1. …………….fund is for the purpose of construction of building for the business of
the Society.
Correct : A. building fund
2. The………………Fund cannot be utilized for payment of dividend as bonus.
Correct : B. Reserve fund
3. A co-operative Society may createout of its net profit for payment of bonus to
person who are not its members.
Correct : A. bonus equalization fund
4. Reserve for doubtful debts is stands for …………
Correct : A. RDD
5. …………….are not formed for earning profit.
Correct : A. co-operative society
6. Deposits from Society and individuals should be shown separately to the ……..
side of balance sheet.
Correct : A. Liabilities
7. The primary objective in the formation of Co-operative credit Society is ………
Correct : A. promoting of saving
8. …………..is the source of Government to increase their revenue.
Correct : A. Tax
9. GST stands for………….
Correct : A. Goods and service tax.
10. ……………is the motive given to the parliament and legislation of every state
Correct : A. . one nation one tax
11. …………….collected by central government on an Intra state sale.
Correct : A. CGST
12. ………….Collected by the State Government on an Intra state sale.
Correct : A. CGST
13. ………….Collected by the Central Maharashtra for Inter state sale.
Correct : A. CGST
14. ……….and will share revenue equally between the central and State.
Correct : A. CGST & SGST
15. on…………………..the GST law came into the force.
Correct : A. 1st July 2017
16. …………..is an Indirect Tax which has replaced many indirect taxes in India.
Correct : A. GST
17. The online version of collecting tax was introduced in the year…………
Correct : A. 2004
18. ………….method of branch accounting is usually adopted when the branch is of
the small size.
Correct : D. debtors
19. The normal and abnormal stock of goods doesn’t appear in branch account as
the closing stock is at the…………….figure.
Correct : A. Adjusted
20. Stock and Debtors method of branch accounting is generally used where
branch turnover is substantially
Correct : C. High.
21. Loading on surplus in stock is………….to Branch Adjustment Account.
Correct : B. credit.
22. Under Stock and Debtors System general income is credited to ………..account
Correct : D. branch profit and loss
23. In Branch Accounting the balance on stock reserved Account at the end of the
period is shown in the balance sheet by the way of deduction from
Correct : C. closing stock.
24. Goods sent by the head office at the end of the year but not received by Branch
before the year ended is known as
Correct : A. goods in transit
25. The closing balance of book debts account is ascertained by preparing branch
………………Account.
Correct : C. Debtors
26. The removal of loading from the items of branch stock is adjusted through
branch……………..Account
Correct : A. adjustment
27. A ………………is generally a physical part of the business established under the
same roof.
Correct : C. Department
28. A……………..system of departmental account is more convenient where the
number of department are very small
Correct : A. Mutual.
29. All items of stock in Trading and Profit and loss Account are to be converted
into cost price if these are given at an _
Correct : D. Invoice price
30. Foreign Branch almost invariably trade independently and records their
transaction in
Correct : C. Foreign currency
31. To fulfill the audit requirements under section of the company act 1956
Correct : B. 228
32. The branches which are totally dependent on head office are also termed as
Agency Branches.
Correct : A. True
33. The independent branches are autonomous as they are allowed to make their own purchases from open markers and pay for their expenses.
Correct : A. true
34. Actual petty expenses paid by branch from petty cash are to br shown
separately in Branch Account.
Correct : A. true
35. The method of Branch Accounting varies with the nature and the status of
branch.
Correct : A. true
36. Dependent branch doesn’t keep any book of account as their entire
Accounting work is performed by the head office.
Correct : A. true
37. ……………system of book keeping is the only scientific method to record farming
transaction.
Correct : B. Double entry
38. In single entry system it’s difficult to detect
Correct : B. Fraud.
39. Single entry constitutes incomplete records rather than single entry
Correct : C. Accounting.
40. Under pure single entry system only……………..Account are kept.
Correct : A. Personal
41. Under the………………… entry system personal accounts, cashbook and other
subsidiary books are kept separately.
Correct : B. Quasi single
42. Accounting is mainly concerned with the future management planning.
Correct : D. Management
43. In…………………entry system no records are kept for real or nominal Account.
Correct : B. pure single
44. Most of the farming transactions are transacted on ……………..basis.
Correct : D. Cash
45. In single entry system it’s difficult to operate …………….system
Correct : C. Internal control
46. In single entry system it’s difficult to exercise control over .
Correct : A. Asset
47. Under…………… entry system, Personal Accounts and Cash Book are kept separately.
Correct : A. Simple single
48. Under statement of affairs method which is also termed as .
Correct : C. Capital comparison method
49. If the closing capital is more than the opening capital it’s shows an increase in capital which means a ……………
Correct : A. Profit.
50. Under single entry system arithmetical accuracy of the Accounting records can be checked.
Correct : B. false
51. Single entry system is mixture of single entry, double entry and no entry.
Correct : A. true
52. They record a few translation completely just like the double entry system but a majority of the transactions are recorded only partially is known as incomplete records.
Correct : A. true
53. Under single entry system the profit and loss can be found out and also it’s comparison will be available.
Correct : B. false
54. Profit and losses can’t be ascertained because Trading and Profit and loss account can’t be prepared.
Correct : B. false
55. When the concept of ratio is defined in respect to the item shown in the
financial statements, it is termed as
Correct : B. Financial ratio
56. The relationship between two financial variables can be expressed in:
Correct : D. all the above
57. Stock is considered as a liquid asset as anytime it can be converted into cash immediately.
Correct : B. No
58. Return on properties funds is also known as.
Correct : D. All the above
59. What will be the Gross Profit if , total sales is Rs 2,60,000,cost of net goods sold
is Rs 2,00,000 & sales return is Rs10,000 ?
Correct : D. 20%
60. Liquid asset is determined by
Correct : A. Current asset - stock - prepaid expense
61. Which of the following is not included in current assets.
Correct : B. Stock
62. Liquidity ratios are expressed in
Correct : A. Pure ratio form
63. Working capital turnover ratio can be determined by :
Correct : A. ( Gross profit / Working capital )
64. Determine Working capital turnover ratio if, Current asset is Rs 1,50,000, current liability is Rs 1,00,000 & cost of goods sold is Rs 3,00,000.
Correct : B. 6 times
65. The ratio analysis is helpful to management in taking several decisions, but as
a mechanical substitute for judgement and thinking, it is worse than useless.
Correct : A. True
66. Profit for the objective of calculating a ratio may be taken as
Correct : D. All the above
67. If sales is Rs 5,00,000 & net profit is Rs 1,20,000 Net profit ratio is
Correct : A. 24%
68. General profitability ratios are based on
Correct : B. Sales
69. Financial Statement Analysis can be used for assessment of past performance
only.
Correct : A. false
70. Ratio analysis is an important means of expressing the relationship between two numbers.
Correct : A. true
71. Ratio analysis helps in investment decision.
Correct : A. true
72. Liquid Ratio is also known as 2:1 ratio.
Correct : A. false
73. Current ratio indicates the solvency position of the business.
Correct : A. true
74. An ideal Liquid ratio is considered as 1:1
Correct : A. true
75. The gross profit represents the net margin.
Correct : A. false
76. Reliability of ratios depend upon the reliability of financial data.
Correct : A. true
77. Ratio analysis ensures effective cost control.
Correct : A. true
78. An ideal current ratio is considered as 1:2
Correct : A. false
79. The ratios which reveal the final result of the managerial policies and performance is…………..
Correct : B. profitability ratios.
80. Return on investment is a .
Correct : C. profitability ratios.
81. Net profit ratio is a .
Correct : D. profitability ratio.
82. Stock turnover ratio is a .
Correct : A. turnover ratio.
83. Current ratio is a
Correct : A. short-term solvency ratio.
84. Proprietary ratio is a .
Correct : B. long-term solvency ratio.
85. Fixed assets ratio is a
Correct : B. long-term solvency ratio.
86. Fixed assets turnover ratio is a
Correct : D. turnover ratio.
87. The ratio which measures the profit in relation to capital employed is known as
Correct : A. return on investment.
88. The ratio which determines the profitability from the shareholder’s point of
view is .
Correct : C. return on shareholders funds.
89. Return on equity is also called
Correct : D. return on net worth.
90. Preliminary expenses is an example of
Correct : C. fictitious assets.
91. Prepaid expenses is an example of .
Correct : B. current assets.
92. The ratio which is calculated to measure the productivity of total assets is
Correct : C. return on total assets.
93. The ratio which shows the proportion of profits retained in the business out of
the current year’s profits is
Correct : A. retained earnings ratio.
94. The ratio which indicates earnings per share reflected by the market price is .
Correct : D. price earnings ratio.
95. The ratio establishes the relationship between profit before interest and tax
and fixed interest charges is .
Correct : A. interest cover ratio.
96. The ratio shows the preference dividend as a proportion of profit available for
shareholders is
Correct : B. fixed dividend cover ratio.
97. The dividend is related to the market value of shares in .
Correct : D. dividend yield ratio.
98. Turnover ratio is also known as .
Correct : A. activity ratios.
99. Inventory or stock turnover ratio is also called .
Correct : A. stock velocity ratio.
100. Which ratio is calculated to ascertain the efficiency of inventory management
in terms of capital investment?