Exam-preparation4u: Fybcom sem 2

F.Y B.COM

SEMESTER - 2

MID SEMESTER EXAMINATION

FINANCIAL ACCOUNTING

MCQS - 2019

(1) In case of consignment, account sales prepared by;

(A) Co - venturer

(B) Consignee

(D) Consignor

(2) The amount of purchase consideration is to be discharged by Sega Ltd. In following way:

40,000 equity shares of Rs. 10 each at par, 10,000, 12% , preference shares of Rs. 10 each at 10% premium; 500, 10% Debenture of Rs. 100 each at 10% discount and Rs.75,000 in the form of cash, & bank. Identify the method of purchase consideration & calculate the amount of purchase consideration.

(A) Net assets method, Rs. 5,55,000

(B) Lump sum method, Rs. 6,30,000

(C) Net payment method, Rs. 6,30,000

(D) Fixed ratio method, Rs. 5,55,000

(3) In consignment the relationship between the consignor and the Consignee is that of:

(A) Banker & seller

(B) Purchaser & seller

(D) Principal & agent

(4) At the time of dissolution of a firm, Assets taken over by a partner should be:

(A) Debited to realisation A/C

(B) Credited to realisation A/C

(D) None of the above

(5) Natur of co - venturer’s account is:

(A) Real A/C

(B) Personal A/C

(D) None of the above

(6) At the time of dissolution, all the assets of the firm are transferred to the realisation A/C at ______ values.

(A) Fair

(B) Asset

(C) Book

(D) Market

(7) In case of joint venture, the method of accounting to be followed is decided by :

(A) Separate act of joint venture

(B) ICAI

(D) Accounting standard

(8) Lal, Bal and Pal were partners sharing profits and losses in the ratio of 5 : 3 : 2 their capital on 31.03.2018 were Rs. 6,00,000, Rs. 3,00,000 and Rs. 1,00,000 respectively. On 31.03.2018, they have Rs. 1,00,000 in general reserve, and their drawings on the same date were : Lal - Rs. 50,000, Bal - Rs. 30,000 and Pal - Rs. 20,000. Calculate the amount of adjusted (Actual) capital for Lal, Bal and Pal.

(A) Lal - Rs. 5,00,000, Bal - Rs. 2,40,000 and Pal - Rs. 60,000

(B) Lal - Rs. 7,00,000, Bal - Rs. 3,60,000 and Pal - Rs. 1,40,000

(D) Lal - Rs. 6,00,000, Bal - Rs.3,00,000 and Pal - Rs. 1,00,000

(9) Identify the order of payment in which liabilities shall be paid in case of winding up:

(A) Secured creditors, realisation expenses, prefencial creditors, unsecured creditors, partner's loan, partner's capital.

(B) Secured Creditors, Prefencial creditors, Realisation expenses, Unsecured Creditors, Partner's Loan, Partner's Capital.

(C) Realisation expenses, Prefencial creditors, secured creditors Unsecured Creditors, Partner's Loan, Partner's Capital.

(D) Secured Creditors, Prefencial creditors, Unsecured Creditors, Realisation expenses, partner's Loan, Partner's Capital.

(10) In case of consignment, if del credere commission is given to the consignee then loss due to Bad Debts will be incurred by:

(A) co-venturer

(B) Consignor

(D) Consignee

(11) If the purchase consideration payable is less than the net assets acquired, it represents:

(A) Goodwill

(B) Capital Reserve

(D) Cash

(12) When the realisation expenses are to be borne by a partner, it is credited to :

(A) Cash A/C

(B) Partner's capital A/C

(D) Realisation A/C

(13) As per the decision in Garner Vs. Murray, Final debit balance of insolvent partner should be shared among solvent partner in _______ Proportion.

(A) Their last Agreed Capital

(B) Equally

(D) None of the above

(14) Nomal losses are due to :

(A) Unavoidable factors

(B) Avoidable factors

(D) Contingent factors

(15) In Joint Venture, the agreement is made :

(A) for purchase of long term assets

(B) for the execution of a specific venture

(D) None of the above

(16) Gamma Ltd. took over a partnership firm by issuing 10,000 equity shares of Rs.10 each at par, 5000,13% prefence share of Rs.10 each at 10% premium, 700, 12% deberitures of Rs.100 each at 10% discount, and balance in cash. Gamma Ltd. took 30 over net assets at an agreed value of Rs. 2,50,000. Determine the amount of cash paid by Gamma Ltd.

(A) Rs.32,000

(B) Rs.2,18,000

(D) Rs.23,000

(17) In case of consingrnent, _______ expenses form part of, while calculating value of closing stock.

(A) Indirect expenses

(B) Direct expenses

(D) None of the abo

(18) Which of the following statement is true in case of Joint Venture:

(A) The relationship between co-venturers is of principal and agent

(B) Co-venturers always share profits and losses equally

(D) Co - ventures may contribute funds for running the venture

(19) Hariom consigned 100 TV sets to Naman at a cost of Rs.20,000 each. Hariom incurred Rs.5,000 for freight and Rs.3,000 for cartage. Naman was able to take delivery of 90 TV sets as 10 units were destroyed in transit. The insurance co. admitted the claim for 70% amount. Naman incurred loading and unloading charges worth Rs.2,000 and paid Rs.8,000 for godown rent. He could sell 70 TV sets at Rs.25,000 each. Determine the value of Abnormal loss.

(A) Rs.2,00,800

(B) Rs.60,800

() Rs.60,240

(D) None of the above

(20) The court may dissolve a firm when:

(A) a continuous high demand for firm's product.

(B) the business was formed for a fixed term.

(D) partner has become of unsound mind.

(21) Calculation of Amount of Purchase Consideration agreed by the Purchasing company under Net Assets Method is:

(A) fixed Assets+ Current Assets - Third Party Liabilities.

(B) Fixed amount given for certain Assets and Liabilities.

(D) Fixed Assets + Current Assets - partner's capital.

(22) following are the features of Joint Venture except:

(A) Partners are called co-venturers

(B) Temporary Partnership

(D) Run as per going concern concept

(23) In dissolution of partnership firm, Realisation A/c is a

(A) Real A/C

(B) Personal A/C

(C) Nominal A/C

(D) None of the above

(24) Profit or loss on realisation is to be distributed among partners in their:

(A) Equally

(B) Capital ratio

(D) Profit sharing ratio

(25) ownership and Risk of Goods remains with _______ in case of Joint Venture, and _______ in case of consignment.

(A) co-venturer, consignor

(B) co-venturer, consignee

(D) partners, consignor

(26) A consignor sends statement to the consignee giving details of the goods dispatched. This statement is called

(A) Proforma Invoice

(B) Account Sales

(D) Sales Invoice

(27) At the time of sale or conversion of partnership firm to a company, if there is no agreement between partners, the shares or/and debentures are to be distributed among the partners in their ratio.

(A) Final Claim ratio

(B) Net Assets ratio

(D) None of the above

(28) Ketan, Parag and Hemang were partners sharing profits and losses equally. Their Capital on 31.03.2018 were Rs.9,00,000, Rs.4,00,000 and Rs.2,00,000 respectively. On 31.03.2018, they have Rs.3,00,000 in Profit & Loss A/c (Dr. balance), and their Current Capital Accounts on the same date were: Ketan - Rs.50,000 (Debit), Parag- Rs.50,000 (credit), and Hemang Rs.50,000 (debit). Calculate the amount of Adjusted (Actual) Capital for Ketan, Parag and Hemang.

(A) Ketan - Rs.7,50,000, Parag-Rs.3,50,000 and Hemang - Rs.50,000

(B) Ketan - Rs.9,50,000, Parag - Rs.5,50,000 and Hemang - Rs.2,50,000

(D) None of the above

(29) Avinsh of vadodara consigned 1200 bats to Rakesh of ahmedabad @ Rs.150 each. Rakesh was entitled to a commission of 6% on groSs sale proceeds and 3% Del credre commission on credit sales only. Rakesh sold 750 bats @ Rs.200 each for cash and 350 bats at Rs.220 each on credit. Determine the amount of commission being charged by Rakesh.

(A) Rs.19,530

(B) Rs.13,020

(C) Rs.15,930

(D) None of the above

(30) Mr. Ram consigns 1,000 bags to Mr. Shyam costing Rs.250 each. Mr. Ram has paid Rs.2,500 for freight and insurance and Mr. Shyam has paid Rs.700 for Cartage and Rs.500 for Godown rent. Mr. Shyam sold 600 bags for Rs. 300 each. The value of unsold stock will be:

(A) Rs.1,01,480

(B) Rs.2,01,280

(D) Rs. 1,01,280

F.Y B.COM

SEMESTER - 2

FINANCIAL ACCOUNTING

(FA)

MCQS - DISSOLUTION OF PARTNERSHIP FIRM

DISSOLUTION OF PARTNERSHIP FIRM

1. Realization a/c is a

(a) real a/c

(b) personal a/c

(c) nominal a/c

2. An unrecorded liability when paid on dissolution, is debited to

(a) realization a/c

(b) partners' capital a/c

3. On dissolution of a firm, when an unrecorded asset is realized, the debit is to the

(a) realization a/c

(b) capital a/c

4. Provision for bad debt appearing at the time of dissolution of a firm is transferred to

(a) realization a/c

(b) sundry debtors a/c

5. The decision in Garner Vs Murray is exactly similar to

(a) sec. 48 of the partnership act

(b) sec. 41 of the partnership act

6. General reserve appearing at the time of dissolution of a firm H transferred to

(a) capital account of the partners

(b) realisation a/c

7. Goodwill a/c is closed at the time of dissolution by transferring to

(a) capital a/c of the partners

(b) realisation a/c

8. In the event of dissolution of a firm, if a partner takes over an asset, it should be

(a) debited to realisation a/c

(b) credited to realisation a/c

9. Upon dissolution, a liability taken over by a partner is to be credited to

(a) P& L a/c

(b) Partner's capital a/c

10. When the realization expenses are to be borne by a partner, it is debited to:

(a) partner's capital a/c

(b) cash a/c

11. Profit or loss on realization should be divided among partners in the

(a) profit sharing ratio

(b) equally

12. As per the dissolution of Gamer Vs Muray, the solvent partners are to bring cash equal to their share of _________

(a) personal loss

(b) realisation loss

13. In the realisation a/c, the expenses of realisation are

(a) debited

(b) credited

14. At the time of dissolution, all the assets of the firm are transferred to the realisation account at

(a) market value

(b) book value

15. The first step in the dissolution process is to

(a) preparea balance sheet on the date of dissolution

(b) distribute the available cash to the creditors

16. The court may dissolve a firm when:

(a) a partner has become of unsound mind

(b) the business was formed for a fixed term

17. At the time of dissolution of a partnership firm, which liability is to be paid first from that remaining surplus asset?

(a) Wife's Loan

(b) Partner's Loan

(c) Dissolution exp.

(d) Payment of third party

18. From the realisation of firm's assets after dissolution, which of the following liabilities is paid last?

(a) Dissolution exp.

(b) Payment to third party

(c) Increase in Capital

(d) Wife's loan

19. At the time of dissolution of partnership firm, what will be the accounting effect of Bad debts return?

(a) Cash A/c. Cr.

(b) Realisation A/c Dr.

(c) Realisation A/c Cr.

(d) No effect

20. At the time of dissolution, the Goodwil is Rs. 50,000 in Balance sheet. No specification has been given regarding it. what will be the effect.?

(a) Realisation A/c Cr.

(b) Cash A/c Dr.

(c) No Effect

(d) partner's capital A/c Cr.

21. At the time of dissolution, no Goodwill was seen in Balance Sheet still there is surplus amount of Rs. 50,000 of Goodwill. What effect will be given to it ?

(a) Realization A/c Cr.

(b) Cash A/c Cr.

(d) No effect

22. At the time of dissoultion, what will be the effect of investment fluctuation fund?

(a) Realization A/c Cr.

(b) Invesetment A/c Cr.

(d) Partner's capital A/c Cr.

23. At the time of dissolution Rs. 20,000 for machinary is shown in Balance Sheet. No specification regarding its realisation has been made. What will be its accounting effect?

(a) Partner's capital A/c Cr.

(b) No effect

(d) Realization A/c Cr.

24. At the time of dissolution, if any partner accepts the liability to bear dissolution expenses of Rs. 8,000, what will be the accounting effect?

(a) Realisation A/c Dr.

(b) Realization A/c Cr.

(d) No effect

25. At the time of dissoultion, Rs. 5,000 realised for unrecorded furniture when it was sold which account will it be credited to?

(a) Cash Account

(b) Partner's capital A/c

(c) Realisation A/c

(d) Partner's Current A/c

26. At the time of dissolution, unrecorded outstanding salary of Rs.10,000 is being paid. Where will it be credited?

(a) Realization A/c Dr.

(b) Partner's Capital A/c

(d) Cash A/c

27. At the time of dissolution, what will be the effect of credit balance of Profit and Loss A/c?

(a) Realisation A/c Dr.

(b) Realization A/c Cr.

(d) Partner's Capital A/c Cr

28. At the time of dissoultion, unrecorded investments are Rs.12,000. It has been paid to unrecorded creditors and account is closed. what will be the accounting effect?

(a) Realization A/c Dr.

(b) Realisation A/c Cr.

(c) No Effect

(d) Cash A/c Dr.

29. At the time of dissolution, In Balance Sheet, Debtors A/c was Rs. 8,000 and Bad Debts Reserve A/c was Rs. 800. What will be written on the credit side of Realisation A/c?

(a) Rs.800

(b) Rs.7,200

(d) Rs.8,800

30. It was decided to pay Rs.1,200 to Mr. Modi for dissoultion expense, but actual dissolution expense was Rs.800. What amount will be written on the Dr. side of Realisation A/c?

(a) Rs.1,200

(b) Rs.800

(d) Rs.2,000

31. To which account are the dissolution expenses debited?

(a) Profit and Loss A/c

(b) Profit and Loss Adjustment A/c

(d) Realisation A/c

32. What is the liability of the partners?

(a) Limited

(b) Unlimited

(d) Limited upto closing capital

33. Which account is opened to close assets and liabilities accounts when a firm is dissolved?

(a) Revaluation Account

(b) Realisation Account

(d) Memorandum Revaluation Account

34. To which account is the profit or loss on realization account transferred on dissolution of a firm?

(a) To Partners' Loan A/c

(b) To Partners Capital Accounts

(d) To Profit and Loss Adjustment A/c

35. On dissolution, assets and liabilities are transferred to Realization account at their _______ values.

(a) market

(b) book

(d) realised

36. The partner who is unable to pay his liabilities is called an /a ________ parther.

(a) solvent

(b) insolvent

(d) working

37. In the case of dissolution of a firm, when a partner takes over an outside liability ________ A/c is debited.

(a) Revaluation

(b) Realisation

(d) Partner's Loan

38. Which type of account is Realisation A/c?

(a) Personal Account

(b) Real Account

(d) Special Account

39. Normlly the realisation expense is paid by the _______

(a) court

(b) all partners

(d) firm

40. The debit balance on Realization A/c indicates ______

(a) Profit on realisation

(b) Loss on realisation

(d) Asset of the firm

41. Which type of partner can take over an asset or a liability at the time of dissolution of the firm?

(a) Solvent partner

(b) Insolvent partner

(d) Working partner

42. At the time of dissolution of partnership firm, the general reserve account is transferred to..

(a) Partners' Capital A/c

(b) Profit and Loss A/c

(d) Balance sheet

43. ________ means winding up of partnership firm.

(a) Reconstruction of partnership

(b) Admission of a new partner

(d) Dissolution of partnership

44. On dissolution of a firm, the assets and liabilities are transferred to the ________ Account.

(a) Revaluation

(b) Realisation

(d) Partner's Drawings

45. Books of account shows the balance of Rs. 10,000 for intangible asset (e.g. Goodwill, copyright) If instruction is not given regarding its disposal then which effect would be passed ?

(a) No account effect is to be passed

(b) Realise amt. credited to Partners Capital A/c

(d) Realised amt. debited to Partners Capital A/c

46. At the time of dissolution, machinery is shown at Rs. 30,000 in the B/s. But nothing is mentioned regarding its realisation. What will be the effect for this ?

(a) Realisation A/c. Cr. side

(b) No accounting effect is required

(d) Partners Capital A/c. Cr. side

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