Competitive Exams: Commerce MCQs (Practice-Test 60 of 99)

  1. Under which of the following circumstances an auditor may refuse to accept the vouchers?

    1. The amount written in words does not match with the amount written in figures

    2. The date of voucher does not match with the date of entry in the books of accounts

    3. The amount mentioned in the voucher does not correspond to the entry in the cash book

    4. The voucher has not been endorsed by a competent authority

    Select the correct answer using the code given below:

    1. 1 and 2 only

    2. 2 and 3 only

    3. 1, 3 and 4 only

    4. 1, 2, 3 and 4

  2. Which one of the following statements is correct? The auditor in a cooperative society conducts the audit on behalf of the

    1. Members of Cooperative Society

    2. Central Government

    3. Registrar of Cooperative Societies

    4. Managing Committee of Cooperative Society

  3. Which one of the following statements is correct? Management audit is an extension of

    1. cost audit

    2. efficiency auditc

    3. special audit

    4. internal audit

  4. In case of insolvency of a partner, how is the loss due to insolvency borne by other solvent partners?

    1. Equally

    2. In the profit sharing ratio

    3. In the ratio of their capitals

    4. In the ratio of their assets

  5. Which one of the following statements regarding appointment of auditor is correct?

    1. A company where sixty percent shares are owned by private investors and forty percent shares are owned by the Central Government; private investors shall appoint the auditor

    2. A company where thirty percent shares are owned by the Centre and twenty-five percent by a State Government; auditor is appointed by the Comptroller and. Auditor-General of India

    3. A company where thirty percent shares are owned by the State Government and forty-five percent shares are owned by private investors; auditor is appointed by the State Government

    4. A company where controlling shares are held neither by Central Government nor by State Government; auditor is appointed by the Comptroller and AuditorGeneral of India

  6. What is the trading activity that seeks a profit from price variations of securities in the different markets termed as?

    1. Margin trading

    2. Market rigging

    3. Option dealings

    4. Arbitrage

  7. Consider the following procedures adopted for settlement of accounts at the time of dissolution of a partnership firm:

    1. The loans of partners are returned

    2. All outside creditors are paid

    3. Capital of each partner is returned

    What is the correct sequence of using the proceeds of assets of the firm?

    1. 1 − 2 − 3

    2. 3 − 1 − 2

    3. 2 − 1 − 3

    4. 2 − 3 − 1

  8. Consider the following in respect of the procedure adopted for buying and selling at stock exchange

    1. Making the contract

    2. Contract note

    3. Selection of broker

    4. Placing order

    5. Settlement

    What is the correct sequence of the procedure for dealing at stock exchange

    1. 1 − 3 − 2 − 5 − 4

    2. 3 − 1 − 5 − 2 − 4

    3. 1 − 4 − 2 − 3 − 5

    4. 3 − 4 − 1 − 2 − 5

  9. Consider the following statements:

    1. Shares payable in cash must have been a110ted up to the amount of the minimum subscription

    2. Directors must have paid in cash the application and allotment money in respect of the shares contracted to be taken by them for cash.

    3. No money is liable to be repaid to the applicants by reason of failure to apply for or to obtain permission for shares or debentures to be dealt on in any recognised stock exchange.

    As per Section 149 − 1 of the Companies Act, 1956, the above conditions are imposed on companies for which one of the following?

    1. For listing of shares at the stock exchange

    2. To obtain Certificate of Commencement of Business

    3. To obtain Certificate of Incorporation

    4. To hold Statutory Meeting of the company

  10. Consider the following statements: The Bill of Lading issued by the Master of ship serves as at an

    1. receipt for the goods shipped

    2. open general license

    3. evidence of the contract

    4. dock challan

    Which of the statements given above are correct?

    1. 1 and 3 only

    2. 1 and 2 only

    3. 2 and 4 only

    4. 3 and 4 only