CA - CPT ICAI Model Test Paper - 2 - CA Foundation MCQ

It is essential to standardize the accounting principles and policies in order to ensure

Change in accounting estimate means

Which account is the odd one out?

In Double Entry System of Book-keeping every business transaction affects:

Which of the following types of information are found in subsidiary ledgers, but not in the general ledger?

Contra entries are passed only when

The following is not a type of liability

Present liability of uncertain amount, which can be measured reliably by using a substantial degree of estimation, is termed as ________

When preparing a Bank Reconciliation Statement, if you start with a debit balance as per the Cash Book, then cheques issued but not presented within the period are __________

Under inflationary conditions, ______ method will show highest value of closing inventory?

In the case of downward revaluation of an asset, which is for the first time revalued, _______ account is debited.

The portion of the acquisition cost of the asset, yet to be allocated to Profit and Loss Account is known as ________

If a concern proposes to discontinue its business from March 2010 and decides to dispose off all its assets within a period of 4 months, the Balance Sheet as on March 31, 2010 should indicate the assets at their _________

An entry which is made on both sides of a cash book is called​

Sales for the year ended 31^st March, 2010 amounted to Rs. 10,00,000. Sales included goods sold to Mr. A for Rs. 50,000 at a profit of 20% on cost. Such goods are still lying in the godown at the buyer’s risk. Therefore, such goods should be treated as part of

As per Section 37 of the Indian Partnership Act, 1932, the executors would be entitled at their choice to the interest calculated from the date of death till the date of payment on the final amount due to the dead partner at ________ percent per annum.

If del-credere commission is allowed for bad debt, consignee will debit the bad debt amount to:

Mr. A purchased a machinery costing Rs. 1,00,000 on 1^st October, 2011. Transportation and installation charges were incurred amounting Rs. 10,000 and Rs. 4,000 respectively.Dismantling charges of the old machine, in place of which new machine was purchased, amounted Rs. 10,000. Market value of the machine was estimated at Rs. 1,20,000 on 31^st March, 2012. While finalising the annual accounts, A values the machinery at Rs. 1,20,000 in his books.

Q. Which of the following concepts was violated by A?

Mohan purchased goods for Rs. 15,00,000 and sold 4/5th of the goods amounting Rs. 18,00,000 and paid expenses amounting Rs. 2,70,000 during the year, 2009. He paid Rs. 5,000 for an electricity bill of Dec. 2008 and advance salaries amounting Rs. 15,000 was paid for the month of Jan. 2010. He counted net profit as Rs. 3,50,000.The net profit calculated by him is correct according to _________

W Ltd. issued 20,000, 8% debentures of Rs.10 each at par, which are redeemable after 5 years at a premium of 20%. The amount of loss on redemption of debentures to be written off every year will be_________

S Ltd. issued 2,000, 10% Preference shares of Rs.100 each at par, which are redeemable at a premium of 10%. For the purpose of redemption, the company issued 1,500 Equity Shares of Rs.100 each at a premium of 20% per share. At the time of redemption of Preference Shares, the amount to be transferred by the company to the Capital Redemption Reserve Account will be _________

G Ltd. acquired assets worth Rs.7,50,000 from H Ltd. by issue of shares of Rs.100 at a premium of 25%. The number of shares to be issued by G Ltd. to settle the purchase consideration will be_________

Equity share capital called up Rs. 5,00,000
Calls in arrear Rs. 40,000 
Calls in advance Rs. 25,000 
Proposed dividend 15% 
Q. The amount of dividend payable will be

The subscribed share capital of S Ltd. is Rs.80,00,000 of Rs.100 each. There were no calls in arrear till the final call was made. The final call made was paid on 77,500 shares. The calls in arrear amounted to Rs.62,500. The final call on each share will be_________

A Company wishes to earn a 20% profit margin on selling price. Which of the following is the profit mark up on cost, which will achieve the required profit margin?

A, B and C are the partners sharing profits and losses in the ratio of 5:3:2, took a joint life policy of Rs. 30,000. On the death of B what amount will be payable to each partner?

A, B and C were partners in a firm sharing profits and losses in the ratio of 2:2:1 respectively with the capital balance of Rs. 50,000 for A and B, for C Rs. 25,000. B declared to retire from the firm and balance in reserve on the date was Rs. 15,000. If goodwill of the firm was valued as Rs. 30,000 and profit on revaluation was Rs. 7,050 then what amount will be transferred to the loan account of B?