When capital in the beginning is Rs. 10,000, drawings during the year is Rs. 6,000, profit made during the year is Rs. 2,000 and the additional capital introduced is 3,000, find out the amount of capital at the end

(a)

Rs. 9,000

(b)

Rs. 11,000

(c)

Rs. 21,000

(d)

Rs. 3,000

A firm has assets worth Rs. 47,500 and liabilities Rs. 17,700. Then its capital is _____________

(a)

Rs. 29,800

(b)

Rs. 65,200

(c)

Rs. 35,400

(d)

Rs. 17,700

In _____ system, only personal and cash accounts are opened.

(a)

Single entry

(b)

Double entry

(c)

Trial balance

(d)

Balance Sheet

Capital can be obtained by preparing ____________

(a)

Cash Book

(b)

Statement of Affairs

(c)

Debtors Account

(d)

Creditors account

Generally, depreciation on fixed assets is calculated on which balance?

(a)

Opening Balance

(b)

Closing Balance

(c)

Only on additional

(d)

Amount realized on asset sole

Legacy is a

(a)

Revenue expenditure

(b)

Capital expenditure

(c)

Revenue receipt

(d)

Capital receipt

If the donation is received without any specific condition, then it is a __________

(a)

general donation

(b)

specific donation

(c)

donation fund

(d)

none of these

The profit or loss arising from the partnership business is shared by the partners in the ___________

(a)

old ratio

(b)

new ratio

(c)

agreed ratio

(d)

sacrifice ratio

___________ is a document in writing that contains the terms of the agreement among the partners.

(a)

Partnership deed

(b)

Partnership at will

(c)

Both 'a' and 'b'

(d)

None of these

Goodwill is paid for obtaining ____________

(a)

future profit

(b)

present benefit

(c)

past benefit

(d)

none of the above

The profit or loss on revaluation of assets and liabilities is transferred to the capital account of 

(a)

The old partners

(b)

The new partner

(c)

All the partners

(d)

The Sacrificing partners

On admission of a partner if goodwill account is to be raised this should be debited to __________

(a)

Partner's capital account

(b)

Partner's capital account

(c)

Revaluation account

(d)

None of these

Under revaluation method goodwill account is raised by crediting the old partner's _________ accounts in the old profit sharing ratio.

(a)

capital

(b)

profit and loss

(c)

assets

(d)

revaluation

A partner who is newly admitted to the firm with the consent of all the parties is called _________

(a)

Salaries Partner

(b)

Incoming partner

(c)

Junior partner

(d)

Minor partner

The amount due to the________partner is either paid off immediately or is paid in instalments.

(a)

Admitting

(b)

Retiring

(c)

Death

(d)

All of the above

If the amount due to the outgoing partner is transferred to loan account then he is entitled to interest at _________ until it is paid out.

(a)

9%

(b)

5%

(c)

6%

(d)

8%

When the number of shares subscribed is less than the number of shares offered, it is known as

(a)

over subscription

(b)

under subscription

(c)

allotment share

(d)

application money

Interest on calls in advance is ________________

(a)

4% p.a.

(b)

5% p.a.

(c)

6% p.a.

(d)

7% p.a.

Which of the following tools of financial statement analysis is suitable when data relating to several years are to be analysed?

(a)

Cash flow statement

(b)

Common size statement

(c)

Comparative statement

(d)

Trend analysis

Current liabilities Rs. 40,000; Current assets Rs. 1,00,000 ; Inventory Rs. 20,000. Quick ratio is

(a)

1:1

(b)

2.5:1

(c)

2:1

(d)

1:2