MGT101 Quiz No.3 Shared by Nisa

Question # 1 of 20 ( Start time: 04:45:41 PM ) Total Marks: 1

Assets, in Balance Sheet of a company are normally arranged in the order of:

Select correct option:

Liquidity

Management policy

Book Value

Market Value

Question # 2 of 20 ( Start time: 04:46:10 PM ) Total Marks: 1

Which of the following is fiscal Year of Government of Pakistan?

Select correct option:

1st January to 31st December

1st June to 31st May

1st July to 30th June

1st October to 30th September

Question # 3 of 20 ( Start time: 04:46:20 PM ) Total Marks: 1

Under the diminishing balance method, depreciation is calculated on:

Select correct option:

The original cost

The scrap value

Book value

Both original cost and Scrap value

Question # 4 of 20 ( Start time: 04:46:32 PM ) Total Marks: 1

If, Cost of machine = Rs.400, 000 Useful life = 5 years Residual value = Rs.25, 000 Sale

price = Rs.40, 000 Rate of depreciation = 40% What will be book value of machine after

four years using straight line method?

Select correct option:

Rs.35, 000

Rs.40, 000

Rs.55, 000

Rs.75, 000

Question # 5 of 20 ( Start time: 04:46:44 PM ) Total Marks: 1

A, B, C are partners. Their profit sharing ratio is equal. Capital balance on July 1st of Partner A --- Rs. 40,000 Partner B --- Rs. 30,000 and Partner C--- Rs. 20,000. Their private property of Partner A is Rs. 5,000, Partner B is Rs. 2,000 and Partner C is Rs.1,000. What is the extent of their liability of their firm?

Select correct option:

Partner A—Rs. 40,000, Partner B---- Rs. 30,000, Partner C – 20,000

Partner A—Rs. 40,000, Partner B---- Rs. 30,000, Partner C – 21,500

Partner A—Rs. 40,000, Partner B---- Rs. 32,000, Partner C – 20,000

Partner A—Rs. 45,000, Partner B---- Rs. 32,000, Partner C – 21,000

Question # 6 of 20 ( Start time: 04:47:24 PM ) Total Marks: 1

Which of the following is/are inventory valuation method(s)?

Select correct option:

FIFO

LIFO

Weighted average

All of the given options

Question # 7 of 20 ( Start time: 04:47:36 PM ) Total Marks: 1

When closing stock is given in trial balance, then it will effect:

Select correct option:

Trading account only

Balance sheet only

Owner's equity only

Both Trading account and Balance sheet

Question # 9 of 20 ( Start time: 04:49:52 PM ) Total Marks: 1

Which of the following represents the profits which are NOT distribution to shareholders

as cash dividend?

Select correct option:

Capital Reserve

Revenue Reserve

Equity

Debts

Question # 10 of 20 ( Start time: 04:50:42 PM ) Total Marks: 1

Which of the following assets is most likely to appreciate rather than dep

Select correct option:

Land

Motor vehicles

Plant and machinery

Fixtures and fittings

Question # 11 of 20 ( Start time: 04:50:56 PM ) Total Marks: 1

Consider the following data: Particulars Rs. Assets ? Owner's equity 35,000 Liabilities

90,000

Select correct option:

Rs. 35,000

Rs. 55,000

Rs. 1, 25,000

Rs. 1, 05,000

Question # 12 of 20 ( Start time: 04:51:10 PM ) Total Marks: 1

A Balance Sheet discloses the financial position of a firm:

Select correct option:

For a certain given period

At a particular point of time

After the fixed date

None of the given options

Question # 13 of 20 ( Start time: 04:51:26 PM ) Total Marks: 1

While making Profit & Loss account, Excess of expenses over income in a specified accounting period is called:

Select correct option:

Profit

Loss

Surplus

Deficit

Question # 14 of 20 ( Start time: 04:51:41 PM ) Total Marks: 1

What will be the effect on accounting equation if cash is received from a tenant a rent?

Select correct option:

Increase cash and decrease equity

Increase cash and increase equity

Decrease cash and increase equity

Decrease cash and increase dividends

Question # 15 of 20 ( Start time: 04:51:58 PM ) Total Marks: 1

Which of the following account balance/s is/are shown on credit side of Trial Balance? (It

is assumed that all account balances are shown on normal balance)

Select correct option:

Capital account

Sundry creditors account

Accounts payable account

All of the given options

Question # 16 of 20 ( Start time: 04:52:07 PM ) Total Marks: 1

Partnership means a lawful business owned by at least:

Select correct option:

Two or more persons

Five or more persons

Seven or more persons

Nine or more persons

Question # 17 of 20 ( Start time: 04:52:21 PM ) Total Marks: 1

Which of the following is (are) shown as notes to the accounts.

Select correct option:

Accounting polices of the business

Nature of the business of the company

Details and explanations of items given in Balance Sheet

All of the given options

Question # 18 of 20 ( Start time: 04:52:50 PM ) Total Marks: 1

Particulars Rs. Opening written down value of machine 3,75,000 Cost of machine 50,000

Depreciation during the year 11,500 Closing written down value (WDV) of the Machines?

Select correct option:

Rs. 4,13,5000

Rs. 4, 25,000

Rs. 3, 36,500

Rs. 61,500

Question # 19 of 20 ( Start time: 04:53:10 PM ) Total Marks: 1

Fixed Asset (WDV) + working capital =?

Select correct option:

Total assets Employed

Total liabilities

Total assets

Current Assets

Question # 20 of 20 ( Start time: 04:53:30 PM ) Total Marks: 1

5% Debentures Account Rs. 3, 00,000. What amount of interest on debentures should be

shown in profit and loss account?

Select correct option:

Rs. 6,000

Rs. 3, 00,000

Rs. 15,000

Rs. 3, 15,000