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Multiple Choice Questions, 1. Final Accounts of company include:, (a) Balance sheet, (b) Statement of Profit and LosSs, (c) Balance Sheet and Statement of Profit and Loss, d) Balance Sheet and Profit and Loss statement and Funds Flow Statement, 2. New schedule IIl is applicable for the financial year commencing on or after., , (b) April 1, 2011, (d) April 1, 2014, , (a) April 1, 2010, (c) April 1, 2012, 3., , New schedule I, , prescribes a, , andloss statement, (a) Vertical, , (c) Both (a) & (b), , . ., , format for both the balance sheet and, , (b) Horizontal, (d) None of the above, , profit
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4., , According to part first of new schedule, Assets in Balance Sheet comprises only, , main headings, (b) 3, , (a) 2, 5., , (c) 4, , (d) 5, , Which of the following statement is correct, (a) Accounting Standards always prevails over the, requirements of schedule l ., 6) Requirements of schedule III always, prevails over the Accounting Standards., (c) Schedule lI always prevails over the companies Act, 2013., , (d) None of these, Which of the following statement is correct, :, about current, (a) It is expected to be settled within the normal operating, cycle of the company., b) The liability has resulted from the normal day to day activities of the, company., (c) It is likely to be related within 12 months., (d) All above, , liability, , 7., , Which of the following is non-current, liability, (a) Mortgaged Loan, b) Bank overdraft, , (c) Outstanding Wages, 8., , (d) None of these, , Un-claimed dividend is:, , (a) Provision, (c) Current Assets, , (b) Current liability, , (d) Contingent liability, , 9. Patent is a:, , (a) Intangible asset, , 6) Fictitious asset, (d) Current asset, , ()Tangible asset, 10. Goodwill is a :, (a) Intangible asset, (b) Fictitious asset, (c) Tangible asset, (d) Current asset, 11. Which ofthe following is not a non-current liability:, (b) Long term loan, (a) Debentures, (d) Deferred Expenses, (c) Bank overdraft, , 12. According to New Schedule I ,Proposed dividend is shown:, , (a) As expense in statement of profit and loss, (b) As short-term provision in Balance Sheet, (c) As a deduction from Reserve and Surplus, , (d) As a, , notes to accounts, , 13. Which of the following is not an example ofIntangible asset:, b) Patent, (a) Goodwill, (d) Loose tools, (c) Computer Software, 14. Which of the following does not include in cash equivalents:, (b) Bank deposits, (a) Cheque in hand and draft, 15., , 16., , (c) Cash in hand, Workmen Provident Fund is, (a) Provision, , (d) Bills receivable, , a :, , (b) Surplus, (d) Borrowings, , (c) Current Liability, a:, Workmen Compensation Fund is, (b) Surplus, (a) Provision, , (c) Current Liability, 17. Sinking Fund is a:, , (a) Provision, , (c) Current Liability, , (d) Borrowings, , (b) Surplus, (d) Borrowings
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18., , Deferred, , Tax Assets is shown in:, , (a) Non-current Assets, , (d) Share Capital, , (c) Non-current Liability, 19., , b) Current Assets, , Deferred Tax Liability is shown in:, (b) Current Assets, (a) Non-current Assets, , (d) Share Capital, (c) Non-current Liability, 20. Advance Tax payment is shown in :, Statement, (a) Expenditure part of Profit and Loss, 6) Revemue part of Profit and Loss Statement, (c)Equity and Liability part of Balance Sheet, (d) Assets part of Balance Sheet, 21. Interest Accrued on Borrowings is a, (6) Current asset, (a) Current liability, (d) Miscellaneous Expenses, ()Provision, , 22. Capital Borrowings is shown underthe head:, (b) Non-current Investment, (d) Share Capital, (c) Other non-current assets, 23. Which of the following is not a current asset :, (b) Prepaid Rent, (a) Inventory, (d) Cash, ) Goodwill, 24. Provision for income tax is shown in ..., (a) Profit & Loss A/c, b) Profit & Loss Appropriation AA/c, (C) Short-term provision, (d) None of the above, 25. Prepaid expenses are shown under the heading ... in the Balance Sheet of a, , (a) Long-term Borrowings, , company:, (a) Other Current Assets, (6) Miscellaneous Expenditure, (C) Short term provision, (d) None of the above, 26. Unclaimed dividend is a, of a company:, (a) Profit, (b) Liability, (c) Asset, (d) None of these, 27. Premium received on issue of shares are shown, under the head in the balance, ..., , Sheet, , 28., , (a) Reserve and Surplus, (b) Current Liabilities and Provisions, c) Share Capital, (d) Contingent Liabilities, and, of Schedule II of, Companies Act, 2013 deals with, , presentation of Profit & Los Account and Balance Sheet, (a) Part I and Part II, (C) Part II and Section 211, (d) Part II and Part I, 29. Final accounts of a, company, Act, 2013 :, , (6) Part I and Section 210, , are, , prepared according to, , of Companies, , (a) Schedule IV, (b) Schedule V, (c) Schedule III, (d) Schedule VII, 30. Calls in advance are sbown, under which head of the, balance sheet ?, (a) Addition to share capital, (b) Separately under head share, (c) Other Current liabilities, capital, (d), Fixed, liability, 31. Unamortized discount on, issue of shares is shown in, the Balance Sheet, head, , under the
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(a) Reserve and surplus, , (b) Other Current/Non-Current Assets, (d) None of the above, , (c) Liability side, 32,, , Contingent liabiliies are showa in:, , (a) The Balance Sheet, (c) Notes to Accounts, , (b) The Statement of Profit and Loss, (d) None of these, , 33. Share Forfeited Account is shown, under the heading of:, (a) Share Capital, 6) Reserve and surplus, , (c) Current Assets, 34. Which of the following is, , a company:, , (d) None of these, expected to realize within the normal operating cycle of, , (a) Current Asset, , (b) Current Liability, (d) Non-current Liability, 35. Which of the following is, expected to be settled within the normal operating cycle, , (c) Non-current Asset, , of a company:, , (a) Current Asset, (c) Non-current Asset, 36. General Reserve is a:, (A) Secret Reserve, , b) Current Liability, (d) Non-current Liability, , b) Specific Reserve, , () Non-specific Reserve, (d) Provision, 37. Application money received for allotment of securities and due for refund is, shown in Balance Sheet:, (a) As part of Shareholder's Fund (b) As current liability, (c) As Notes to Accounts, (d) As Reserves and Surplus, 38. According to new Schedule III transfer to reserves is shown in :, (a) Profit and Loss Statement, (b) Balance Sheet, (c) Notes to Accounts, (d) None of these, 39. Select the correct order ofsub-headings underthe heading of Non-currer, in the Balance Sheet according to New Schedule II, 2. Fixed Assets, 1. Non-current Investment, 3. Long-term loans and advances, 4. Deferred Tax Assets (Net), 5. Other non-current assets, , Code, (a) 2, , 1, , 3, , 4, , 5, , (c) 2, , 1, , 4, , 3, , 5, , (b)4, (d) 2, , 2, 1, , 15, 3, 5, , 3, 4, , 40., 40. According to New Schedule Il correct order of Sub-headings under the heading, , ofcurrent Assets is, , 1. Cash and Cash equivalent, 3. Trade Receivables, , 2. Inventory, 4. Short-term loan and advances, , 5. Current Investment, , Code:, , (b)5, , 2, 3 41, (d) 5 2, 31, 4, 1, 35, 2, ()4, 41. According to New Schedule Ill correct order of sub-heading under the heading, liabilities is:, , (a), , 1, , 2, , 3, , 4, , 5, , ofNon-current, , 1. Long-term Provisions, , 3. Long-term borrowings, , Code:, , (a) 2 1 3 4, (c) 3, , 2 41, , 2. Deferred tax liabilities (Net), 4. Other-long-ierm liabilities, , (b) 3, , (d)2, , 2, 3, , 1, , 4, , 41
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42., , According to New Schedule III correct order of sub-heading under the heading, of Current Liabilities is, 2. Short-term borrowings, 1. Short-term Provisions, 4. Trade pay ables, 3. Other current liabilities, , Code, 43., , 44., , 45., , (a)1, , 2, , (c) 2, , 4, , 3, 1, , 4, , (b) 2, , 4, , 3, , (d) 4, , 2, , 3, 3, , 1, 1, , According to New Schedule I1I correct order of subheadings under the heading, , of Equity and Liabilities is:, 1. Share application money pending allotment, 2. Current liabilities, 3. Non-current liabilities, 4. Shareholders' Fund, Code, (b) 1 3, (a) 1 2 3 4, , 2, , 4, , (c) 3, , 3, , 2, , 1, , 2, , 4, , (d) 4, , 1, , Under what heading goodwill is shown in the assets side:, (a) Fixed Assets, , (b) Curret Assets, , (c) Investments, , (d) Miscellaneous Assets, , Mortgage loan is shown in:, , (a) Liability side of Balance Sheet (b) Assets side of, Balance Sheet, (c) Statement of Profit& Loss, (d) None of the above, 46. Calls paid in advance account is shown, separately at the:, (a) Statement of Profit & Loss, b) Asset side of balance sheet, side, of, (c)Liability, balance sheet (d) None of the above, 47. Proposed dividend is, shown in:, (a) Statement of Profit & Loss, b) Liability side of balance sheet, (c) Asset side of balance sheet, (d) None of the above, 48. Which item is not, current liability from, the, , following:, (a) Unpaid dividend, (b) Bills payable, (c) Bank overdraft, (d) Minorities interest, 49. Tax Provision' is, shown in balance shet in, which head, (a) Current liability and, provision (b) Reserve and surplus, (C) Secured loan, (d) Sundry expenses, 50. Interim dividend, is shown in, (a) Statement of Profit& Loss, (c) Liability side of balance sheet b) Asset side of balance sheet, (d) Notes to Accounts, 51. Discount an ivua
