the above
Right Answer:
54. Cost of Sales + Operating Exps. × 100 = Sales
(A). Profit Ratio
(B). Operating Ratio
(C). Sales Ratio
(D). Payout Ratio
Right Answer:
55. Payout ratio related to
(A). Dividend
(B). Cash
(C). Expenses
(D). Salary
Right Answer:
56. Market Price per share = Earning per share
(A). Market price ratio
(B). Price earning ratio
(C). Share earning ratio
(D). Market earning ratio
Right Answer:
57. For Inventory Turnover ratio we consider
(A). Cost of Goods Sold
(B). Total Cost
(C). Value of Goods sold
(D). Total Sales
Right Answer:
58. In asset turnover ratio we see
(A). How much asset to sell
(B). The relationship with asset and net sale
(C). Sale price of asset
(D). Market price of asset
Right Answer:
59. Quick ratio = Current Liabilities
(A). Current Asset
(B). Liquid Asset
(C). Total Asset
(D). Only Cash
Right Answer:
60. Capital employed =
(A). Equity +
(B). Long term capital \ ?
(C).
(D).
Right Answer:
61. Capital structive ratio =
(A). Equity : Preference
(B). Equity : Reserve
(C). Equity : Debt
(D). Long term debt : Short term debt
Right Answer:
62. Which one is not included in fund flow
(A). Transaction between Current and Fixed Assets
(B). Transaction between Current Liability and Fixed Assets
(C). Transaction between Current Assets and Current Liabilities
(D). Transaction between Purchase and Sales of Goods
Right Answer:
63. Which one of the following is not uses of fund
(A). Increase in Fixed Asset
(B). Decrease in Liability
(C). Decrease in Working Capital
(D). Increase in Working Capital
Right Answer:
64. To calculate fund from operation which one is deducted from net profit
(A). Capital Gains
(B). Reduce in Goodwill
(C). Increase in Asset
(D). Dividend paid
Right Answer:
65. Provisions on moveable asset are shown in fund flow statement as
(A). Current Liability or
(B). Adjustment from current assets
(C). Either
(D). None of the above
Right Answer:
66. Net working capital =
(A). All current asset +
(B). All current liability
(C).
(D).
Right Answer:
67. Opening balance of Depreciation a/c Rs. 50,000, closing balance is Rs. 60,000, Accumulated depreciation on an asset sold Rs. 10,000. How much depreciation is charged during the year
(A). Rs. 10,000
(B). Rs. 20,000
(C). Rs. 30,000
(D). Rs. 40,000
Right Answer:
68. Cost price of a machine Rs. 1,00,000, accumulated depreciation Rs. 45,000, sale price Rs. 40,000. How much is the loss and profit
(A). Gain of Rs. 15,000
(B). Loss of Rs. 15,000
(C). Gain of Rs. 60,000
(D). #0 60,000 dk gkfu Loss of Rs. 60,000
Right Answer:
69. Which one of the following is a non cash expense
(A). Dividend paid
(B). Depreciation
(C). Credit Purchase
(D). Outstanding expense
Right Answer:
70. Which one of the following is non operating expenses
(A). Dividend
(B). Interest on Loan
(C). Capital Loss
(D). All of the above
Right Answer:
71. Which of the following is paid in cash with current year
(A). Dividend provided in previous year
(B). Dividend provided in current year
(C). Depreciation provided
(D). Capital loss
Right Answer:
72. Which one of the following is not shown in cash flow statement
(A). Operating Activity
(B). Banking Activity
(C). Financing Activity
(D). Investing Activity
Right Answer:
73. Cash from operation includes
(A). Which effects working capital
(B). Which effects fixed capital
(C). Which effects non cash expense
(D). Which effects capital
Right Answer:
74. To acertain the actual cash outflow due to an expense shown in profit and loss account
(A). Opening prepared will be deducted and
(B). Closing prepared will be added will be done
(C). Both
(D). None above will be done
Right Answer:
75. Total sales + Opening Debtor () closing Debtor =
(A). Cash Sales
(B). Total Sales
(C). Credit Sales
(D). Closing Stock
Right Answer:
76. What is sole trade
(A). One person earns profit
(B). One person takes decision
(C). One person directs
(D). One person manages
Right Answer:
77. Which form of the organization is maximum in number
(A). Company
(B). Firm
(C). Cooperative
(D). Sole Trade
Right Answer:
78. For which form of organization there is no legal provision for registration
(A). Sole trade
(B). Firm
(C). Company
(D). Cooperative
Right Answer:
79. Registration of a firm is
(A). Mandatory
(B). Voluntary
(C). Useful
(D). None of the above
Right Answer:
80. A Partner can transfer his interest
(A). On his own
(B). On the approval of registrar
(C). With the consent of other partners
(D). On the approval of Bank
Right Answer:
81. Which of the following is always treated as special legal existence
(A). Sole Trade
(B). Firm
(C). Joint Hindu Family
(D). Company
Right Answer:
82. Who decides maximum number of partners in a firm
(A). Partnership Deed
(B). Partnership Act
(C). Partners
(D). Registrar
Right Answer:
83. What is the maximum number of Partners in a Banking firm
(A). 10
(B). 20
(C). 30
(D). 40
Right Answer:
84. What is the minimum number of members in a public limited company
(A). 5
(B). 7
(C). 10
(D). Unlimited
Right Answer:
85. The liability of members in a limited company is
(A). limited
(B). unlimited
(C). At the desire of members
(D). Both Limited and Unlimited
Right Answer:
86. Document which contains rules for indoor management of company is known as
(A). Memorandum
(B). Prospectus
(C). Articles
(D). Certificate of Incorporation
Right Answer:
87. Minimum number of directors in a private company is
(A). 1
(B). 2
(C). 3
(D). 4
Right Answer:
88. Which document states the limits of powers of a company
(A). Articles
(B). Prospectus
(C). Memorandum
(D). All of the above
Right Answer:
89. How much is the maximum remuneration of a full time company director
(A). 5%
(B). 11%
(C). 15%
(D). No limit
Right Answer:
90. Statutory meeting is compulsory for a
(A). Private limited company
(B). Public limited company
(C). For all companies
(D). For none
Right Answer:
91. Gap between two Annual General Meeting should not be more than
(A). 12 Months
(B). 15 Months
(C). 20 Months
(D). No Limit
Right Answer:
92. Doctrine of ultra vires relates to
(A). Name Clause
(B). Object Clause
(C). Capital Clause
(D). Liability Clause
Right Answer:
93. Is it mandating to hold qualification shares by a director
(A). If provided in Memorandum
(B). If provided in Article
(C). If provided in Prospectus
(D). If Board decides
Right Answer:
94. Share issued without consideration is known as
(A). Equity Share
(B). Preference Share
(C). Bonus Share
(D). Debenture
Right Answer:
95. How much minimum shares of the Government holds in case of Government Company
(A). 25%
(B). 50%
(C). 51%
(D). 100%
Right Answer:
96. At least one board meeting must be convened in
(A). Every Month
(B). Every Quarter
(C). Six Month
(D). One Year
Right Answer:
97. A minor is admitted to a firm
(A). in profit and loss
(B). Only in profit
(C). Only in loss
(D). Neither in profit nor loss
Right Answer:
98. RBI is a
(A). Government Department
(B). Government Company
(C). Statutory Corporation
(D). Private Company
Right Answer:
99. IFCI was established in
(A). 1948
(B). 1956
(C). 1964
(D). 1980
Right Answer:
100. A Private Company can issue to public
(A). Only equity shares
(B). Only preference shares
(C). Both above
(D). None above
Right Answer:
101. Where the application is given for registration of shares
(A). Central Government
(B). Registrar of Companies
(C). Stock Exchange
(D). All of the above
Right Answer:
102. Where is head office of SEBI situated
(A). Delhi
(B). Mumbai
(C). Kolkata
(D). Chennai
Right Answer:
103. Business combination is done for
(A). To reduce competition
(B). Joint Venture
(C). Forming Company
(D). Forming Firms
Right Answer:
104. To combine an inefficient organization with efficient is known as
(A). Combination
(B). Rationalisation
(C). Absorption
(D). Amalgamation
Right Answer:
105. Not an essential feature of rationalisation
(A). Combination
(B). Standardization
(C). Simplification
(D). Reduction
Right Answer:
106. Management is a
(A). Continuous process
(B). Dynamic process
(C). Social process
(D). All aboves process
Right Answer:
107. Management is
(A). A Science
(B). An Art
(C). Both Science and Art
(D). None of the above
Right Answer:
108. Which one is not macro environment
(A). Economic
(B). Product
(C). Social
(D). Cultural
Right Answer:
109. Which one is treated as output
(A). Product and Service
(B). Profit
(C). Satisfaction
(D). All of the above
Right Answer:
110. The Short term objective of firms is
(A). To maximise profit
(B). To maximise wealth
(C). To maximise sales
(D). To maximise dividend
Right Answer:
111. The modern approach of finance is
(A). Only keeping of records
(B). Bank Transaction
(C). Optimum use of resources
(D). Dealing in share market
Right Answer:
112. Long term financial decision is known as
(A). Longterm Finance Decision
(B). Capital Decision
(C). Budgeting Decision
(D). Capital Budgeting Decision
Right Answer:
113. Equity is a
(A). Short term capital resource
(B). Long term capital resource
(C). Medium term capital resource
(D). All of the above
Right Answer:
114. Reserve is a
(A). Owned capital
(B). Proprietary reserve
(C). Both above
(D). Not a capital
Right Answer:
115. Trade creditor is a
(A). Short term source
(B). Medium term source
(C). Long term source
(D). Not a source
Right Answer:
116. Over capitalization means
(A). Company has excess capital
(B). Company has excess reserve
(C). Company fails to pay reasonable dividend
(D). Company fails to use capital
Right Answer:
117. Real value of capital > Book value of capital means
(A). Under Capitalization
(B). Over Capitalization
(C). Optimum Capitalization
(D). Real Capitalization
Right Answer:
118. Annual income rate of Capitalization in the market
(A). Total Capitalization
(B). Over Capitalization
(C). Under Capitalization
(D). Increase in Capitalization
Right Answer:
119. Which one is the internal factor that determines capital structure
(A). Psychology of investor
(B). Expenses of issue
(C). Current law and regulation
(D). Risk
Right Answer:
120. EBIT means
(A). Earning before Income Tax
(B). Earning before Income Tax and Interest
(C). Earning, Bad debt and Income Tax
(D). Earning before interest and Trade Expenses
Right Answer:
121. In trading on equity advantage belongs to
(A). Equity Shareholders
(B). Preference shareholders
(C). All types of shareholders
(D). Shareholders and debenture holders
Right Answer:
122. Equity Capital Preference capital Borrowed capital
(A). Capital ratio
(B). Loan Ratio
(C). Capital Gear Ratio
(D). Liability Ratio
Right Answer:
123. Liquidity means
(A). Water
(B). Drinks
(C). Meeting Debts
(D). All of the above
Right Answer:
124. Present value is calculated
(A). For revenue expenses
(B). For capital expenditures
(C). a + b
(D). b a
Right Answer:
125. In MM model of dividend
(A). There will be no effect in share price
(B). Share prices increase with dividend
(C). Share prices decrease due to increase in dividend
(D). When share prices increase dividend automatically increase
Right Answer:
126. Walter model of dividend is
(A). Same as M. M. Model
(B). Extension of M. M. Model
(C). Opposite of M. M. Model
(D). Improvement over M. M. Model
Right Answer:
127. Bonus shares can be issued out of
(A). Share Capital Account
(B). Share Premium Account
(C). Share Application Account
(D). Debentures Account
Right Answer:
128. After issue of Bonus Shares residual reserve should be
(A). At least 40% of increased paid up capital
(B). Equal to previous paid up capital
(C). 40% of average paid up capital
(D). Equal average paid up capital
Right Answer:
129. Net Working Capital =
(A). Total of current Assets +
(B). Total of Current Liabilities
(C).
(D).
Right Answer:
130. Which one of not considered for working capital
(A). Reserve
(B). Provision
(C). Trade Creditors
(D). Bill Payables
Right Answer:
131. Regular working capital is
(A). Variable
(B). Seasonal
(C). Permanent
(D). None of the above
Right Answer:
132. Which source is used for variable working capital
(A). Long term Source
(B). Capital Source
(C). Current Source
(D). Any Source
Right Answer:
133. Depreciation is a
(A). Long term source of finance
(B). Medium source of finance
(C). Short term source of finance
(D). Not a source of finance
Right Answer:
134. Which one is not a source of working capital
(A). Bill payable
(B). Public deposit
(C). Overdraft
(D). Hundi
Right Answer:
135. EOQ is used in
(A). Inventory Management
(B). Bill Receivable Management
(C). Cash Management
(D). Capital Budgeting
Right Answer:
136. LIFO is a technique of
(A). Bill Receivable Valuation
(B). Inventory Valuation
(C). Asset Valuation
(D). Product Valuation
Right Answer:
137. Universality of management concept was given by
(A). Taylor
(B). Fayol
(C). Terry
(D). Koontz
Right Answer:
138. In MBO objectives are find for
(A). Directors
(B). Managers
(C). Workers
(D). All
Right Answer:
139. Encoding is a step in
(A). Planning
(B). Controlling
(C). Communication
(D). Motivation
Right Answer:
140. Chain of command is a method of
(A). Communication
(B). Motivation
(C). Budgeting
(D). Planning
Right Answer:
141. Leadership as a Continuum includes
(A). Selling of decision
(B). There is a scope of change in decision
(C). Manager defines limits
(D). All of the above
Right Answer:
142. Telling style is a process of
(A). Leading
(B). Planning
(C). Controlling
(D). Story telling
Right Answer:
143. Which one is only expense chain
(A). Production
(B). Marketing
(C). Research and Development
(D). All of the above
Right Answer:
144. MIS is a technique of
(A). Control
(B). Coordination
(C). Planning
(D). Organising
Right Answer:
145. Organizational behaviour relates to undertaking the
(A). Behaviour of the organization
(B). Behaviour of the group
(C). Behaviour of human
(D). Behaviour with outsiders
Right Answer:
146. In balance theory a group is formed by
(A). Local resources
(B). Activities
(C). Attitude
(D). Exchange
Right Answer:
147. Human resource planning is the process of
(A). Recruitment
(B). Controlling
(C). Coordination
(D). All of the above
Right Answer:
148. In sensitivity training process share will be
(A). Role Playing
(B). Informal Relation
(C). Organised Group
(D). Formal relation
Right Answer:
149. Maslow's hierarchy of need relates to
(A). Planning
(B). Controlling
(C). Motivation
(D). Recruitment
Right Answer:
150. Staff organization is for
(A). Main Activities
(B). Production
(C). Marketing
(D). Specialised advise
Right Answer:
151. Matrix structure is made of
(A). Activity Structure
(B). Project Structure
(C). Both Structures mentioned above
(D). None of the above
Right Answer:
152. Decentralization is
(A). Delegation of authority
(B). Formal expansion of authority
(C). Fixing of respoonsibility
(D). A process of Control
Right Answer:
153. What is/are the basis of departmentation
(A). Territory
(B). Customer
(C). Product
(D). All of the above
Right Answer:
154. Organising is
(A). A system of Communication
(B). A Means of Problem solving
(C). Facilitates decision making
(D). All of the above
Right Answer:
155. Delegation of authority is a process of
(A). Planning
(B). Organising
(C). Coordinating
(D). Controlling
Right Answer:
156. Advertisement is a process of
(A). Selling
(B). Marketing
(C). Distribution
(D). All of the above
Right Answer:
157. What does a seller sells
(A). Product
(B). Goods
(C). Service
(D). Satisfaction
Right Answer:
158. Product mix is a
(A). Production Decision
(B). Marketing Decision
(C). Selling Decision
(D). Pricing Decision
Right Answer:
159. A non profit organization does not prepare
(A). Income and Expenditure Account
(B). Receipts and Payments Account
(C). Profit and Loss Account
(D). Balance Sheet
Right Answer:
160. In a non profit organization endowment receipt is treated as
(A). Capital Receipt
(B). Capital
(C). Revenue Receipt
(D). Loan
Right Answer:
161. In a non profit organization of the opening day of the financial year Total Assets Liabilities =
(A). Capital
(B). Capital Fund
(C). Total Financial Source
(D). Loan
Right Answer:
162. Rent Paid + opening prepaid rent closing prepaid rent + closing outstanding rent opening outstanding rent =
(A). Adjusted Rent
(B). Actual rent paid
(C). Rent of the Current Year
(D). Outstanding Expense
Right Answer:
163. Marketing is meant to facilitate the process of
(A). Buying
(B). Selling
(C). Both above
(D). None of the above
Right Answer:
164. Market is a collection of
(A). Buyers
(B). Sellers
(C). Shops
(D). Producers
Right Answer:
165. The Second phase of PLC is
(A). Introduction
(B). Growth
(C). Maturity
(D). Decline
Right Answer:
166. The Producer Wholesaler retailer Consumer is a channel
(A). Zero Level
(B). One Level
(C). Two Level
(D). Four Level
Right Answer:
167. The most recent media of advertising in India is
(A). Television
(B). Radio
(C). Internet
(D). Newspaper
Right Answer:
168. In stock investor pay on
(A). Share Application Amount
(B). Allottment Amount
(C). Calls
(D). Entire Amount
Right Answer:
169. In cumulative preference Shares
(A). Dividend Accumulates
(B). Current Dividend is transfered reserve to reserve
(C). Share price accumulates
(D). Profit accumulates
Right Answer:
170. Maximum rate of discount on share can be
(A). 8%
(B). 10%
(C). 12%
(D). 15%
Right Answer:
171. Premium received on issue of shares is shown in Balance Sheet as
(A). Paid up capital
(B). Calls in advance
(C). Separately
(D). Not shown in balance sheet
Right Answer:
172. Share discount is treated as
(A). Fictitious Asset
(B). Expense
(C). Revenue Expense
(D). Capital loss
Right Answer:
173. Forfeited Amount in Share is transfered to
(A). Profit and loss account
(B). Capital account
(C). Cash account
(D). Capital Reserve account
Right Answer:
174. Forfeited share can be reissued at a discount
(A). 10%
(B). 20%
(C). To the extent of forfeited amount
(D). Par value of share
Right Answer:
175. Preference share can be redeemed from
(A). Capital redemption reserve a/c
(B). Fresh issue of shares
(C). Both above sources
(D). Cannot be redeemed
Right Answer:
176. Profit before and after incorporation is ascertained
(A). On time basis
(B). On turnover basis
(C). On gross profit basis
(D). On all above bases
Right Answer:
177. Accounts for appropriation of profit is maintained by
(A). Sole trader
(B). Firm
(C). Company
(D). Cooperation Societies
Right Answer:
178. Profit and loss account of a Company shows amount of
(A). Current Year
(B). Previous and Current Years
(C). 3 Previous Years
(D). 5 Previous Years
Right Answer:
179. Authorised Capital is mentioned in
(A). Memorandum
(B). Article
(C). Certificate of incorporation
(D). Certificate of commencement of business
Right Answer:
180. A company shows in Balance Sheet
(A). Authorized Capital
(B). Issued Capital
(C). Paid up Capital
(D). All of the above
Right Answer:
181. Proposed Dividend is
(A). Shown as provision
(B). Actually paid during the current year
(C). Is added with previous dividend
(D). Is not shown anywhere
Right Answer:
182. The format of Company Balance Sheet is given in
(A). Memorandum
(B). Article
(C). Company's Act
(D). Not given anywhere
Right Answer:
183. Schedules of Balance Sheet show
(A). Detail of Fixed Assets
(B). Detail of Liabilities
(C). Detail of Current Assets
(D). All of the above
Right Answer:
184. For what purpose current account is maintained by a firm
(A). In place of partner's Capital A/c
(B). To keep the partner's Capital A/c fixed
(C). To know the partner's drawings
(D). To know the current assets
Right Answer:
185. How the profit and loss of a firm is distributed
(A). Equally
(B). As per capital
(C). Ratio given in deed
(D). Any one of the above mentioned
Right Answer:
186. Partners are eligible for salary
(A). If provided in Partnership Act
(B). If provided in Company Act
(C). If provided in partnership deed
(D). Are never eligible
Right Answer:
187. Goodwill of a firm is calculated
(A). At the time of entry of partners
(B). At the time when a partner leaves the firm
(C). On any one of the above mentioned situation
(D). Goodwill is not calculated
Right Answer:
188. A new partner can bring capital and goodwill in form of
(A). Cash
(B). Asset
(C). Partly cash and partly asset
(D). Any one of the above
Right Answer:
189. A and B are partners in a firm share profit and loss in the ratio of 3 : 2. C joins as a new partner for 4 1 which he takes equally from A and B. The new ratio will be
(A).
(B).
(C).
(D).
Right Answer:
190. If goodwill account is raised then
(A). This is distributed to all partners
(B). This is distributed to old partners in new ratio
(C). This is distributed to old partners in old ratio
(D). Goodwill account cannot be raised
Right Answer:
191. Average due date is calculated for
(A). Payment by various vouchers
(B). Credit Purchase
(C). Partners Drawings
(D).
Right Answer:
192. Which one is not the advantage of spread sheet
(A). Simple to use
(B). Easy to understand
(C). Easy calculation
(D). Automatic double entry
Right Answer:
193. Pre packaged accounting softwares
(A). Do not cover peculiarities of specific business
(B). Do not cover all functional areas
(C). Easy to install
(D). All of the above
Right Answer:
194. Which one is not the advantage of Accountancy Package
(A). Input screen can be customised
(B). New MIS reports can be included in the package
(C). Bar code scanner cannot be used as attachment
(D). System can be customised as paid organizational structure
Right Answer:
195. ERP
(A). Standardises reporting
(B). Is expensive
(C). Is less flexible
(D). All of the above
Right Answer:
196. Legal expenses paid to purchase land is debited in legal expense a/c is an
(A). Error of Omission
(B). Error of Principle
(C). Error of opening records
(D). Not an error
Right Answer:
197. A bill can be sent to a bank
(A). for collection
(B). for discounting
(C). As pledge
(D). All of the above
Right Answer:
198. If an endorsed bill is dishonoured who is liable to pay to endorsee
(A). Drawer
(B). Drawee
(C). Endorser
(D). By any one
Right Answer:
199. Which one of the following is a direct tax
(A). Trade Tax
(B). Income Tax
(C). Sales Tax
(D). Excise Duties
Right Answer:
200. Which one of the following is the most recent in India
(A). Custom duty
(B). Company tax
(C). VAT
(D). Trade Tax
Right Answer:
www.haminpur.com
Disclaimer : We try to provide free and accurate information.
However, we are not liable to any type of mistake that may arise due to the results provided by this portal.
Privacy : We do not share any submitted information to other purposes.