UG Entrance Question Paper Bifurcation – Accountancy
| S. No. | Chapter | August 30 Slot 1 (No. of Questions) |
August 30 Slot 2 (No. of Questions) |
| Chapter 1 | NPO | 9 (4 + 5) | |
| Chapter 2 | Partnership | 13 | |
| Chapter 3 | Company | 9 ( 4 + 5) | |
| Chapter 4 | Analysis of Financial Statements | 6 | |
| Chapter 5 | Ratio | 2 | |
| Chapter 6 | Cash Flow | 7 | |
| Chapter 7 | Computer | 4 | |
| 50 |
NPO
- Government Grant received by Not-for-profit organisation will be shown in :
(a) Income of current year
(b) Expenses of current year
(c) Liability of current year
(d Assets of current year - Find out the amount of stationery consumed during the year 2021-22. Payment made for stationery during the year 2021-22 Rs. 40,000
Stock of stationery on 1st April 2021 Rs. 10,000
Stock of stationery on 31st March 2022 Rs. 20,000
Creditors for stationery on 31st March 2022 Rs. 30,000
(a) Rs. 40,000
(b) Rs. 60,000
(c) Rs. 80,000
(d) Rs. 1,00,000 - Income and Expenditure Account is :
(a) Personal Account
(b) Real Account
(c) Nominal Account
(d) Asset Account - Identify the correct options, not appearing in the ‘Receipt and Payment Account but need to be taken into account for determining the surplus/ deficit for an accounting year :
(a) Provision for doubtful debts
(b) Printing and stationary expenses
(c) Rates and Taxes
(d) Wages and Salaries
Read the text carefully and answer the questions:
One step organisation is an NPO established to work in areas of Environment Health & Education for the sustainable development of the society, for this, they create replicable and scalable models of plantation through an integrated approach. This organisation was started by Mr. Sushant and his 19 other friends. They all paid life membership fee Rs. 20,000 each. A well known industrialist Mr. Modi donated Rs. 2,00,000 for purchase of plants. All 20 members where to pay annual subscription Rs. 500 ; two member could not pay the subscription during the year, but other 5 members paid their subscription for the next year. Two gardener,s were appointed at a salary Rs. 2,500 p.m. They had a session to brief about environment and health whom they paid Rs. 2,000.
- The donation Rs. 2,00,000 received for Plants will be shown in which A/c statement ?
(a) Income and Expenditure A/c (Income side)
(b) Income and Expenditure A/c (Expenditure side)
(c) Balance sheet (Asset side)
(d) Balance sheet (Liabilities side) - The money paid to the environmental expert, Rs. 2,000 for a session is known as :
(a) Honorarium
(b) Salary
(c) Wages
(d) donation - The salaries Rs. 2500 per month being paid to the gardeners will be shown in which A/c statement ?
(a) Receipt side for Receipts & Payment A/c
(b) Income side of Income & Expenditure A/c
(c) Expenditure side of Income & exp A/c
(d) Assets side of Balance Sheet - The subscription not paid by 2 members will be shown where and which side?
(a) Rs. 1000 outstanding subscription liabilities side of Balance Sheet and income side of Income and Expenditure Account
(b) Receipt and Payment A/c only on Receipts side Rs. 1000
(c) Rs. 1000 on Assets side and Income side of Income and Expenditure A/c
(d) Expenditure side and Liabilities side of Balance Sheet - Where will be the advance subscription paid by 5 members shown ?
(a) Rs. 2500 on payment side (R/P A/C)) and Assets side of Balance Sheet
(b) Rs. 2500 on Income side as a deduction and liabilities side of Balance Sheet
(c) Rs. 2500 on Income side as an additional and Assets side of Balance Sheet
(d) Rs. 2500 on Expenditure side as a deduction and liabilities side of Balance Sheet
Answer Key
| 1 (a) | 2 (b) | 3 (c) | 4(a) |
Partnership – Fundamentals
- In which situation would Profit and Loss Appropriation A/c be credited ?
(a) For Interest on Capital
(b) For Interest on Drawings
(c) For Partner’s Commission
(d) For Manager’s Commission - Match List – I with List – II
List –I List-II (A) Permanent Drawings
(B) Interest on Capital
(C) Fresh Capital introduced
(D) Interest on drawings(I) Credit side of Partner’s Current A/C
(II) Debit side of Partner’s Current A/C
(III) Credit side of Partner’s Capital A/C
(IV) Debit side of Partner’s Capital A/CChoose the correct answer from the options given below :
(a) (A) – (I), (B) – (II), (C) – (IV), (D) – (III)
(b) (A) – (IV), (B) – (I), (C) – (III), (D) – (II)
(c) (A) – (III), (B) – (IV), (C) – (II), (D) – (I)
(d) (A) – (I), (B) – (IV), (C) – (III), (D) – (II) - When fixed amount of money is withdrawn quarterly by partners at the beginning of each quarter, for how many months, is interest to be calculated on the total money withdrawn during a year?
(a) 71⁄2 months
(b) 61⁄2 months
(c) 41⁄2 months
(d) 31⁄2 months - Match list-I with list-II with reference to interest on drawings.
List -I (Drawings)
(A) When drawings are made in the beginning of every quarter
(B) When drawing are made in the beginning of every month
(C) When drawing are made in the end of every quarter
(D) When drawings are made at the end of every month
List – II (Average Period)
(i) 5.5 Months
(ii) 4.5 Months
(iii) 7.5 Months
(iv) 6.5 Months
Choose the current answer from the options given below :
(a) (A) – (iii), (B) – (iv), (C) – (ii), (D) – (i)
(b) (A) – (ii), (B) – (iii), (C) – (i), (D) – (iv)
(c) (A) – (iv), (B) – (i), (C) – (iii), (D) – (ii)
(d) (A) – (i), (B) – (ii), (C) – (iv), (D) – (iii)
Partnership – Goodwill
- Pick the correct statement :
(a) Goodwill is a real asset.
(b) Goodwill is a wasting asset.
(c) Goodwill is an intangible asset.
(d) Goodwill is a Current assets. - Goodwill at 2 years purchase of 3 years average profit is Rs. 1,44, 000 if the firm earned a profit of Rs. 33,000 in the previous year and Rs. 46,000 in the year before that, the 3rd year profit would be :
(a) Rs. 72,000
(b) Rs. (7,000)
(c) Rs. 2,16,000
(d) Rs. 1,37,000
Partnership – Admission of a New Partner
- X and Y are partner’s in a firm sharing profits in the ratio of 3 : 2, Z admits in the firm for 1/5th share in profits. Z brings in Rs. 40,000 capital and required amount of goodwill. the goodwill of the firm was valued at Rs. 6,00,000. The amount of premium brought by Z would be :
(a) Rs. 1,20,000
(b) Rs. 6,00,000
(c) Rs. 3,00,000
(d) Rs. 2,00,000
Partnership – Retirement & Death of a Partner
- Abhishek, Rajat and Vivek are partner’s sharing profits in the ratio 5 : 3 : 2. If Vivek retires the new profit sharing ratio between Abhishek and Rajat will be:
(a) 3: 2
(b) 5 : 3
(c) 5 : 2
(d) 2 : 1 - P, Q, and R partner’s in firm sharing profits in the ratio of 3 : 2 : 1. R retires and the balance in his capital account after making necessary adjustments on accounts of reserve and surplus, revaluation of assets and reassessments of liabilities works out to be Rs. 60,000. P and Q agreed to pay him Rs. 75,000 in full settlement of his claim. It implies that Rs. 15,000 is :
(a) R’s salary for the time period
(b) R’s loan
(c) R’s share of Goodwill
(d) R’s share of profit
Dissolution of a Partnership Firm
- Compulsory dissolution of a partnership firm takes place in the following circumstances…
(i) Due to death of one of the partners
(ii) When all partner’s or all but one partner, becomes insolvent rendering them incompetent to sign a contract
(iii) When the business becomes illegal
(iv) With the consent of all the partners
(v) In accordance with a contract between the partner’s
Choose the most appropriate answer from the options given below :
(a) (i) and (ii) only
(b) (ii) and (iii) only
(c) (iii) and (iv) only
(d) (iv) and (v) only - Write the sequence of treating losses as per section 48 of the Partnership Act 1932
(i) Close Realisation Account
(ii) Payout of Partners Capital
(iii) Pay out of Profits
(iv) Paid by the partners individually in their profits sharing ratio
Choose the most appropriate answer from the options given below :
(a) (i), (ii), (iii), (iv)
(b) (i), (iii), (iv), (D)
(c) (i), (iv), (iii), (ii)
(d) (i), (iv), (ii), (iii) - In case of dissolution of a firm, assets of the firm shall be applied in following purposes and order (sequence).
(i) Paying to each partner portionately what is due to him on account of capital
(ii) In paying the debts of the firm to the third party
(iii) In transferring amount of General Reserves
(iv) Residue if any to be divided among the partner’s in their profit sharing ratio
(v) In paying each partner proportionately what is due to him from the firm for advances (Partner’s Loan)
Choose the most appropriate answer from the options given below :
(a) (ii), (i), (iv), (v), (iii)
(b) (iii), (i), (ii), (iv), (v)
(c) (ii), (v), (i), (iv)
(d) (v), (i), (iv), (iii) - A, B and C were partner’s in a firm. A had advanced a loan of Rs. 20,000 which was settled by paying him Rs. 18,000. The correct treatment would be:
(a) Bank a/c would be credited by Rs. 20,000
(b) Realisation a/c would be credited by Rs. 2,000
(c) Bank a/c would be credited by Rs. 18,000
(d) Bank a/c & Realisation a/c would be credited by’ Rs. 18,000 anal Rs. 2000 respectively
Company
- The Shares of a Public Limited Company are :
(a) Freely Transferable
(b Transferred with Restriction
(c) Non Transferable
(d) Transferable in the prescribed manners of Articles - Company purchased a boiler from No Risk Machine Limited for Rs. 3,80,000. As per purchase agreement, Rs. 20,000 were paid in cash and balance by issue of shares Rs. 100 each at 20% premium. The number of shares issued will be :
(a) 3600
(b) 3000
(c) 3800
(d) 4000 - (i) Bank A/c Dr. Rs. 2,91,000
To Equity Share 2nd and Final call Rs. 2,91,000
(Being 2nd and final call money received except for 300 shares)
(ii) Share Capital A/c Dr. Rs. 30,000
To Equity Share 1st call Rs. 6000
To Equity Share 2nd call Rs. 9000
To share forfeiture A/c Rs. 15000
(300 shares being forfeited)
Based on the above instructions calculate the total number of shares issued by the company were :
(a) 29, 100
(b) 30,000
(c) 9,700
(d) 10,000 - The balance of Shares Forfeited Account is shown under which head till the Forfeited Shares are re-issued.
(a) Non current liabilities
(b) Reserves and Surpluses
(c) Share Capital
(d) Unsecured Loan
Read the text carefully and answer the questions:
Electronic Follow Pro, a Delhi Based Company dealing in almost all types of electronic products, appointed marketing expert, Mr. Salman Khan as the CEO of the company, with a target to increase their market share from 40% to 50% for the accounting year 2022-23 Mr. Salman discussed the details of target to be achieved with all departmental heads and branch heads of all branches in Delhi. The target is to reach all backward or less developed cities of Delhi NCR, Moto of new project is “Use More; Save More”. Selling, Distribution and Promotional expenses of the firm will increase manifold. The finance manager Mr. Shahrukh was asked to prepare the budget accordingly, an additional fund requirement of Rs. 60, 00,000 is to be raised. The Finance manager Mr. Shahrukh proposed to (i) issue equity shares of Rs. 100 each for Rs. 20, 00,000 (ii) 20,000 10% debentures of Rs. 100 each to the public at a premium of 5% ; redeemable after 5 years at Rs. 110 per debenture. Raise a loan of Rs. 20, 00,000 from Bank of India against debenture kept as an additional security.
- What other name is given to debentures being kept as an additional security ?
(a) Consideration other than cash
(b) Commitments
(c) Contingent Liability
(d) Collateral Security - As per section 52, of the companies Act, 2013, Securities Premium Reserve cannot be utilised for :
(a) Writing off capital losses
(b) Issue off fully paid bonus shares
(c) Writing of discount on issues off debentures
(d) Writing of preliminary expenses - What is the amount of annual fixed obligation ?
(a) Rs. 2,00,000
(b) Rs. 20,00,000
(c) Rs. 2,20,000
(d) Rs. 2o,000 - Under what head sub-head will this annual fixed obligation paid on debentures be shown in companies financial statements ?
(a) Other Current Liabilities in Balance Sheet
(b) Short term Provisions in Balance Sheet
(c) Other expenses in Income Statement
(d) Finance Cost in Income Statement - Choose the correct journal entry to be passed for Redemption of Debentures due after 5 years :
(a) Debentures A/c Dr. Rs. 20,00,000
Premium on Redemption of Debentures A/c. Dr.Rs. 2,00,000
To Debenture holders Rs. 22,00,000
(b) Debentures Rs. 22,00,000
To Debenture holders Rs. 20,00,000
To Premium on Redemption of Debentures A/c Rs. 2,00,000
(c) No entry
(d) Debenture holders A/c Dr.Rs. 20,00,000
To Bank A/c Rs. 20,00,000
Analysis of Financial Statements
- Prepaid Expenses is shown in sub-head of the Balance Sheet under :
(a) Current Assets
(b) Other Current Assets
(c) Other Non-current Assets
(d) Short-term loan advances - Bank overdraft is shown in the liabilities side under the sub-head:
(a) Current liability
(b) Short Term Borrowings
(c) Other Current Liabilities
(d) Short-Term Provision - Losses are shown in the Balance Sheet under the heading:
(a) Non current assets
(b) Cash and Cash equivalents
(c) Other current assets
(d) Inventory - Proposed dividend is treated as:
(a) Contingent liability
(b) Current liability
(c) Non Currently liability
(d) Tangible assets - Comparative statements are also known as :
(a) Dynamic Analysis
(b) Horizontal Analysis
(c) Vertical Analysis
(d) External Analysis - Common size Balance Sheet XYZ Ltd. at 31st March 2019 and 20201.
Absolute Amount Percentage of * 2018-19
(Rs.)2019-20
(Rs.)2018-19
(%)2019-20
(%)- Non-Current Assets
(a) Fixed Assets
(b) Current Asseys
44,00,000
1,00,00048,00,000
2,00,00097.78
2.2296
445,00,000 50,00,000 100 100 The blank space * in the table row is :
(a) Previous Year
(b) Net Revenue from Operation
(c) Total Assets
(d) Fixed Assets - Non-Current Assets
Ratio
- Ratio’s that are calculated for measuring the efficiency of operations is :
(a) Solvency Ratio
(b) Turnover Ratio
(c) Liquidity Ratio
(d) Profitability Ratio - Formula for calculating cost of goods sold is :
(a) Opening stock + Net purchases + Direct expenses – closing stock.
(b) Opening stock + total purchases + Direct expenses – closing stock.
(c) Opening stock + total purchases – closing stock
(d) Opening stock + Net purchases – closing stock
Cash Flow Statement
- Identify the right sequence of Cash-flow statement as per Accounting Standards 3.
(i) Cash Equivalents
(ii) Cash Flow from Investing Activity
(iii) Cash Flow from Operating Activity
(iv) Cash Flow from Financing Activity
choose the most appropriate answer from the options given below:
(a) (iii), (ii), (iv), (i)
(b) (i), (ii), (iii), (iv)
(c) (iii), (i), (ii), (iv)
(d) (iii), (ii), (i), (iv) - State whether ‘Cash withdrawal from Bank’ will be classified under which kind of activity ?
(a) Cash Flow from Operating Activity
(b) Cash Flow from Financing Activity
(c) No Cash Flow
(d) Cash Flow from Investing Activity - From the following information, find out cash flow from investing activities: Sale of machinery Rs. 40,000
Purchase of machinery Rs. 85,000
Rent received Rs. 5,000
Sale of investment Rs. ‘10,000
(a) 55,000
(b) (80,000)
(c) (30,000)
(d) 50,000 - How will you treat the following items while making cash flow statement
Particulars 2020 – 21 2021 – 22 Provision for Tax 30,000 35,000 (a) Rs. 35,000 will be added in operating & Rs. 30,000 will be deducted from operating activities
(b) Rs. 35,000 will be added in operating activities
(c) Rs. .30,000 will be deducted from operating activities
(d) Rs. 35,000 will be added in financing activities & Rs. 30,000 will be deducted in operating activities - Match List-I with List-II
List – I
(A) Cash and Cash Equivalents
(B) Investing Activity
(C) Financing Activity
(D) Operating Activity
List – II
(i) Purchase of Equipment
(ii) Demand Deposits
(iii) Received from Royalties
(iv) Payment of Interest
Choose the correct answer from the options given below :
(a) (A) – (ii), (B) – (iii), (C) – (iv), (D) – (i)
(b) (A) – (ii), (B) – (i), (C) – (iv), (D) – (iii)
(c) (A) – (iv), (B) – (i), (C) – (ii), (D) – (iii)
(d) (A) – (iii), (B) – (iv), (C) – (i), (D) – (ii) - Arrange the below-mentioned items/transactions in proper sequence for calculation of Cash Flow from operating activities.
(i) Net profit before taxes & extraordinary items
(ii) Income Tax paid
(iii) Operating profit before working capital changes
(iv) Net profit as per statement of Profit & Loss A/c
(v) Patents Amortised
Choose the most appropriate answer from the options given below
(a) (i), (iv), (iii), (v), (ii)
(b) (iv), (i), (v), (iii), (ii)
(c) (i), (iv), (ii), (v), (iii)
(d) (iv), (i), (ii), (v), (iii) - All the following item would be included in company’s Operating Activities excepts ;
(i) Income Tax Payment
(ii) Collection from Customer
(iii) Cash Payment to Suppliers
(iv) Interest on Current Investment
(v) Dividend paid by Financial Institution
Choose the most appropriate answer from the options given below
(a) (iii) only
(b) (iv) only
(c) (i) only
(d) (v) only
Computer
- The term “Field as applied to Data Base’ table means :
(a) A vertical column of the table
(b ) Name of table
(c) Size of the table
(d) Horizontal row of the table - Which view shows margins and the rulers ?
(a) Page set up
(b) Page lay out
(c) Review
(d) Normal - Which formula would result in TRUE if C4 is less than 10 and D4 is less than 100 ?
(a) = AND (C4 > 10, D4 < 100)
(b) = AND (C4 > 10, C4 < 100)
(c) = AND (C4 < 10, D4 < 100)
(d) = AND (C4 > 10, D4 < 10) - Identify the concept referred to Computerised Accounting System :
(a) Printing of Balance Sheet and Profit and Loss Accounts using computer
(b) Processing of accounting transaction through computers and produce records and reports
(c) Processing of accounts related to data and printing reports
(d) Creating only Journal entry using computer