(1)
Which of the following is the correct statement in the context of 'Accounting Period Concept?
1
The life of the business is divided into appropriate time segment to find out the results of operations
2
The business will be carried on for a long period of time.
3
Accounts will be prepared after dissolution of the firm.
4
Accounting policies are followed from time to time without any change.
Answer: The life of the business is divided into appropriate time segment to find out the results of operations
(2)
Which of the following is not the cause of depreciation?
1
Constant use
2
Expiry of time
3
Reduction in market price
4
Obsolescence
Answer: Reduction in market price
(3)
A and B are partners in a firm sharing profits in the ratio 3: 2 and advanced a loan of f 2,00,000 to the firm in that ratio on 01-04-2014. Accounts are closed on 31st March each year. In the absence of partnership deed, the interest on A}s loan will be
1
f 6,000
2
f 3,600
3
f 2,400
4
f 1,200
(4)
Section 40 of the Indian Partnership Act states about the dissolution
1
by notice
2
on happening of certain contingencies
3
by agreement
4
compulsorily
(5)
At the time of dissolution, trade debtors amounted to f 4,50,000 and provision balance was f 25,000. The amount of trade debtors that shall be transferred to Realisation Account is
1
f 25,000
2
f 4,25,000
3
f 4,50,000
4
f 4,75,000
(6)
Preliminary expense means
1
petty expense
2
asset installation expense
3
expense incurred before incorporation
4
contingent expense
View Answer
Answer: expense incurred before incorporation
(7)
Purchase price of an asset of f 17,60,000 was paid by issuing shares of f 100 each at a premium of 10%. The number of shares to be issued is
1
17600
2
16000
3
22000
4
20000
View Answer
(8)
Anand Milk Union Ltd. (AMUL) is a
1
public limited company
2
private limited company
3
government undertaking
4
cooperative society
View Answer
Answer: cooperative society
(9)
In the theory of management, who stated the concept of separation of planning and control?
1
Henry A. Gantt
2
Frank Gilbreth
3
Henry Fayol
4
Frederick W. Taylor
View Answer
Answer: Frederick W. Taylor
(10)
'Management by Results' means
1
attainment of result
2
organizational result
3
results from planning
4
management by objective
View Answer
Answer: management by objective
(11)
'Great man theory' is also known as
1
charismatic leadership theory
2
trait theory of leadership
3
P & L model of motivation
4
need theory
View Answer
Answer: charismatic leadership theory
(12)
Consider the following data : Cost of goods sold—? 2,50,000 Opening inventory—f 40,000 Closing inventory—f 60,000
The inventory-turnover ratio is
1
5 times
2
10 times
3
4 times
4
9 times
View Answer
(13)
Primary market and secondary market are the components of
1
share market only
2
capital market
3
money market
4
call money market only
View Answer
(14)
Return on Investment (ROI) is the relationship between
1
net profit and loan fund frtSrtfw
2
net profit and shareholders' fund
3
operating profit and equity share capital
4
operating profit and loan fund
View Answer
Answer: net profit and shareholders' fund
(15)
Demat Account is opened for the purpose of investment in
1
money market
2
gold market
3
banks
4
securities
View Answer
Take Mock Tests