The accounting standards Board (India) was formed by the Institute of
Chartered Accountants of India in April---------------
A.
1977
B.
1978
C.
2001
D.
2009
Answer»
A. 1977
2.
Accounting Standards in India are Issued by the …………..
A.
ICAI
B.
BMCC
C.
IT
D.
IMA
Answer»
A. ICAI
3.
Accounting Standards are beneficial not only to the business enterprises but
also to the………….. as well.
A.
accountants & auditor
B.
Customers
C.
Family and Country
D.
Traders
Answer»
A. accountants & auditor
4.
The important objective of Accounting standards is to the …………..diverse
accounting policies and practices at present in use in India.
A.
harmonies
B.
incomplete
C.
complex
D.
compact
Answer»
A. harmonies
5.
AS-7 deals with accounting for construction contracts in financial statements of
A.
contractors
B.
Accountants
C.
Agents
D.
Dealers
Answer»
A. contractors
6.
AS -26 deals with the treatment of costs of……………in financial statements.
A.
Research & development
B.
Construction contract
C.
Assets
D.
Risk & Rewards
Answer»
A. Research & development
7.
Investment made by government as equity in the ownership of an enterprise is
known as ------------
A.
participation
B.
interested
C.
refundable
D.
not interested
Answer»
A. participation
8.
Govt. grants become -----------because of non fulfillment of the conditions
attached to that grant.
A.
Refundable
B.
non refundable
C.
overdraft
D.
income
Answer»
A. Refundable
9.
AS 15 deals with the accounting for retirement benefits in the financial
statements of --------------
A.
employers
B.
employees
C.
top manager
D.
none of these
Answer»
A. employers
10.
Revised AS 15 – Employees benefits is applicable in respect of accounting
periods commencing on or after 1st April ----------
A.
2006
B.
1978
C.
2001
D.
2009
Answer»
A. 2006
11.
AS …………….also focuses on profit sharing and bonus plan.
A.
AS- 15
B.
AS-21
C.
AS- 28
D.
AS- 7
Answer»
A. AS- 15
12.
AS-17 segment reporting applies to those companies which have an annual
turnover of Rs……….crores or more.
A.
50
B.
80
C.
21
D.
20
Answer»
A. 50
13.
…………….reporting helps uses of financial statements to better assess the risk
and t returns of the enterprise.
A.
segment
B.
Account
C.
statement
D.
management
Answer»
A. segment
14.
As per AS-19 …………nlease risk and reward is not transferred to the lessee.
A.
operating
B.
non operating
C.
manageable
D.
refundable
Answer»
A. operating
15.
In financial lease as per As-19 leased assets is shown in the Balanced sheet of--
A.
lessee
B.
income
C.
loss
D.
refund
Answer»
A. lessee
16.
AS -20 deals with presentation and Computation of---------------
A.
earnings per share
B.
profit sharing ratio
C.
rate of interest
D.
solvency
Answer»
A. earnings per share
17.
Earning per share is very important financial ratio is computed for assessing
the state of --------------price of shares.
A.
Market
B.
area
C.
shops
D.
none of these
Answer»
A. Market
18.
Right issue generally made at a price lower that…………….value of shares.
A.
Fair
B.
fixed
C.
computing
D.
fluctuating
Answer»
A. Fair
19.
Impairment assets is nothing but………………….in the value of assets
A.
decrease
B.
increase
C.
fixed
D.
none of these
Answer»
A. decrease
20.
Recoverable amount of an asset isof selling price and value of an assets in use.
A.
higher
B.
lower
C.
a and d only
D.
fixed
Answer»
A. higher
21.
AS 7 does not apply to Contractors
A.
false
B.
true
C.
none of the above
D.
may be false
Answer»
A. false
22.
As per AS architects services are not included in construction contract.
A.
false
B.
true
C.
may be true
D.
both a and b
Answer»
A. false
23.
As per AS 7 Research and Development cost is to be excluded from contract
cost .
A.
true
B.
false
C.
may be false
D.
neither a nor b
Answer»
A. true
24.
AS – 7 deals with accounting for Government grants.
A.
false
B.
true
C.
may be true
D.
neither true nor false
Answer»
A. false
25.
As per AS 15 accumulated compensated absences can be carried forward if
the current period entitlement is not used in full.
A.
true
B.
false
C.
may be false
D.
may be true
Answer»
A. true
26.
A parent co. should account for the investment in subsidiaries in accordance
with AS -13
A.
true
B.
false
C.
May be true
D.
only b
Answer»
A. true
27.
A-5 does not indicate the frequency of interim financial report.
A.
true
B.
either true or false
C.
both a and b
D.
only false
Answer»
A. true
28.
A 25 focuses on change in accounting policies also.
A.
true
B.
only false
C.
may be true
D.
may be false
Answer»
A. true
29.
As per As- 28 impairment of asset means decrease in the value of asset.
A.
true
B.
false
C.
only true
D.
May be true
Answer»
A. true
30.
As per AS -30 prepaid expenses are not financial instruments.
A.
true
B.
false
C.
neither true nor false
D.
may be false.
Answer»
A. true
Chapter: Final Accounts and Banking Companies
31.
The banking regulation Act --.
A.
1949
B.
1947
C.
1932
D.
1956
Answer»
A. 1949
32.
Banking companies in India are governed by …………………..
A.
As per act 1932
B.
Income Tax act
C.
AS-23
D.
Banking Regulation Act 1949
Answer»
D. Banking Regulation Act 1949
33.
An assets becomes non performing when it to generate income for bank.
A.
lease
B.
ceases
C.
computerized
D.
easy.
Answer»
B. ceases
34.
Banks are to recognize their income on…………….basis in respect of
income on performing asset.
A.
Accrual
B.
cash
C.
credit
D.
none.
Answer»
A. Accrual
35.
Banks are to recognize their income on……………… basis in respect of
income on non performing asset.
A.
Accrual
B.
cash
C.
credit
D.
none.
Answer»
B. cash
36.
Sub standard asset are certain loan asset of a bank which are classified as
………….assets for a period not exceeding two year.
A.
non –performing
B.
performing
C.
Current
D.
Fluctuating.
Answer»
A. non –performing
37.
The main function of………………company are accepts deposits money
A.
Private
B.
Public
C.
Banking
D.
Capital marketing
Answer»
B. Public
38.
…………….asset is one which has been classified as non-performing asset for
period not exceeding than………….years
A.
Fixed – 13
B.
Fluctuating – 11
C.
Intangible – 1
D.
Substandard – 2
Answer»
A. Fixed – 13
39.
Core banking system…………. system.
A.
Bank end
B.
work flow
C.
open end
D.
internal
Answer»
A. Bank end
40.
Every banking company should prepare a balance sheet and profit and loss
accounts as on……………..each year.
A.
31st March
B.
31st July
C.
31st December
D.
None
Answer»
A. 31st March
41.
Banking Companies in India are governed by Banking Regulation act 1952.
A.
true
B.
false
C.
may be true
D.
ma be false
Answer»
B. false
42.
The main function of a banking company are to accept deposits of money
from the public and to lend or invest these deposits.
A.
true
B.
false
C.
only true
D.
ma be false
Answer»
A. true
43.
Non-Banking Assets must be shown in the Balance Sheet in scheduled 8.
A.
true
B.
may be false
C.
may be true
D.
false
Answer»
B. may be false
44.
Acceptance, Endorsements and other obligations are a contingent liability of
bank.
A.
True
B.
False
C.
May be false
D.
May be true
Answer»
B. False
45.
Rebate of Bills discounted is an income received in advanced which is carried
forward as other liability.
A.
true
B.
false
C.
may be true
D.
only true
Answer»
A. true
46.
Transfer of money from one place to another i.e. mail transfer is an item to be
excluded from bills payable.
A.
True
B.
False
C.
May be false
D.
May be true
Answer»
B. False
47.
An assets become non-performing when it ceases to generate income for a
Bank.
A.
True
B.
False
C.
May be false
D.
May be true
Answer»
A. True
48.
Banks are to recognize their income on cash basis in respect of income on
performing assets.
A.
true
B.
false
C.
may be true
D.
may be false
Answer»
B. false
49.
Sub-standard assets is one which has been classified as non performing asset
for a period not exceeding three years.
A.
true
B.
false
C.
may be true
D.
only true
Answer»
B. false
50.
Every banking company incorporated in India must transfer to the Reserve fund a sum equivalent to not less than 25% of profit of each year before declaration of dividend.
A.
true
B.
false
C.
only a
D.
a or b
Answer»
A. true
Chapter: Insurance Claim Accounts
51.
A business takes a……………insurance policy to cover the claims for loss of
stocks and loss of profit.
A.
Fire
B.
Life insurance
C.
Car insurance
D.
health insurance
Answer»
A. Fire
52.
The computation of loss by fire is very simple taken when a --------------
asset is destroyed
A.
current
B.
long-term
C.
fire
D.
intangible
Answer»
A. current
53.
The value of stock on the date of fire can be ascertained more precisely by
preparation of a…………… Account
A.
Trading A/c
B.
memorandum transaction A/c
C.
Balance sheet
D.
P & L A/c
Answer»
B. memorandum transaction A/c
54.
……………..clause is applicable in case of under insurance
A.
average
B.
Normal
C.
short sales
D.
indemnity period
Answer»
A. average
55.
…………………policy cover loss of gross profit sustained as a consequence of business interruption.
A.
loss of profit
B.
loss of stocks
C.
average clause
D.
loss of fixed assets
Answer»
A. loss of profit
56.
The period for which a policy is taken known ……………….as period
A.
indemnity
B.
short sales
C.
long
D.
fixed
Answer»
A. indemnity
57.
A ---------- policy covers loss of stock, fixed asset, profit, expenses etc.
A.
compact
B.
comprehensive
C.
horizontal
D.
operating
Answer»
B. comprehensive
58.
Insured standing charges are the --------------
A.
fixed charges
B.
horizontal charges
C.
fluctuating
D.
current charges
Answer»
A. fixed charges
59.
……………… ratio indicates the relationship of gross profit to net sales in
terms of percentage.
A.
Gross profit
B.
Net profit
C.
debtors turnover
D.
capital employed
Answer»
A. Gross profit
60.
Due to the inclusion of average clause in the fire insurance policy , an insured
becomes a……………….in the event of under insurance.
A.
co-insurer
B.
provision
C.
profit
D.
loss
Answer»
A. co-insurer
61.
The Insurance Company cannot prevent the happening of risk but provide for
losses at the happening of risk.
A.
true
B.
false
C.
only a
D.
a and b
Answer»
A. true
62.
Insurance is a financial service for collecting the saving of the public and
providing them with a risk of a coverage.
A.
true
B.
false
C.
may be true
D.
a and b
Answer»
A. true
63.
A marine insurance policy is taken to cover the claims for loss of stock.
A.
true
B.
false
C.
may be true
D.
both a and b
Answer»
B. false
64.
The amount paid by insured to insurer as a consideration is known as
premium.
A.
true
B.
false
C.
may be true
D.
may be false
Answer»
A. true
65.
General insurance business in India is transacted by Life Insurance Corporation
of India.
A.
true
B.
false
C.
may be true
D.
may be false
Answer»
B. false
66.
A memorandum trading account is to be prepared to ascertained the value of
stock on the date of fire.
A.
true
B.
false
C.
may be true
D.
may be false
Answer»
A. true
67.
A policy of fire insurance is intended to protect the assured against the loss
caused by fire.
A.
true
B.
false
C.
neither true nor false
D.
may be false
Answer»
A. true
68.
Gross profit must always be calculated as a percentage on purchase .
A.
true
B.
false
C.
either true or false
D.
may be false
Answer»
B. false
69.
Average clause is applicable in case of under insurance.
A.
true
B.
false
C.
only true
D.
may be false
Answer»
A. true
70.
A fire policy covers loss of or damaged to insured property.
A.
true
B.
false
C.
may be true
D.
only false
Answer»
A. true
71.
If value of stock on date of fire is 429000, salvage is 1570000 then stock
destroyed by fire will ………………
A.
271500
B.
270000
C.
275000
D.
none of the above
Answer»
A. 271500
72.
If value of stock on date of fire is 420000, salvage is 1500000 then stock
destroyed by fire will ………………
A.
250000
B.
255000
C.
253000
D.
251000
Answer»
A. 250000
73.
If value of stock on date of fire is 420000, salvage is 10000 then stock
destroyed by fire will ………………
A.
410000
B.
400000
C.
450000
D.
430000
Answer»
A. 410000
74.
If Gross profit is 600000, sales is Rs. 15,00,000 then gross profit ratio will be
…………..
A.
40%
B.
50%
C.
-40%
D.
– 50%
Answer»
A. 40%
75.
If Gross profit is 54000 and sales is Rs. 180000 then gross profit ratio will be ….
A.
30%
B.
45%
C.
15%
D.
25%
Answer»
A. 30%
76.
If Gross profit is Rs. 27000 and Sales Rs. 90000 then gross profit will be ……..
A.
30%
B.
25%
C.
30%
D.
30%
Answer»
A. 30%
77.
If Stock is 13500 for 90% then for 100% how much……….
A.
15000
B.
14000
C.
13500
D.
15500
Answer»
A. 15000
78.
If stock is for 90----------15300 100 -------------?
A.
. 17000
B.
18000
C.
29000
D.
15500
Answer»
A. . 17000
79.
If stock is for 110----------------- 44000
100-------------------?
A.
. 40000
B.
50000
C.
55000
D.
45000
Answer»
A. . 40000
80.
If value of Insurance Policy is 21000, Stock on date of Fire is 24000 and Loss of
stock is 20000 then Amount of Claim for stock will be ……………
A.
. 17500
B.
18000
C.
19000
D.
25000
Answer»
A. . 17500
81.
If value of Insurance Policy is 31500, Stock on date of Fire is 36000 and Loss of
stock is 27000 then Amount of Claim for stock will be ……………
A.
.23625
B.
24625
C.
25625
D.
23525
Answer»
A. .23625
82.
If value of Insurance Policy is 63000, Stock on date of Fire is 72000 and Loss of
stock is 54000 then Amount of Claim for stock will be ……………
A.
47250
B.
48250
C.
26000
D.
25000
Answer»
A. 47250
83.
If Sales of last year is Rs. 600000 and sales of corresponding current year is
Rs.200000 then Short sales will be ……………
A.
400000
B.
500000
C.
250000
D.
256000
Answer»
A. 400000
84.
If Net Profit is Rs. 200000 Insured Standing Charges is Rs. 160000 Sales of The Previous year is Rs. 1800000 Then Gross Profit Rate will be…………
A.
. 20%
B.
30%
C.
40%
D.
45%
Answer»
A. . 20%
85.
If Net Profit is Rs. 400000 Insured Standing Charges is Rs. 320000 Sales of The Previous year is Rs. 3600000 Then Gross Profit Rate will be…………
A.
. 20%
B.
30%
C.
50%
D.
65%
Answer»
A. . 20%
86.
IF Gross profit rate is 20% and Short Sales is Rs. 400000, then Loss of Profit on
Sales will be ………..
A.
Rs. 80000
B.
Rs. 50000
C.
Rs. 85000
D.
None of the above
Answer»
A. Rs. 80000
87.
IF Gross profit rate is 40% and Short Sales is Rs. 250000, then Loss of Profit on
Sales will be ………..
A.
Rs. 100000
B.
Rs. 50000
C.
Rs. 85000
D.
None of the above
Answer»
A. Rs. 100000
88.
If Sales of last year is Rs. 450000 and sales of corresponding current year is
Rs.200000 then Short sales will be ……………
A.
250000
B.
500000
C.
250000
D.
256000
Answer»
A. 250000
Chapter: Final Accounts Of Cooperative Societies
89.
A society which as proclaimed as its objective the………….of economic interest
of its member
A.
Promotion
B.
Demotion
C.
Recession
D.
none of these
Answer»
A. Promotion
90.
Maharashtra co-operative Society Act……..
A.
1960
B.
1949
C.
1986
D.
1932
Answer»
A. 1960
91.
The word………..Is working together for common purpose.
A.
Co-operation
B.
co-education
C.
Interest
D.
enactment
Answer»
A. Co-operation
92.
The Maharashtra co-operative Society Rules Act ……….
A.
1960
B.
1961
C.
1932
D.
1962
Answer»
B. 1961
93.
All sums of…………….received and expended by the Society and the matters in
respect of which receipts and expenditure take place.
A.
Money
B.
Profit
C.
Interest
D.
Income
Answer»
A. Money
94.
Managing committee of every Society shall prepare annual statement of
accounts within…………… days.
A.
42
B.
45
C.
2 yrs.
D.
48
Answer»
A. 42
95.
Transactions involving receipt in……………..are recorded on receipt side of cash
book.
A.
Cash
B.
Profit
C.
Interest
D.
loss
Answer»
A. Cash
96.
Rule number 61 of the Maharashtra Co-operative Society Rule 1961- the
society has to prepare final statement within……….days.
A.
45
B.
48
C.
21
D.
2 yrs
Answer»
A. 45
97.
Interest paid and payable comes to the……………side of the profit and loss
account.
A.
Expenditure
B.
Receipt
C.
Interest
D.
income
Answer»
A. Expenditure
98.
Dividend received on shares is comes to the……………. side of profit and loss
account.
A.
Income
B.
Profit
C.
Interest
D.
loss
Answer»
A. Income
99.
The investment on hand at the end of the period are valued at cost price or
market whichever is …………
A.
Less
B.
included
C.
Addd
D.
excluded
Answer»
A. Less
100.
…………….is mentioned in the balance sheet as foot note.
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