Practice Test

Q1) Balance sheet is a Show Answer

Q2) Income statement is a Show Answer

Q3) Face value of a share is Show Answer

Q4) Authorized capital is Show Answer

Q5) Securities premium can be used for Show Answer

Q6) General reserve is created out of Show Answer

Q7) Point out from the following which is not a secured loan Show Answer

Q8) Fixed assets should be disclosed in balance sheet at Show Answer

Q9) Live stock is a Show Answer

Q10) Patents and copyrights is an Show Answer

Q11) Goodwill is an Show Answer

Q12) Land and Building is a Show Answer

Q13) Capital work in progress is disclosed under Show Answer

Q14) Provision for depreciation is Show Answer

Q15) Underwriting commission is a Show Answer

Q16) Stock is a Show Answer

Q17) Bank overdraft is not a Show Answer

Q18) Gross profit is Show Answer

Q19) Operating profit is Show Answer

Q20) Bills payable is a Show Answer

Q21) Provision for taxation is a charge against Show Answer

Q22) Staff salary is an Show Answer

Q23) Fixed assets are Rs.5,00,000 current assets are Rs.3,00,000, and Current liabilities are Rs.1,00,000. there is no loans and investments.Capital employed will be Show Answer

Q24) Current liabilities include creditors Rs 2,00,000. Bills payable Rs.1,00,000. Exp. payable Rs.50,000, Bank OD Rs.2,00,000. quick liabilities will be Show Answer

Q25) Fixed assets include premises Rs.10,00,000, machinery Rs.5,00,000, furniture Rs.2,00,000, vehicles Rs.3,00,000, live stock Rs.1,00,000, Goodwill Rs.2,00,000, Patents and copy rightsRs.1,50,000. Underwriting commission Rs.50, 000. Find out the fixed, tangible, immovable assets Show Answer

Q26) Fixed assets include premises Rs.10,00,000, machinery Rs.5,00,000, furniture Rs.2,00,000, vehicles Rs.3,00,000, live stock Rs.1,00,000, Goodwill Rs.2,00,000, Patents and copy rights Rs.1,50,000. Underwriting commission Rs.50, 000. Find out the fixed, intangible assets Show Answer

Q27) Fixed assets include premises Rs.10,00,000, machinery Rs.5,00,000, furniture Rs.2,00,000, vehicles Rs.3,00,000, live stock Rs.1,00,000, Goodwill Rs.2,00,000, Patents and copy rightsRs.1,50,000. Underwriting commission Rs.50, 000. Find out the fictitious assets Show Answer

Q28) Gross profit is Rs.47, 000 administrative expenses Rs.10, 500. Selling expenses Rs.5, 000, dividend on investments Rs.2, 000, loss on sale of car is Rs.500. net operating profit will be. Show Answer

Q29) Sales are Rs.5, 00,000 G.P is 20% on cost of sales. The G.P will be Show Answer

Q30) Sales are Rs.5, 00,000 operating cost is Rs.2, 00,000,and profit on sale of machinery isRs.10, 000. operating profit will be Show Answer

Q31) Share Capital is Rs.15,00,000, Reserves Rs.10,00,000, Formation expenses Rs.10,000. Debentures Rs.5,00,000. Public Deposits Rs.3,00,000. Calls in arrears Rs.10,000. Find out Net worth Show Answer

Q32) Share Capital is Rs.15,00,000, Reserves Rs.10,00,000,Formation expenses Rs.10,000. Debentures Rs.5,00,000. Public Deposits Rs.3,00,000. Calls in arrears Rs.10,000. Find out Loan fund. Show Answer

Q33) Share Capital is Rs.15,00,000, Reserves Rs.10,00,000, Formation expenses Rs.10,000. Debentures Rs.5,00,000. Public Deposits Rs.3,00,000. Calls in arrears Rs.10,000. Find out Capital employed. Show Answer

Q34) Share Capital is Rs.15,00,000, Reserves Rs.10,00,000,Formation expenses Rs.10,000. Debentures Rs.5,00,000. Public Deposits Rs.3,00,000. Calls in arrears Rs.10,000. Find out unsecured loan. Show Answer

Q35) Stock Rs.3,00,000 Debtors Rs.2,50,000. Cash/Bank Rs.2,50,000. Bills receivable Rs.50,000, prepaid expenses Rs.10,000. Creditors Rs.2,00,000, Bills payable Rs.50,000 expenses payable Rs.5,000 provision for tax Rs.20,000, unclaimed dividend Rs.25,000, loan taken Rs.10,000. Find out current assets Show Answer

Q36) Stock Rs.3,00,000 Debtors Rs.2,50,000. Cash/Bank Rs.2,50,000. Bills receivable Rs.50,000, prepaid expenses Rs.10,000. Creditors Rs.2,00,000, Bills payable Rs.50,000 expenses payable Rs.5,000 provision for tax Rs.20,000, unclaimed dividend Rs.25,000, loan taken Rs.10,000. Find out current liabilities. Show Answer

Q37) Stock Rs.3,00,000 Debtors Rs.2,50,000. Cash/Bank Rs.2,50,000. Bills receivable Rs.50,000, prepaid expenses Rs.10,000. Creditors Rs.2,00,000, Bills payable Rs.50,000 expenses payable Rs.5,000 provision for tax Rs.20,000, unclaimed dividend Rs.25,000, loan taken Rs.10,000. Find out working capital Show Answer

Q38) Stock Rs.3,00,000 Debtors Rs.2,50,000. Cash/Bank Rs.2,50,000. Bills receivable Rs.50,000, prepaid expenses Rs.10,000. Creditors Rs.2,00,000, Bills payable Rs.50,000 expenses payable Rs.5,000 provision for tax Rs.20,000, unclaimed dividend Rs.25,000, loan taken Rs.10,000. Find out liqiud assets Show Answer

Q39) Stock Rs.3,00,000 Debtors Rs.2,50,000. Cash/Bank Rs 2,50,000. Bills receivable Rs.50,000, prepaid expenses Rs.10,000. Creditors Rs.2,00,000, Bills payable Rs.50,000 expenses payable Rs.5,000 provision for tax Rs.20,000, unclaimed dividend Rs.25,000, loan taken Rs.10,000. Find out current liability Show Answer

Q40) _________ Shows financial position of a firm. Show Answer

Q41) ______ shows result of activities conducted during the year. Show Answer

Q42) ________ of a share is called its face value. Show Answer

Q43) ______is mentioned in M/A under capital clause. Show Answer

Q44) Calls in advance should be shown in balance sheet on_______side. Show Answer

Q45) Calls in arrears should be from subscribed capital Show Answer

Q46) Securities premium should be disclosed under____ Show Answer

Q47) Debentures carry fixed rate of _____ Show Answer

Q48) Public deposits should be shown under ______ Show Answer

Q49) Provisions for dividend should be shown under. ___ Show Answer

Q50) Trade mark is an _______ asset Show Answer

Q51) Live stock is a ______ asset Show Answer

Q52) Net worth is equal to paid up capital plus ____ Show Answer

Q53) Capital employed = Net worth plus ______. Show Answer

Q54) loose tooles is _______ Show Answer

Q55) Advance tax is shown under _______. Show Answer

Q56) GP is sales - _____________ Show Answer

Q57) Profit on sale of furniture is a ______. Show Answer

Q58) Working capital is excess of current assets over _____ Show Answer

Q59) Retained earning is disclosed under ______ Show Answer

Q60) Management accounting is a recent development Show Answer

Q61) Balance sheet shows result of activities. Show Answer

Q62) P& L A/c shows financial position of an organization. Show Answer

Q63) Authorized capital is the minimum capital that can be raised by a company Show Answer

Q64) Subscribed capital is the capital subscribed by the investors. Show Answer

Q65) Calls in arrears are calls in advance Show Answer

Q66) Calls in advance are shown under current assets. Show Answer

Q67) Public deposits are a secured loan. Show Answer

Q68) Debentures may be unsecured only. Show Answer

Q69) Unclaimed dividend is a current liability Show Answer

Q70) Goodwill should be shown under fictitious assets. Show Answer

Q71) Patents and copyrights are intangible assets. Show Answer

Q72) Live stock is a current asset. Show Answer

Q73) Loose tools should be shown under current assets. Show Answer

Q74) Preliminary expenses are shown under miscellaneous expenditure. Show Answer

Q75) Arrears of preference dividend are a contingent liability. Show Answer

Q76) Gross profit is excess of sales over cost of goods sold. Show Answer

Q77) Interest on loan is disclosed separately in the income statement. Show Answer

Q78) Salary is shown under operating expenses . Show Answer

Q79) Profit on sale of machinery is operating income. Show Answer

Q80) Capital employed is equal to working capital. Show Answer

Q81) An expenditure carrying probable future benefits. Show Answer

Q82) Vertical analysis is also called _______ analysis Show Answer

Q83) Assets convertible into cash in the normal course of business are _____ assets. Show Answer

Q84) Example of non-fictious asset are Show Answer

Q85) Natural resources like goldmine,etc. which are exhausted due to extraction or use are Show Answer

Q86) Loan fund includes Show Answer

Q87) an asset which do not have physically exist. Show Answer

Q88) Following are the example of contingent liabilities Show Answer

Q89) An expenditure from which no enduring benefit is expected are called as. Show Answer

Q90) P & L Appropriation A/c will cover Show Answer

Q91) Future Renevue expenditure Show Answer

Q92) Internal analysis of financial statement is useful for Show Answer

Q93) Revenue expenditure which is carried forward to future years. Show Answer

Q94) Commonsize statement indicate ________ analysis Show Answer

Q95) Tangible objects or intangible rights owned by a concern, carrying probable future benefits are Show Answer

Q96) Classification of fixed asset Show Answer

Q97) An asset held for the purpose production are Show Answer

Q98) The term financial statement refers to Show Answer

Q99) Asset held not for business operations, but to earn interest, income, profit or other benefits. Show Answer

Q100) net worth includes Show Answer

Q101) An item shown under asset in the balance sheet which has no saleable value. Show Answer

Q102) Capital employed indicates. Show Answer

Q103) Following is not a quick asset Show Answer

Q104) In Common size Income Statement percentages are expressed in terms of Show Answer

Q105) Debenture repayable within 1 year are shown as Show Answer

Q106) In Common size Income Statement ______ is taken as 100. Show Answer

Q107) Long term loans given are shown as Show Answer

Q108) Net worth includes Show Answer

Q109) The comparative income statement shows the the increase/decrease of ______ over the previous year Show Answer

Q110) Amount set aside to meet losses due to advances is a _______ Show Answer

Q111) Renevue expenditure pertaning to Current year Show Answer

Q112) Secret reserve is created out of Show Answer

Q113) Revenue expenditure incurred but not yet paid Show Answer

Q114) Quick asset are Show Answer

Q115) Gradual & Systematic writing off deffered revenue expenditure Show Answer

Q116) Limitations of financial statement are Show Answer

Q117) Capital employed Show Answer

Q118) Shareholders fund is also known as Show Answer

Q119) In common size balance sheet analysis the _______ are taken as cent percent. Show Answer

Q120) The term outside funds or owed funds includes Show Answer