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McqMate
Chapters
701. |
Debentures constitute ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ capital of the company |
A. | Owned |
B. | Borrowed |
C. | Reserve |
D. | None of these |
Answer» B. Borrowed |
702. |
Debenture holders are ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of a company. |
A. | Owners |
B. | Creditors |
C. | Debtors |
D. | None of these |
Answer» B. Creditors |
703. |
Generally, debentures are |
A. | Unsecured |
B. | Secured |
C. | Converted |
D. | Bearer |
Answer» B. Secured |
704. |
Redemption of debentures means ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of liability on debentures. |
A. | Conversion |
B. | Discharge |
C. | Creation |
D. | None of these |
Answer» B. Discharge |
705. |
Debentures issued with a fixed or a floating charge on the assets of the company are called ‐‐‐‐‐‐‐‐‐‐‐ debentures |
A. | Bearer |
B. | Secured |
C. | Simple |
D. | Unsecured |
Answer» B. Secured |
706. |
Debentures repayable after a fixed period of a time are called ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ debentures. |
A. | Convertible |
B. | Redeemable |
C. | Bearer |
D. | Secured |
Answer» B. Redeemable |
707. |
When charge is created against specific assets of the company, it is called ‐‐‐‐‐‐‐‐‐‐‐‐‐ charge. |
A. | Floating |
B. | Fixed |
C. | Second |
D. | None of these. |
Answer» B. Fixed |
708. |
Unsecured debentures are otherwise known as ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ debentures. |
A. | Simple |
B. | Mort age |
C. | Bearer |
D. | None of these. |
Answer» A. Simple |
709. |
Debenture is a written ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of debt of a company |
A. | Articles |
B. | Acknowledgement |
C. | Payment |
D. | None of these. |
Answer» B. Acknowledgement |
710. |
Premium on issue of debentures is a ‐‐‐‐‐‐‐‐‐‐‐. |
A. | Capital loss |
B. | Capital profit |
C. | Revenue profit |
D. | Revenue loss. |
Answer» B. Capital profit |
711. |
Capital Redemption Reserve Account and Securities Premium Account can be only for issuing fully paid Bonus Shares and not for making partly paid shares into ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Fully paid |
B. | Partly paid |
C. | Converted |
D. | None of these. |
Answer» A. Fully paid |
712. |
Bonus issue can be made out of securities premium collected in ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Cash only |
B. | In kind |
C. | Partly in cash and in kind |
D. | None of these. |
Answer» A. Cash only |
713. |
Bonus issue is permitted only if all partly paid shares are made‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Fully paid shares |
B. | ¾ Fully paid |
C. | ¼ Fully paid |
D. | None of these |
Answer» A. Fully paid shares |
714. |
Bonus issues ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ even when the shares are partly paid. |
A. | Can be made |
B. | Cannot be made |
C. | Both of them. |
D. | None of these |
Answer» A. Can be made |
715. |
In order to know ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ value of shares, it is necessary to know the net value of the assets of the company. |
A. | Intrinsic value |
B. | Yield value |
C. | Fair value |
D. | None of these |
Answer» A. Intrinsic value |
716. |
If the actual profits are more than the expected normal profits, the difference is termed as ‐‐‐‐‐‐‐ |
A. | Simple profit |
B. | Average profit |
C. | We gated Average profit |
D. | Super profit |
Answer» D. Super profit |
717. |
Intrinsic value of share is calculated by dividing the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of the company by the number of shares |
A. | Market value of assets |
B. | Net asset |
C. | Original cost of asset |
D. | None of these |
Answer» B. Net asset |
718. |
Fair value of a share in the simple average of intrinsic value and ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ value of a share |
A. | Nominal value |
B. | Face value |
C. | Market value |
D. | Yield value. |
Answer» D. Yield value. |
719. |
In the calculation of ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐, past profits will have to be adjusted, in order to dertemine the future expected profits. |
A. | Shares |
B. | Market value |
C. | Fair value |
D. | Goodwill |
Answer» A. Shares |
720. |
Fair value of a share is the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ average of intrinsic value and yield value. |
A. | Weighted |
B. | Simple |
C. | Multiple |
D. | None of these. |
Answer» B. Simple |
721. |
‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of the following is not concerned with the valuation of goodwill. |
A. | Earning capacity method |
B. | Super profit method |
C. | Average profit method |
D. | None of these |
Answer» A. Earning capacity method |
722. |
In the balance sheet forfeited shares amount is to be added to ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐. |
A. | Share capital |
B. | Reserve |
C. | Surplus |
D. | None of these |
Answer» A. Share capital |
723. |
Dividend declared between two Annual General Meetings. |
A. | Final dividend |
B. | Proposed dividend |
C. | Unclaimed dividend |
D. | Interim dividend |
Answer» D. Interim dividend |
724. |
When the proposed dividend is more than 20 %, an amount equal to ‐‐‐‐‐‐‐‐‐‐‐ of the current profits must be transferred to reserve. |
A. | 5% |
B. | 7.5% |
C. | 2.5% |
D. | 10% |
Answer» D. 10% |
725. |
Share holders cannot increase the rate of ‐‐‐‐‐‐‐‐‐ recomened by the Boared of Directors. |
A. | Interest |
B. | Profit |
C. | Dividend |
D. | None of these. |
Answer» C. Dividend |
726. |
Advance payment of tax should be shown on the ‐‐‐‐‐‐‐‐‐‐‐‐ side of the balance sheet. |
A. | Liability side |
B. | Asset side |
C. | Debit side |
D. | Credit side |
Answer» B. Asset side |
727. |
No dividend is payable on calls in ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Arrears |
B. | Unpaid |
C. | Unclaimed |
D. | Advance |
Answer» D. Advance |
728. |
Companies have a statutory obligation to prepare required by section 210 of the companies Act |
A. | Trading account |
B. | Profit and loss account |
C. | Balance sheet |
D. | Final accounts |
Answer» D. Final accounts |
729. |
Companies have a statutory obligation to prepare final accounts required by ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of the companies Act 1956. |
A. | Section 215 |
B. | Section 220 |
C. | Section 210 |
D. | Section 212 |
Answer» C. Section 210 |
730. |
Companies have a statutory obligation to prepare final Accounts required by section 210 of the ‐‐‐‐‐‐‐ ‐‐‐‐‐1956. |
A. | Partnership Act |
B. | Banking Regulation Act |
C. | Insurance Act |
D. | Companies act. |
Answer» D. Companies act. |
731. |
Companies have a statutory obligation to prepare final accounts required by section 210 of the companies Act ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | 1936 |
B. | 1932 |
C. | 1938 |
D. | 1956 |
Answer» D. 1956 |
732. |
Final accounts of the companies is prepared under the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Partnership Act 1932 |
B. | Insurance Act 1938 |
C. | Companies Act 1956 |
D. | Banking Regulation act 1949 |
Answer» C. Companies Act 1956 |
733. |
Requirements given in part II of the schedule VI apply to ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | The Trading Account |
B. | The Profit and Loss Account |
C. | The balance sheet |
D. | Final Accounts |
Answer» B. The Profit and Loss Account |
734. |
Requirements given in part I of schedule VI apply to ‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Income statement |
B. | Statement of profit or loss |
C. | Balance sheet |
D. | Final accounts |
Answer» C. Balance sheet |
735. |
Requirements given in part II of ‐‐‐‐‐‐‐‐‐‐‐‐‐apply to statement of profit or loss |
A. | Schedule III |
B. | Schedule IV |
C. | Schedule V |
D. | Schedule VI |
Answer» D. Schedule VI |
736. |
Requirements given in part I of ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ apply to Balance sheet |
A. | Schedule I |
B. | Schedule VI |
C. | Schedule II |
D. | Schedule V |
Answer» B. Schedule VI |
737. |
Ordinarily ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ are not available for the distribution of dividend. |
A. | Revenue profits |
B. | Capital profits |
C. | Gross profit |
D. | Net profit |
Answer» B. Capital profits |
738. |
Ordinarily ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ are available for the distribution of dividend. |
A. | Revenue profits |
B. | Capital profits |
C. | Gross profit |
D. | Trading profits |
Answer» A. Revenue profits |
739. |
Dividend paid or declared are subject to corporate dividend Tax @ ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ as per recent finance Act. |
A. | 12.5% |
B. | 17% |
C. | 15% |
D. | 10% |
Answer» B. 17% |
740. |
Dividend paid or declared are subject to corporate Dividend Tax @ 17% as per recent ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Finance Act |
B. | Companies Act |
C. | Partnership Act |
D. | Insurance Act |
Answer» A. Finance Act |
741. |
Dividend paid are subject to ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ Tax @ 17% as per recent Finance Act |
A. | Income Tax |
B. | Gift Tax |
C. | Corporate Dividend Tax |
D. | None of these |
Answer» C. Corporate Dividend Tax |
742. |
Assets in to Balance sheet of a limited company are arranged in order of :‐ |
A. | Liquidity |
B. | Permanence |
C. | Durability |
D. | Turnover |
Answer» B. Permanence |
743. |
Calls in arrear is shown on the liability side of the balance sheet:‐ |
A. | Under the heading current liabilities |
B. | Under the head current assets |
C. | Under the head fixed assets |
D. | By deducting the amount from the called up capital |
Answer» D. By deducting the amount from the called up capital |
744. |
Fictitious assets are shown on the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐side of the balance sheet. |
A. | Liability side |
B. | Income |
C. | Balance sheet |
D. | Assets |
Answer» D. Assets |
745. |
Fictitious Assets shown on the Asset side of the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Project and loss account |
B. | Income statement |
C. | Balance sheet |
D. | Revenue account. |
Answer» C. Balance sheet |
746. |
Fictitious Assets are shown on the asset side of the balance sheet of a company under the heading ‐‐ ‐‐‐‐‐‐‐‐‐ |
A. | Fixed assets |
B. | Current assets |
C. | Tangible assets |
D. | Miscellaneous Expenditure |
Answer» D. Miscellaneous Expenditure |
747. |
Goodwill incase of a joint stock on the assets side under the heading of ‐‐‐‐‐‐‐‐‐‐ |
A. | Fixed assets |
B. | Current Assets |
C. | Tangible assets |
D. | Intangible assets |
Answer» A. Fixed assets |
748. |
‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ in case of a joint stock company is shown on the Asset side under heading of intangible assets |
A. | Goodwill |
B. | Plant & machinery |
C. | Land |
D. | Building |
Answer» A. Goodwill |
749. |
Goodwill in case of a joint stock company is shown on the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐ side under the heading of intangible assets |
A. | Liability side |
B. | Asset side |
C. | Credit side |
D. | Debit side |
Answer» B. Asset side |
750. |
Share forfeited Account is shown on the liabilities side of the balance sheet‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | By adding to the paid up capital |
B. | Under the head reserves and surpluses |
C. | Under the head current liabilities |
D. | Under the head current Assets |
Answer» A. By adding to the paid up capital |
751. |
Unclaimed dividend is shown on the liability side of the balance sheet under the heading:‐ |
A. | Reserves & Surpluses |
B. | Current liabilities |
C. | Provisions |
D. | Unsecured Loans. |
Answer» B. Current liabilities |
752. |
Unclaimed dividend is shown on the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of the balance sheet |
A. | Assets side |
B. | Credit side |
C. | Liability side |
D. | Debit side |
Answer» C. Liability side |
753. |
Uncliamed dividend is shown on the liability side of the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ under the heading current liabilities. |
A. | Profit and loss account |
B. | Income statement |
C. | Revenue Account |
D. | Balance sheet |
Answer» D. Balance sheet |
754. |
The difference between Gross dividend receivable and dividend received is debited to ‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Tax deducted at source |
B. | Dividend deducted at source |
C. | Interest deducted at source |
D. | None of these. |
Answer» A. Tax deducted at source |
755. |
The difference between ‐‐‐‐‐‐‐‐‐‐‐‐‐‐ receivable and dividend received is debited to tax deducted at source. |
A. | Gross dividend |
B. | Net dividend |
C. | Average dividend |
D. | Final dividend |
Answer» A. Gross dividend |
756. |
Dividend declared between two ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ is known as interim dividend |
A. | Annual general meeting |
B. | Directors meeting |
C. | Special meeting |
D. | Board meeting |
Answer» A. Annual general meeting |
757. |
‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ declared between two annual general meeting is known as interim dividend |
A. | Interest |
B. | Dividend |
C. | Final dividend |
D. | Unclaimed dividend |
Answer» B. Dividend |
758. |
Dividend declared between two annual general meeting is known as ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Final dividend |
B. | Unclaimed dividend |
C. | Interim dividend |
D. | None of these. |
Answer» C. Interim dividend |
759. |
Calls in advance is shown on the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of the balance sheet |
A. | Asset side |
B. | Credit side |
C. | Liability side |
D. | Debit side |
Answer» C. Liability side |
760. |
Preliminiary expenses incurred on the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of a company. |
A. | Formation |
B. | Fluctuation |
C. | Absorption |
D. | Amalgamation |
Answer» A. Formation |
761. |
A Banking company should transfer ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of its profits to a statutory reserve. |
A. | 20% |
B. | 25% |
C. | 15% |
D. | 10% |
Answer» B. 25% |
762. |
A banking company should transfer 25% of its profits to a ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | General reserve |
B. | Capital reserve |
C. | Statutory Reserve |
D. | Reserve fund |
Answer» C. Statutory Reserve |
763. |
A ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ company should transfer 25% of its profits to a statutory reserve |
A. | Joint stock company |
B. | Insurance company |
C. | Private limited company |
D. | Banking company |
Answer» D. Banking company |
764. |
Rebate on bills discounted is a ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of the Banking company. |
A. | Liability |
B. | Assets |
C. | Expense |
D. | Income |
Answer» A. Liability |
765. |
Rebate on bills discounted is shown on the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ side of the balance sheet |
A. | Asset |
B. | Liability |
C. | Credit |
D. | Debit |
Answer» B. Liability |
766. |
Rebate on bills discounted is shown on the liability side of the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Profit and loss account |
B. | Income statement |
C. | Balance sheet |
D. | None of these. |
Answer» C. Balance sheet |
767. |
Bills discounted is an ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of the banking company |
A. | Asset |
B. | Liability |
C. | Income |
D. | Expense |
Answer» A. Asset |
768. |
Banks are required to transfer ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of their profits to a statutory Reserve. |
A. | 25% |
B. | 205 |
C. | 15% |
D. | 10% |
Answer» A. 25% |
769. |
Rebate on bills discounted is ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | An item of income |
B. | Income received in advance |
C. | An asset |
D. | Income accrued |
Answer» B. Income received in advance |
770. |
Banking business in India is largely governed by the Banking Regulation Act‐‐‐‐‐‐‐‐‐ |
A. | 1932 |
B. | 1956 |
C. | 1949 |
D. | 1938 |
Answer» C. 1949 |
771. |
‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ in India is largely governed by the Banking Regulation act 1949. |
A. | Insurance business |
B. | Banking business |
C. | Joint Stock company |
D. | Cooperative society. |
Answer» B. Banking business |
772. |
Banking business in India is largely governed by the ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Partnership Act |
B. | Companies Act |
C. | Insurance Act |
D. | Banking Regulation Act |
Answer» D. Banking Regulation Act |
773. |
A ‐‐‐‐‐‐‐‐‐‐‐‐ loan is payable on demand |
A. | Short term Loan |
B. | Demand Loan |
C. | Fixed Loan |
D. | Long term Loan |
Answer» B. Demand Loan |
774. |
A demand Loan is payable on ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Demand |
B. | At any time |
C. | After one year |
D. | After six months |
Answer» A. Demand |
775. |
Revenue reserve means any reserve other than ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ reserve. |
A. | General |
B. | Capital |
C. | Capital Redemption |
D. | Other reserve. |
Answer» D. Other reserve. |
776. |
Money at call and short notice is an ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ of the Banking company. |
A. | Liability |
B. | Asset |
C. | Income |
D. | Expense |
Answer» B. Asset |
777. |
Banks show provision for income tax under the head |
A. | Contingency Account |
B. | Other liabilities |
C. | Contingent liabilities |
D. | None of these. |
Answer» B. Other liabilities |
778. |
Contingency funds have been grouped in the balance sheet under the head ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ |
A. | Other liabilities |
B. | Provisions |
C. | Current liabilities |
D. | Current liabilities and provisions. |
Answer» D. Current liabilities and provisions. |
779. |
No profits and Loss Appropriation Account is prepared in case of a ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ company. |
A. | Company |
B. | Partnership |
C. | Banking company |
D. | None of these, |
Answer» C. Banking company |
780. |
Banks are required to prepare final accounts for each ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ year |
A. | Financial year |
B. | Calendar year |
C. | Previous year |
D. | None of these. |
Answer» A. Financial year |
781. |
A company required to prepare in profit & loss Account according to ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ in to III schedule to the banking regulation Act. |
A. | Form A |
B. | Form B |
C. | Form C |
D. | Form D |
Answer» B. Form B |
782. |
A Banking company required to prepare its balance sheet according to ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ in the schedule III to the banking |
A. | Form A |
B. | Form B |
C. | Form C |
D. | Form D |
Answer» A. Form A |
783. |
A Banking company required to prepare final accounts according to ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ schedule to the banking Regulation Act. |
A. | III |
B. | IV |
C. | V |
D. | VI |
Answer» A. III |
784. |
A ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ company required to prepare its balance sheet according to form A in the III schedule to the banking Regulation Act. |
A. | Insurance company |
B. | Joint stock company |
C. | Banking company |
D. | None of these. |
Answer» C. Banking company |
785. |
A ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐ company required to prepare its project and loss account according to Form B in the Schedule III to the Banking Regulation Act. |
A. | Insurance company |
B. | Joint stock company |
C. | Banking company |
D. | None of these. |
Answer» C. Banking company |
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