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McqMate
101. |
The claim lodged by the business to insurance company on happening the event |
A. | Claim |
B. | Loss of claim |
C. | discharge |
D. | insurance claim |
Answer» D. insurance claim |
102. |
The account prepared to find out the stock as on the date of fire ….. |
A. | Trading a/c |
B. | Stock a/c |
C. | Memorandum trading a/c |
D. | loss of stock a/c |
Answer» C. Memorandum trading a/c |
103. |
The insurance claim due to loss of stock is reduced to the proportion that the policy value bears to the value of stock |
A. | Average clause |
B. | Minimum clause |
C. | Maximum clause |
D. | loss of profit clause |
Answer» A. Average clause |
104. |
The insurance policy is less than the value of stock |
A. | Double insurance |
B. | re –insurance |
C. | under insurance |
D. | over insurance |
Answer» C. under insurance |
105. |
The insurance indemnifies the insured any loss of profit arising from interruption of the normal activity |
A. | Loss of profit insurance |
B. | full insurance |
C. | total insurance |
D. | fire insurance |
Answer» A. Loss of profit insurance |
106. |
The claim lodged by the business to the insurance company on happening the event of loss is called ………………….. |
A. | Insurance policy |
B. | Insurance claim |
C. | Insurance premium |
D. | None of these |
Answer» B. Insurance claim |
107. |
When a fixed asset is destroyed ,the loss of such asset on the date of fire can be ascertained from |
A. | record |
B. | accountant |
C. | books of accounts |
D. | None of these |
Answer» C. books of accounts |
108. |
When stock is destroyed the ………………….. of loss is difficult |
A. | computation |
B. | reduction |
C. | deduction |
D. | allocation |
Answer» A. computation |
109. |
Business concern often suffer …………… due to different reasons .such as fire, theft, flood, strike, etc |
A. | Normal losse |
B. | abnormal losses |
C. | natural losses |
D. | None of these |
Answer» B. abnormal losses |
110. |
A set of ……………… is to be followed to file a claim with the insurance company |
A. | rule |
B. | policies |
C. | procedure |
D. | None of these |
Answer» C. procedure |
111. |
Salvage value of stock to be ……….. from book value of stock |
A. | added |
B. | deducted |
C. | corrected |
D. | none of these |
Answer» B. deducted |
112. |
Average clause is a …………… in the insurance company |
A. | reserve |
B. | fund |
C. | provision |
D. | none of these |
Answer» C. provision |
113. |
Fire insurance policies contain an “………….” to discharge under insurance |
A. | Total clause |
B. | net clause |
C. | Gross clause |
D. | average clause |
Answer» D. average clause |
114. |
Fire insurance policies contain an “average clause” to discourage …………………………….. |
A. | Over insurance |
B. | fire insurance |
C. | under insurance |
D. | None of these |
Answer» C. under insurance |
115. |
Net claim on under insurance is equal to Loss of stock x value of stock On the date of fire |
A. | Policy value |
B. | Total value |
C. | total sales |
D. | none of these |
Answer» A. Policy value |
116. |
Gross profit on short sales are calculated as |
A. | Gross profit x operating ratio |
B. | short sales x gross profit ratio |
C. | Short sales x net profit ratio |
D. | short sales x operating ratio |
Answer» B. short sales x gross profit ratio |
117. |
Short sales is the difference between …………… and actual sales of dislocated period |
A. | net sale |
B. | gross sales |
C. | standard sales |
D. | total sales |
Answer» C. standard sales |
118. |
The amount of insurance ………….. to be paid at regular intervals |
A. | policy |
B. | claim |
C. | commission |
D. | premium |
Answer» D. premium |
119. |
At the time of calculating insurance claim , the average clause is ………………. If the value of stock at the date of fire was more than the policy value. |
A. | applicable |
B. | obtainable |
C. | receivable |
D. | payable |
Answer» A. applicable |
120. |
On dissolution of firm creditors are paid -------- |
A. | First |
B. | Second |
C. | Third |
D. | Last |
Answer» A. First |
121. |
Realization account is a ---------- account |
A. | Personal |
B. | Real |
C. | Nominal |
D. | Both real and nominal |
Answer» C. Nominal |
122. |
Firm’s debts are paid first out of ----------- assets |
A. | Partner’s |
B. | Firm’s |
C. | Shareholder’s |
D. | None of these |
Answer» B. Firm’s |
123. |
On dissolution, all assets excepting cash are transferred to the ---------- side of realization account |
A. | Debit |
B. | Credit |
C. | Both |
D. | None of these |
Answer» A. Debit |
124. |
Loss of realization is borne by the partners in their ------ ratio |
A. | Capital |
B. | Sacrificing |
C. | Profit sharing |
D. | None of these |
Answer» C. Profit sharing |
125. |
On dissolution of firm -------- are paid first |
A. | Investors |
B. | Owners |
C. | Creditors |
D. | Banks |
Answer» C. Creditors |
126. |
When a liability is assumed by a partner his capital account is ---------- |
A. | Debited |
B. | Credited |
C. | deducted |
D. | None of these |
Answer» B. Credited |
127. |
When an unrecorded asset is taken over by one of the partners, his capital account is ---------------- |
A. | Debited |
B. | Credited |
C. | Added |
D. | None of these |
Answer» A. Debited |
128. |
The account opened to close the various assets and liabilities of the firm on dissolution is called ------------- account |
A. | Revaluation |
B. | Amalgamation |
C. | Realization |
D. | Reduction |
Answer» C. Realization |
129. |
When a firm is dissolved, project or loss on realization is shared by the partner’s in their ------------- ratio |
A. | Profit sharing ratio |
B. | Capital contribution |
C. | Asset |
D. | None of these |
Answer» A. Profit sharing ratio |
130. |
In the event of dissolution of firm the partners personal assets are first used for payment of -------------- liabilities |
A. | Firm’s |
B. | Outsiders |
C. | External |
D. | Personal |
Answer» D. Personal |
131. |
Goodwill appearing in the balance sheet at Rs. 10,000 proved to be valueless, is not to be recorded on the ------------------ side of realization account |
A. | Debit |
B. | Credit |
C. | Both |
D. | None of these |
Answer» B. Credit |
132. |
On dissolution, partners loan, if any, will be paid --------- |
A. | First |
B. | Second |
C. | Third |
D. | Lastly |
Answer» B. Second |
133. |
-----------of partnership firm means closing the business of the firm |
A. | Admission |
B. | Retirement |
C. | Insolvency |
D. | Dissolution |
Answer» D. Dissolution |
134. |
On dissolution, all assets except cash are transferred to ----------- of realization account |
A. | Debit |
B. | Credit |
C. | Both |
D. | None of these |
Answer» A. Debit |
135. |
If a partner takes over some assets for value on dissolution, realization account should be ----------- |
A. | Debited |
B. | Credited |
C. | Both |
D. | None of these |
Answer» B. Credited |
136. |
In the case of dissolution of the firm , the account opened for closing various items in the balance sheet is called ---------------- |
A. | Deficiency account |
B. | Revolution account |
C. | Realization account |
D. | None of these |
Answer» C. Realization account |
137. |
A partnership which can be dissolved at any time by giving notice to other partners is known as ------------------ |
A. | Particular partnership |
B. | Partnership at will |
C. | General partnership |
D. | None of these |
Answer» B. Partnership at will |
138. |
Liabilities to third parties are paid ------------- |
A. | First |
B. | Second |
C. | Third |
D. | Lastly |
Answer» A. First |
139. |
The ------ has distinguished the ‘dissolution of partnership’ from ‘dissolution of firm’. |
A. | Companies act 1956 |
B. | Banking regulation act 1949 |
C. | Indian partnership act 1932 |
D. | Insurance act 1938 |
Answer» C. Indian partnership act 1932 |
140. |
Dissolution of a firm leads to |
A. | Continuing of business with the remaining partners |
B. | Closure of business |
C. | Merger with another firm |
D. | None of these |
Answer» B. Closure of business |
141. |
Amount advanced by partner over and above the capital is paid |
A. | Before paying outside debts |
B. | After paying outside debts |
C. | Along with outside debts |
D. | Last along with capital |
Answer» B. After paying outside debts |
142. |
The nominal account prepared to close the account of business is -------------- |
A. | Revaluation account |
B. | Realization account |
C. | Profit & Loss appropriation account |
D. | None of these |
Answer» B. Realization account |
143. |
Realization account is closed by transfer of profit/loss to |
A. | Cash account |
B. | Balance sheet |
C. | Capital accounts |
D. | Profit and loss account |
Answer» C. Capital accounts |
144. |
Realization account Dr. To partner’s capital a/c; this entry is recorded when |
A. | Profit is transferred |
B. | Unrecorded liability is discharged |
C. | Asset taken over |
D. | (a) and (b) |
Answer» D. (a) and (b) |
145. |
Realization account Dr. To asset a/c, this entry is written |
A. | To open the asset account |
B. | To close the asset account |
C. | To transfer the profit on asset account |
D. | None of these |
Answer» B. To close the asset account |
146. |
Find the odd one |
A. | Retirement of a partner |
B. | Death of a partner |
C. | All the partners except one become insolvent |
D. | Admission of a partner |
Answer» C. All the partners except one become insolvent |
147. |
-------------- is a situation where in existing state of arrangement is changed. |
A. | Re- possession |
B. | Insolvency |
C. | Reconstruction |
D. | Dissolution |
Answer» D. Dissolution |
148. |
---------------- of the Indian Partnership Act, 1932 states that when the partnership between all the partners of a firm comes to an end, it is called dissolution of the firm |
A. | Section 5 |
B. | Section 39 |
C. | Section 50 |
D. | Section 93 |
Answer» B. Section 39 |
149. |
When the relation of partnership among different partners changes without affecting the entity of the firm it is called------ |
A. | Dissolution of partnership |
B. | Dissolution of firm |
C. | Dissolved by mutual agreement |
D. | Termination |
Answer» A. Dissolution of partnership |
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