CA - CPT ICAI Model Test Paper - 10 - CA Foundation MCQ

“Substance of any transaction should be considered while recording them and not only the legal form” is the statement which holds true for:

The determination of the amount of provision for doubtful debts  is an accounting

What is the order in which the accounting transactions and events are recorded in the books?

The expired portion of capital expenditure is shown in the financial statements as

Rs. 5,000 incurred for upgradation of computer by installation of 128 MB RAM is

According to money measurement concept, currency transactions and events are recorded in the books of accounts

All of the following errors do not affect the trial balance, except

Errors are ________ mistakes.

Trial balance is a statement which shows the ________ or the ________of all the accounts.

It is easy to detect ________ than to ________.

In case of debit balance, the words ________ are written on the debit side.

Rs. 5,000 spent on maintenance of plant and machinery is ________.

Bank pass book is also known as ________

Capital expenditures are recorded in the ________

Accounts receivable normally has ________ balance.

An account is a formal record of changes in items of ________ nature.

The ass umption underlying the fixed ins tallment method of depreciation is that of ________ of the asset over different years of its useful life.

A businessman purchased goods for Rs.25,00,000 and sold 70% of such goods during the accounting year ended 31^st March, 2010. The market value of the remaining goods was Rs.5,00,000. He valued the closing inventory at Rs. 5,00,000 and not at Rs. 7,50,000 due to

M/s Omega Brothers, which was registered in the year 2004, has been following LIFO method for valuation of shares. It changed its method from LIFO to FIFO Method in the year 2009.The auditor raised objection to this change in the method of valuation of investments.The objection of the auditor is justified because

Following are the items of the balance sheet of Mr. X: Capital Rs. 7,00,000; Machinery Rs. 5,00,000 and Cash Rs. 2,00,000. If Mr. X spends Rs. 5,000 to meet his family expenses, the balance of capital and cash accounts will be

Mr. Mohan started a cloth business by investing Rs. 50,000, bought merchandise worth Rs. 50,000. He sold merchandise for Rs. 60,000. Customers paid him  Rs. 50,000 cash and assured him to pay Rs. 10,000 shortly. The amount of revenue earned by him is _________

If sales revenues are Rs. 4,00,000; cost of goods sold is Rs. 3,10,000, the gross profit is _________

When balance as per cash book (debit balance) as on 31^st March is the starting point, what will be the effect while preparing bank reconciliation statement when out of the cheques amounting to Rs. 5,000 deposited, cheques aggregating Rs. 1,500 were credited in March and cheques aggregating Rs. 2,000 credited in April and the rest have not been collected?

A and B purchased a piece of land for Rs. 30,000 and sold it for Rs. 60,000 in 2010. Originally A had contributed Rs. 12,000 and B Rs. 8,000. The profit on venture will be

On 1.1. 2010 X draws a bill on Y for Rs 1, 00, 000. At maturity, the bil l returned dishonoured as Y became insolvent and 40 paise per rupee is recovered from his estate.The amount recovered is:

An individual invests Rs.2,00,000 for running a stationery business. On 1st Jan., he purchases goods for Rs. 1,15,000 and sells the goods for Rs. 1,47,000 during the month of January. He pays shop rent for the month Rs. 5,000 and finds that still he has goods worth Rs. 15,000 in hand. The amount of surplus will be

Goods costing Rs. 600 is supplied to Ram at the invoice of 10% above cost and a trade discount for 5%. The amount of sales will be