NET, IAS, State-SET (KSET, WBSET, MPSET, etc.), GATE, CUET, Olympiads etc.: Commerce MCQs (Practice_Test 89 of 99)
Get unlimited access to the best preparation resource for competitive exams : get questions, notes, tests, video lectures and more- for all subjects of your exam.
- A company with a paid up capital of 5000 equity shares of ₹ 10 each has a turnover of four times with a margin of 8% on sales. The ROI of the company will be
- 28%
- 32%
- 35%
- 42%
- While calculating the net present value under discounted cash flow method of return on investment analysis, the calculations involved are:
- Cash outflow
- Discounted net cash flow
- Cash inflow
- Net present value
- The correct sequence of these calculations is
- 4,1, 3,2
- 1,3, 2,4
- 1,2, 3,4
- 3,1, 4,2
- The best definition of ‘Capital employed’ in calculating the rate of return on investment is
- current assets + gross fixed assets
- current assets + net fixed assets
- working capital + gross fixed assets
- working capital + net fixed assets
- Patents and copyrights fall under the category of
- current assets
- liquid assets
- Intangible assets
- nominal assets
- Match List I (Balance sheet items) with List II (Classification) and select the correct answer:
Table Supporting: NET, IAS, State-SET (KSET, WBSET, MPSET, Etc.) , GATE, CUET, Olympiads Etc. : Commerce MCQs (Practice_Test 89 of 99) List-I (Balance sheet items) List-II (Classification) - Discount on debenture
- Forfeited shares account
- Income taxes payable
- Debtors acceptance
- Current liability
- Non-current asset
- Current asset
- Non-current liability
- A
- B
- C
- D
- 2
- 4
- 1
- 3
- 4
- 2
- 3
- 1
- 2
- 4
- 3
- 1
- 4
- 2
- 1
- 3
- Ajoy Ltd makes a profit of ₹ l, 00,000, after providing for depreciation on assets amounting to ₹ 2.0,000 and writing off preliminary expenses amounting to ₹ 10,000 and gain of ₹ 5,000 on sale of a piece of machinery. Funds from operation of Ajoy Ltd would be
- ₹ 1,00, 000
- ₹ 1,20, 000
- ₹ 1,25, 000
- ₹ 1,35, 000
- Which one of the following statements is correct?
- A decrease in current liabilities causes an increase in the working capital
- An increase in current liabilities causes a decrease in the working capital
- A decrease in the current assets causes an increase in the working capital
- An increase in the current assets causes a decrease in the working capital
- Match List I with List II and select the correct answer.
Table Supporting: NET, IAS, State-SET (KSET, WBSET, MPSET, Etc.) , GATE, CUET, Olympiads Etc. : Commerce MCQs (Practice_Test 89 of 99) List-I List-II - Net loss from operations
- Changes in working
- Depreciation
- Issue of fully paid bonus shares
- Source of funds
- Drain on working capital
- Flow of Funds
- Neither source nor application of funds
- A
- B
- C
- D
- 3
- 2
- 1
- 4
- 2
- 3
- 4
- 1
- 2
- 3
- 1
- 4
- 3
- 2
- 4
- 1
- Vouching may be termed as
- Identification of the documentary evidence supporting the transaction
- Verification of the document supporting the transaction
- authentication of document supporting the transaction
- Verification of the accuracy and authenticity of the transaction
- Interim audit refers to an audit conducted
- in two different accounting years
- In-between two statutory annual audits within the same accounting period.
- In-between one statutory audit and an internal audit in the same accounting period
- In-between one statutory audit, one management audit and one internal audit
- Audit Techniques are concerned with the
- examination of those evidences which have. Been traced by audit procedures
- Application of generally accepted accounting principles to particular phases of a financial statement
- accuracy and validity of management authorization to the account section employees
- Method of conducting a business affair and reporting in annual report
- What is the correct sequence of the following aspects in auditing?
- Special audit
- Internal audit
- Internal check
- Annual audit
- Which is corrects sequence?
- 1,3, 2,4
- 3,4, 1,2
- 3,2, 4,1
- 1,2, 3,4
- The main purpose of an independent audit is to
- check and correct frauds and errors
- help in detecting frauds and errors
- Determine if the financial statements fairly represent the actual financial position and the working results of the organization
- help in formulating future plans
- Match List I (Types of audit) with List II (purposes) 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 89 of 99) List-I (Types of audit) List-II (purposes) - Continuous
- Periodical
- Interim
- Internal
- To ensure efficient conduct of the business and prevent wastage audit
- Detailed examination of the books of accounts at regular intervals audit
- Audit taken up at the close of the financial period audit
- Audit conducted between the end of two financial periods audit
- A
- B
- C
- D
- 1
- 3
- 4
- 2
- 2
- 3
- 4
- 1
- 3
- 2
- 1
- 4
- 3
- 1
- 2
- 4
- Management audit refers to
- examination of books and audit of accounts done by the management
- the periodic assessment of company՚s activities by the statutory auditor
- Periodic assessment of company՚s managerial is planning. Organizing. Actuating and controlling compared to norm of successful operation
- auditor՚s assessment of the financial statement of the entity