CA - CPT ICAI Model Test Paper - 6 - CA Foundation MCQ

Which of the following is not a transaction?

All the following statements are objectives of accounting except

Payment of personal expenses of the owners of the business need to be recorded as:

The purchases Journal records

Which of the following lists the balance and the title of accounts given in the ledger, on a given date?

Under straight line method, depreciation is calculated on

If the date of maturity of a bill is a holiday, then the bill will mature on:

A promissory note is drawn by _______ in favour of _______ .

_______ principle requires that the same accounting method should be used from one accounting period to the next.

The left side of an account is known as _______ and the right side as _______.

In double entry book keeping system, every transaction affects at least ______account(s).

All expenses and _______ accounts appearing in the trial balance are transferred either to the trading account or profit and loss account.

Scrap value of an asset means the amount that it can fetch on sale at the _______ of its useful life.

The petty cashier generally work on_______ system.

Proforma invoice is a statement of information in the form of invoice prepared by the _______ to appraise the _______ about certain essential particulars of the goods.

Carriage charges paid for a new plant purchased if debited to carriage account would affect

The amount due to the retiring partner on account of goodwill is debited to the continuing partners in their _______.

Mr. A, the owner of M/s Apex Ltd. withdrew some goods from the business for his personal use. The accountant of the firm recorded this transaction on the basis of selling price of goods.  He justifies his contention on the basis that business and the proprietor are two different entities as per business entity concept and therefore drawings should be charged at the same price on which the goods are sold to the outside customers.  However, Mr. A emphasizes that he should be charged with only the cost price of the goods withdrawn by him.

At which price, the drawings should be recorded?

The substance of the transactions gets preference over legal position. The transactions and events recorded in the books of account and presented in the financial statements, should be governed by the substance of such transactions and not merely by their legal form as per the concept of

A and B are partners sharing profits in the ratio of 3:2.  They admit C as a new partner for 3/10^th share, which he acquires 2/10 from A and 1/10 from B. The new profit sharing ratio of A, B and C is

The profits for the last four years are given as follows:

Year      Rs.
2006      40,000
2007      50,000
2008      60,000
2009      50,000
The value of goodwill on the basis of three years’ purchase of average profits based on the last four years will be

G Ltd. acquired assets worth Rs. 75,000 from H Ltd. by issue of shares of Rs.10 each at a premium of  Rs. 5. The number of shares to be issued by G Ltd. to settle the purchase consideration will be

A and B are partners in a firm sharing profits in the ratio of 3:2.  They admit C as the new partner for 1/6th share in the profits.   The firm’s goodwill was valued at Rs.1,50,000.  For adjustment of goodwill, C’s account will be debited by

Following figures have been taken from the trial balance of a trader;

Purchases                  Rs. 30,000
Purchase Returns      Rs.  5,000
Sales                          Rs. 40,000
Sales Returns             Rs.  5,000

The amount of profit will be

The balance of furniture and fixtures as on 1^st April, 2009 was Rs. 10,000.  Furniture of Rs.5,000 was purchased on 1^st October, 2009.  Depreciation is charged @ 10% p.a. on W.D.V. method.  The depreciation for the year ended 31^st March, 2010 will be _____

Mr. Yatharth consigned to Mr. Ramesh 100 cases of tea costing Rs. 100 per case.  He paid Rs. 1,000 as freight and cartage.  Mr. Ramesh could take delivery of only 90 cases since 10 cases were loss in transit. The amount of abnormal loss will be _____

Mr. Sharma holding 1,000 equity shares of Rs.10 each, issued at par, could pay Rs.3.50 on application, but could not pay the allotment money of Rs. 2.5 per share and his shares were forfeited.  In the books of the company, shares forfeited account will be credited by ________