NET, IAS, State-SET (KSET, WBSET, MPSET, etc.), GATE, CUET, Olympiads etc.: Commerce MCQs (Practice_Test 27 of 99)
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- M⟋s. ABC Ltd. Forfeited 20 shares of ₹ 10 each, ₹ 8 called up, on which X had paid application and allotment money of ₹ 2 and ₹ 3 respectively. These shares were re-issued to Y at ₹ 6 each fully paid. What was the balance in share forfeiture account before the shares were re-issued?
- ₹ 40
- ₹ 60
- ₹ 100
- ₹ 160
- X Ltd. Issued 1,000 9% preference shares of ₹ 100 each at a premium of 10% , redeemable at par after 5 years. What is the cost of preference capital of the company?
- 3.5%
- 6.7%
- 5.3%
- 7.6%
- A firm employs ₹ 10,00, 000 as capital.Investors expect an income of 15% . The actual profits (likely to be continued) is ₹ 2,00, 000. What will be the value of Goodwill of the firm according to Super Profit method if it is to be valued at 3 years purchase?
- ₹ 50,000
- ₹ 1,50, 000
- ₹ 2,00, 000
- ₹ 2,15, 000
- Income and Expenditure account of a college is credited with which of the following?
- Tuition fees paid by the students
- Cost of science laboratory equipments
- Fines realized by the authority from students
- Price of prizes
- Select the correct answer using the codes given below
- 1 and 2
- 2 and 3
- 1 and 3
- 2 and 4
- The following information is available regarding subscription from the members of X Club during the year 2003 − 04 Subscription Income: ₹ 28,000 Outstanding subscription at the end of the year: ₹ 1,160 Outstanding subscription at the beginning of the year: ₹ 360 Subscription received in advance: ₹ 640 What is the amount of receipt of the club from subscription during the year 200.3 − 04?
- ₹ 28,160
- ₹ 29,000
- ₹ 27,840
- ₹ 29,520
- Consider the following adjusting entries:
- Outstanding expenses: Expense A⟋c Dr To outstanding expense A⟋c
- Prepaid expenses: Expense A⟋c Dr To prepaid expenses A⟋c
- Income earned and not received: Income A⟋c Dr To outstanding income A⟋c
- Income received in advance: Income
- A⟋c Dr To prepaid income A⟋c
- Which of the adjusting entries given above is⟋are correct?
- 1 and 4
- 2 and 3
- 1 only
- 1,2, 3 and. 4
- A steel fabrication firm receives an income for service rendered by its design engineer to a friendly party. How should this be treated in the profit and loss account of the firm?
- Should be shown as sales income
- Should be shown as miscellaneous income
- Should be shown as non-operating income
- Not an income of the firm
- The balances in the books of X, a sole proprietor were: Opening stock ₹ 17,000; Purchases ₹ 52,000; Wages ₹ 46,500; Fuel ₹ 15,000; Sales ₹ 1,45, 000 and Closing stock on hand ₹ 25,000 whose net realizable value was ₹ 28,000. The Gross Profit calculated would be:
- ₹ 39,500
- ₹ 42,500
- ₹ 54,500
- ₹ 57,000
- Which one of the following Accounting Standard is not having the correct title?
- AS. 22 Accounting for taxes on income
- AS-20 Earning per share
- AS. 24 Accounting for borrowings
- AS-18 Related party disclosures
- A sum of ₹ 50,000 was spent by a factory in overhauling its existing plant and machinery and it enhanced its working life by five years. The aforesaid expenditure is
- Revenue expenditure
- Deferred revenue expenditure
- Capital expenditure
- Partly capital and partly revenue expenditure
- If a radio seller-proprietor buys a radio for his personal use from out of business funds, the amount paid for the radio will be treated as ‘drawings’ of the proprietor because of the
- Dual Aspect Concept
- Going Concern Concept
- Business Entity Concept
- Matching Concept
- Which of the following is not the correct symptom of over-capitalization?
- When a company earns less than what it should have earned as a fair rate of return on its total capital.
- When book value of shares is lower than their real value.
- When earnings do not justify the amount of capital invested.
- Select the correct answer using the codes given below
- 1 only
- 2 only
- 1 and 2
- 2 and 3
- Consider the following statements As per section 46AA of the Companies (Second Amendment) Act; 2002, sick industrial company means an industrial company which has
- the accumulated losses in any financial year equal to fifty percent or more of its average net worth during four years immediately preceding such financial year
- failed to repay its debts within any three consecutive quarters on demand made in writing for its repayments. By a creditor or creditors of such company.
- Which of the statements given above is⟋are correct?
- 1 only
- 2 only
- Both 1 and 2
- Neither 1 nor 2
- Match List I (Accounting Concept) with List II (Principle involved) and select the correct answer using the codes given below:
Table Supporting: NET, IAS, State-SET (KSET, WBSET, MPSET, Etc.) , GATE, CUET, Olympiads Etc. : Commerce MCQs (Practice_Test 27 of 99) List-I List-II - Consistency
- Comparability
- Conservatism
- Disclosure
- Losses are anticipated and accounted for in advance but profits are not accounted for until realized
- All the relevant financial information should be summarized and presented in the accounting statements
- Accounting procedures in an entity should be followed uniformly from period to period
- Accounting statements of different periods of an entity and those of different entities of a period should be based on the same accounting principles and procedures
- Personal judgment of accountants should not influence accounting statements
- A
- B
- C
- D
- 4
- 5
- 1
- 3
- 1
- 3
- 2
- 5
- 4
- 3
- 1
- 5
- 1
- 5
- 2
- 3
- Consider the following statements about balance sheet of a company
- It is always prepared from the point of view of the firm, company or business, and not from that of its owners, creditors, directors or employees.
- The financial relationship of the business to its owners is shown in the amount of capital, reserves and undistributed profits.
- It always relates to a particular period of time. Which of the statements given above is⟋are correct?
- 1,2 and 3
- 1 and 2
- 1 only
- 2 only