Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Cost Accounting Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Which of the following items are not included in Cost Sheet? Bank Interest Cash Discount Donations All of the above None 2. Prime cost may be correctly termed as: The sum of direct material and labour cost with all other cost excluded. The total of all cost items which can directly charge to product items The total cost incurred in producing a finished unit The sum of the large costs in a product cost None 3. Sales, Opening Stock and Closing Stock are ₹ 2,40,000, ₹ 36,000 and ₹ 45,000 respectively. If the rate of G.P on cost of goods sold is 25%, then the amount of purchases will be: 1,83,000 ₹ 1,92,000 ₹ 2,01,000 ₹ 1,89,000 None 4. From the following information, find out purchases of raw material when raw material consumed is ₹ 26,500; closing stock ₹ 4,500 and opening stock ₹ 3,000 a) ₹ 29,500 ₹ 31,000 ₹ 28,000 ₹ 34,000 None 5. Direct Material and Direct Wages are ₹ 2,32,000 and ₹ 2,05,000 respectively. If the ratio of direct wages and factory overhead is 5:3 then Factory Cost will be: ₹ 4,37,000 ₹ 5,60,000 ₹ 7,78,667 ₹ 5,46,667 None 6. Prime cost-plus factory overheads is known as - Marginal Cost Conversion Cost Commercial Cost Factory Cost None 7. Which costing method is used by Spare-parts manufacturing industry? Process Costing Job Costing Batch Costing Absorption Costing None 8. Which of the following is not a relevant cost? Replacement Cost Sunk Cost Marginal Cost Opportunity Cost None 9. Cost of rectification of defective articles are treated as: Production Overhead Distribution Overhead. Selling Overhead. Administrative Overhead None 10. Which of the following would be classified as indirect labour? Assembly workers in a company manufacturing unit Stores assistant in a factory store An audit clerk in a auditors' firm Masons in a construction company None 11. Cost of free samples and gifts are included in: Prime Cost Factory Overhead Office and Administrative Overheads Selling & Distribution Overheads None 12. Which one is False? Fixed costs per unit increase with increase in output Out of pocket costs involve payment to outsiders Rent on own building is imputed cost Tender is an estimation of selling price None 13. CAS-16 is related to: Cost Accounting Standard on Depreciation and Amortisation Cost Accounting Standard on Joint Costs Cost Accounting Standard on Quality Control Cost Accounting Standard on Overburden Removal Cost None 14. Wages for abnormal idle time are charged to: Production Cost Job Cost Abnormal Overhead Costing Profit and Loss Account None 15. Which statement is not True? Replacement cost is the current market cost of replacing an asset or a material Cost accounts provide information for determination of profit or loss Bad debts, legal charges for recovery of debts are considered as selling & distribution expenses. Imputed costs are hypothetical cost None 16. The manufacturing account is prepared: To ascertain gross profit To ascertain the cost of goods manufactured To ascertain profit or loss on the goods manufactured To ascertain the cost of sales None 17. Which of the following term is excluded from the cost accounts? Income tax Interest on debenture Cash discount All of the above None 18. Prime cost may be correctly termed as The sum of direct material and labour cost with all other cost exclude The total of all cost items which can be directly charged to production units The total costs incurred in producing a finished unit. The sum of the large costs there in a product cost None 19. Which of the following is a part of both Prime cost and Conversion cost? Direct Material Indirect Labour Direct Labour All of the above None 20. Indirect material cost is a part of Prime Cost Factory Overhead Chargeable Expenses None of the above None 21. Direct labour is an element of: Prime cost Conversion cost Total production cost All of the given options None 22. The cost of goods sold is equal to Total Purchases - Total Sales Opening Stock + Total Purchase Opening Stock - Total Purchases + Closing Stock + Direct Costs Opening Stock + Total Purchases - Closing Stock + Direct Costs None 23. Prime cost and factory cost are ₹ 6,10,000 and respectively. If the factory overhead is absorbed @ 60 percent of the direct wages then amount of direct wages would be ₹ 1,86,000 ₹ 31,000 ₹ 4,84,000 ₹ 1,00,000 None 24. Statement showing break up of costs is known as Cost sheet Tender Production account Statement of profit None 25. Prime cost may he correctly termed as The total of all cost items which can be directly charged to product units The sums of all direct materials and labour cost excluding all other cost The total costs incurred in producing a finished unit The sum of the large cost there in product cost None 26. Which one is included in financial accounts but not in cost accounts? Royalty Dividend paid Excise duty Carriage and freight None 27. Which of the following term is excluded from the cost accounts? Income tax Interest on debenture Cash discount All of the above None 28. Direct Wages ₹ 2,05,000 and Factory Cost ₹ 5,60,000. If the ratio of direct wages and factory overhead is 5:3 then Direct Material will be ₹ 2,32,000 ₹ 3,50,000 ₹ 3,41,667 ₹ 2,24,000 None 29. The works cost plus administration expenses represents Total cost Cost of production Cost of sales Factory cost None 30. Prime cost may be correctly termed as The sum of direct material and labour cost with all other cost exclude The total of all cost items which can be directly charged to production units The total costs incurred in producing a finished unit. The sum of the large costs there in a product cost None 31. From the following information, find out purchases when raw material consumed is ₹ 26,500, closing stock ₹ 4,500 and opening stock ₹ 3,000: ₹ 26,500 ₹ 25,000 ₹ 28,000 ₹ 34,000 None 32. Prime cost plus factory overheads is known as Marginal Costing Conversion Cost Commercial Cost Factory Cost None 33. Cost of free samples and gifts are included in Prime Cost Factory Overhead Office and Administrative Overheads Selling & Distribution Overheads None 34. Which of the following is a part of both Prime cost and Conversion cost? Direct Material Indirect Labour Direct Labour All of the above None 35. Prime Cost plus Factory Overheads is known as Factory on Cost Conversion Cost Factory Cost Marginal Cost None 36. Prime Cost may be correctly termed as The sum of direct material and labour cost with all other costs excluded The total of all cost items which can be directly charged to product units The total costs incurred in producing a finished unit The sum of the large cost there in a product cost None 37. Indirect material cost is a part of Prime Cost Factory Overhead Chargeable Expenses None of the above None 38. The Works Cost plus Administration Expenses is known as Total Cost Cost of Production Cost of Sales Factory Cost None 39. Cost of sales is: Total costs incurred in production, administration and marketing functions Works cost put administration overheads Aggregate of works, administration and marketing overheads Prime cost plus marketing overheads None 40. Which of the following cost is used in the calculation of cost per unit? Total production cost Cost of goods available for sales Cost of goods manufactured Cost of goods sold None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Your quiz time is about to finish. Few seconds left. Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! To begin the quiz, please grant this quiz access to your camera.Time is Up!Time is Up!
Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Fundamentals of Business Laws and Business Communications Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Which Article in the Constitution of India, 1950 has provisions for introduction of a bill in the Parliament of India? Article 119 Article 141 Article 107 Article 243 None 2. Money Bill is introduced in which House of the Parliament? Council of People - Lok Sabha Council of States - Rajya Sabha Both the Houses None of the Houses None 3. The essence of Sub-Ordinate legislation can be found in which Article of the Constitution of India, 1950? Article 12 Article 32 Article 13 Article 14 None 4. Which is the highest civil court in a district? Sessions Court Supreme Court of India District Court High Court None 5. When was the Supreme Court of India established? 26th November 1949 26th January 1950 28th January 1950 1st October 1937 None 6. What kind of structure does the Indian Constitution have? Unitary Federal Autocracy Totalitarian None 7. Which is the lowest court to approach for criminal matters? Munsif Court Judicial Magistrate Sessions Court District Court None 8. Fundamental Rights are mentioned under which part of the Constitution of India? Part-II Part-Ill Part-IX Part-XII None 9. What is a Private Bill? A bill introduced by a member other than a Minister Bill introduced by a private citizen Bill introduced by a Private company A bill relating affairs which are private to individual None 10. Secondary/Sub-ordinate legislation cannot go beyond: The ambit of the Act The ambit of the Act or the Constitution of India The Constitution of India Directive Principles of State Policy None 11. Elements of law include: Command Duty Sanction All of the above None 12. As per Historical definition of law, it is not universal in nature True False Partly True Partly False None 13. . ………… is a primary source of Hindu law Vedas Holy Kuran Smritis Bible None 14. ………… is the most ancient source of Indian law Judicial Decisions Judgement Ruling Finding None 15. ………… custom prevails in a particular locality Legal General Conventional Local None 16. Custom to be valid must not be: Immemorial Uncertain Reasonable In confirmation with law and public morality None 17. Rule of Court decision to be followed in future cases is known as ………… Doctrine of Indoor Management Doctrine of Stare Decisis Doctrine of Court Decisis None of the above None 18. In case of any conflict between decisions of co-equal benches ………… decision prevails Later Previous Both (a) and (b) None None 19. Bench of two judges is known as Smallest Bench Full Bench Division Bench None of the above None 20. Supreme Court is bound by its own decisions True False Partly True Partly False None 21. ………… precedents creates law for the whole country Declaratory Pervasive Absolutely Authoritative Original None 22. Legislation can be: Supreme Subordinate Both (a) and (b) None None 23. Shruti includes ………… number of Vedas 1 2 3 4 None 24. Hindu and Muhammedan law is ………… Personal Law Principle Law Historical Law Customary Law None 25. A declaratory precedent is one which is merely the application of already existing rule of law.” This was said by: Ulpine Cicero Salmond None None 26. ________ is the last stage of law making and therefore, the lawyer or the jurist is most important than legislature Custom Social control Legislation None of these None 27. ________ refers to some pattern set for guiding the future conduct Doctrine of Stare Decisis Precedent Judicial Precedent Both (a) and (b) None 28. Law administrated by chancellor is known as Statued law Equity Equity courts All of these None 29. These customs which are non-obligatory and are observed due to the pressure of public opinion is known as Custom having sanction Positive Morality Both (a) and (b) None of these None 30. Customs that are enforced by state are known as Customs having sanction Local customs General customs All of these None 31. This is an essential condition for making a valid custom:- Compulsory observations Peaceable enjoyment Certainty All of these None 32. The term precedent means Observation Set pattern for guiding the future conduct Both (a) and (b) None of these None 33. ________ Article makes clear that the law declared by the government shall be binding on all the courts within the territory of India Article 171 of the constitution Article 141 of the constitution Article 187 of the constitution All of these None 34. Which proceeds from the sovereign power in the state or which derives the power directly from the constitution Supreme Legislation Obiter Dicta Judiciary All of these None 35. Which of the following is not the branch of law Civil Law Administrative Law Commercial Law None of these None 36. Which of the following statement is not correct in context to the Supreme Court? It is bound by its own decisions It’s decisions are binding on all courts in India It is not bound by the decision of Federal Court None of the above None 37. Which of the following is NOT correct in context to the High Court in India? It is the court of Co-ordinate Jurisdiction Privity council decisions are not binding on Indian courts after the commencement of the Constitution of India (1950), but they still hold persuasive value. Its decisions are binding on all tribunals within its jurisdiction All of the above None 38. A Bench of three Judges in a High Court is called as Smallest Bench Division Bench Triangular Bench Full Bench None 39. The Smallest Bench in a High Court consists of how many Judges? Five Two One None of the above None 40. A Bench of two judges in High Court is called as Smallest Bench Division Bench Full Bench None of the above None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Your quiz time is about to finish. Few seconds left. Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! To begin the quiz, please grant this quiz access to your camera.Time is Up!Time is Up!
Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Human resources will not appear in the balance sheet according to Accrual Going concern Money measurement concept None None 2. The ______ concept means that similar items in a set of accounts should be given similar accounting treatment and it should be applied from one period to another. Going Concern Prudence Consistency Materiality None 3.‘A Limited’ purchased goods of ₹ 10,00,000, and sold 90% of goods and remaining goods market value is ₹ 90,000, and closing stock is 10%, but he recorded ₹ 90,000 and not ₹ 1,00,000. Which concept does he follows: Materiality concept Cost concept Entity concept Conservatism concept None 4. Omission of Paise and showing the round figures in financial statements is based on: Conservatism Concept Consistency Concept Materiality Concept Realization Concept. None 5. Assets are held in the business for the purpose of: Re-sale Conversion into cash Earning reverse None of the above None 6. It is essential to standardize the accounting principles and policies in order to insure: Transparency Consistency Comparability All of the above. None 7. In the financial, statement, contingent liability is: Recognized Not Recognized Adjusted None of the above None 8. Rohan purchased goods for ₹ 25,00,000 and sold 4/5 lh of the goods amounting ₹ 18,00,000 and met expenses amounting ₹ 2,50,000 during the year, 2013. He counted net profit as ₹ 3,50,000 which accounting concept was followed by him? Entity Periodicity Matching Conservation None 9. The determination of expenses for an accounting period is based on the principle of: Objectivity Materiality Matching Periodicity None 10. The concepts of Conservation in balance sheet results in: Increase in Cash Decrease in Cash Decrease in assets No change in assets None 11. Prime Cost may be correctly termed as The sum of direct material and labour cost with all other costs excluded The total of all cost items which can be directly charged to product units. The total costs incurred in producing a finished unit The sum of the large cost there in a product cost None 12. Indirect material cost is a part of Prime Cost Factory Overhead Chargeable Expenses None of the above None 13. The Works Cost plus Administration Expenses is known as Total Cost Cost of Production Cost of Sales Factory Cost None 14. Cost of sales is: Total costs incurred in production, administration and marketing functions Works cost put administration overheads Aggregate of works, administration and marketing overheads Prime cost plus marketing overheads None 15. If Direct material = 12,000, Direct Labour = 8,000 and other Direct cost = 2,000 then what will be the prime cost? 12,000 14,000 20,000 22,000 None 16. Which of the following cost is used in the calculation of cost per unit? Total production cost Cost of goods available for sales Cost of goods manufactured Cost of goods sold None 17. Prime cost + Factory overhead cost is: Conversion cost Production cost Total cost None of given option None 18. Direct labour is an element of: Prime cost Conversion cost Total production cost All of the given options None 19. If the Direct Material = 12,000; Direct labour = 8,000 and other Direct Cost = 2,000 then what will be the prime cost? 12,000 14,000 20,000 22,000 None 20. Net sales = Sales less: Sales returns Sales discounts Sales returns & allowances Sales returns & allowances and sales discounts None 21. ………… precedents creates law for the whole country. Declaratory Pervasive Absolutely Authoritative Original None 22. Legislation can be: Supreme Subordinate Both (a) and (b) None None 23. Shruti includes ………… number of Vedas. 1 2 3 4 None 24. Hindu and Muhammedan law is ………… Personal Law Principle Law Historical Law Customary Law None 25. A declaratory precedent is one which is merely the application of already existing rule of law.” This was said by: Ulpine Cicero Salmond None None 26. ________ is the last stage of law making and therefore, the lawyer or the jurist is most important than legislature. Custom Social control Legislation None of these None 27. ________ refers to some pattern set for guiding the future conduct Doctrine of Stare Decisis Precedent Judicial Precedent Both (a) and (b) None 28. Law administrated by chancellor is known as Statued law Equity Equity courts All of these None 29. These customs which are non-obligatory and are observed due to the pressure of public opinion is known as Custom having sanction Positive Morality Both (a) and (b) None of these None 30. Customs that are enforced by state are known as Customs having sanction Local customs General customs All of these None 31. This is an essential condition for making a valid custom:- Compulsory observations Peaceable enjoyment Certainty All of these None 32. The term precedent means Observation Set pattern for guiding the future conduc Both (a) and (b) None of these None 33. ________ Article makes clear that the law declared by the government shall be binding on all the courts within the territory of India. Article 171 of the constitution Article 141 of the constitution Article 187 of the constitution All of these None 34. Which proceeds from the sovereign power in the state or which derives the power directly from the constitution. Supreme Legislation (b) Obiter Dicta (c) Judiciary (d) All of these Obiter Dicta Judiciary All of these None 35. Which of the following is not the branch of law Civil Law Administrative Law Commercial Law None of these None 36. Which of the following statement is not correct in context to the Supreme Court? It is bound by its own decisions It’s decisions are binding on all courts in India It is not bound by the decision of Federal Court None of the above None 37. Which of the following is NOT correct in context to the High Court in India? It is the court of Co-ordinate Jurisdiction Privity council decisions are not Its decisions are binding on all tribunals within its jurisdiction All of the above None 38. A Bench of three Judges in a High Court is called as Smallest Bench Division Bench Triangular Bench Full Bench None 39. The Smallest Bench in a High Court consists of how many Judges? Five Two One None of the above None 40. A Bench of two judges in High Court is called as Smallest Bench Division Bench Full Bench None of the above None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! 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Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Which of the following is capital expenditure? Repairs of fixed asset Demolition cost Locker rent Annual subscription None 2. Advertising expenses for launching a new product of the company is ______ Revenue expenditure (b) Capital expenditure (c) Deferred revenue expenditure (d) Deferred capital expenditure Capital expenditure Deferred revenue expenditure Deferred capital expenditure None 3. Capital expenditures are shown in the Balance Sheet Profit & Loss A/c Trading A/c Manufacturing A/c None 4. Import duty of raw materials purchased is a Revenue Expenditure Capital Expenditure Deferred Revenue Expenditure None of the above None 5. Which of the following item is shown in the Receipt and Payment account? Only items of capital nature Only items of revenue nature which are received during the period of accounts Only items of revenue nature pertaining to the period of accounts Both the items of capital and revenue nature which are received during the period of accounts None 6. Capital expenditures are recorded in the Balance sheet Profit and loss A/c Trading A/c Manufacturing A/c None 7. Life membership fees received by a club Revenue expenditure Capital expenditure Deferred revenue expenditure Capital receipt None 8. Received from Soloman & co., an invoice for ₹ 1500 for repairs to factory walls Revenue expenditure Capital expenditure Deferred revenue expenditure None of these None 9. A bad debt recovered during the year will be Capital expenditure Revenue expenditure Capital Receipt Revenue Receipt None 10. The convention that states that the accounting practice should be followed consistently over the years Consistency Conservation Materiality Disclosure None 11. Any point beyond PPF is: Attainable Unattainable Attainable with increase in production facilities None None 12. A typical demand curve will normally have a: Positive slope Horizontal slope Vertical slope Negative slope None 13. An imposition of excise duty would effect the demand of a product due to ________ Income effect Substitution effect Both None None 14. Tea and Coffee are: Complementary goods Alternative goods Unrelated goods None of these None 15. Complementary goods are those which are ________. Consumed Simultaneously Close Competitive Both Unrelated None 16. Goods which are perfect substitute of each other will have elasticity of substitution ________. Unity Less than 1 More than 1 Infinite None 17. Who defined economics as “Science which deals with wealth”? J. B. Say A. C. Pigou Alfred Marshall Robbins None 18. Economics cannot be given the status of science because: Of non-uniformity of opinion and approach of economist Economic behaviour of human being is unpredictable Measuring rod of money is unstable All the three None 19. The central problem of how to produce is resolved by: Demand and supply of factor inputs Demand and supply of goods Relative prices and availability of factors of production Government intervention None 20. Equilibrium relates to which of these: Market condition which oscillate Market state of failing price Market condition of rising price Market conditions which once achieved tends to persist None 21. At the time of dishonour of an endorsed bill which one out of these accounts would be debited by the drawer? Bill Receivable Account Drawee's Account Bank Account Bill Dishonoured Account None 22. If a bill drawn on 3 rd July, 2022 for 40 days payment must be made on: 16 th August, 2022 15 th August, 2022 14 th August, 2022 12 th August, 2022 None 23. When no separate set of books of accounts are maintained but each co-venturer keeps record of ail transactions then goods are purchased by a co-venturer for the joint venture, the account to be debited: Joint venture account Venture's capital account Purchase account None of the above None 24. A, for joint venture with B, purchased goods costing ₹ 2,20,000. B sold 80% of the goods for ₹ 2,80,000 Balance of goods were taken over by B at cost plus 10%. Find out profit on joint venture. ₹ 60,000 ₹ 1,21,600 ₹ 1,08,400 ₹ 99,600 None 25. Which of these accounts is not opened in the books of consignor? Consignment Account Commission Account Goods send on Consignment Account Consignee's Personal Account None 26. At the time of dishonour of an endorsed bill which one out of these accounts would be debited by the drawer? Bill Receivable Account Drawee's Account Bank Account Bill Dishonoured Account None 27. If a bill drawn on 3 rd July, 2022 for 40 days payment must be made on: 16th August, 2022 15th August, 2022 14th August, 2022 12th August, 2022 None 28. When no separate set of books of accounts are maintained but each co-venturer keeps record of ail transactions then goods are purchased by a co-venturer for the joint venture, the account to be debited: Joint venture account Venture's capital account Purchase account None of the above None 29. A, for joint venture with B, purchased goods costing ₹ 2,20,000. B sold 80% of the goods for ₹ 2,80,000 Balance of goods were taken over by B at cost plus 10%. Find out profit on joint venture. ₹ 60,000 ₹ 1,21,600 ₹ 1,08,400 ₹ 99,600 None 30. Which of these accounts is not opened in the books of consignor? Consignment Account Commission Account Goods send on Consignment Account Consignee's Personal Account None 31. Which of the following concepts, if violated, would make comparison of financial statements over a period of time difficult? Cost concept Consistency concept Accounting period concept Accrual concept None 32. Conservatism concept does not require Making provision for doubtful debts Valuing stock at lower of cost or net realisable value Creating provision for discount on creditors Making provision for an unfavourable legal suit None 33. As per duality concept or accounting equivalence concept, which of the following is correct? All increase in liabilities and increase in assets represent sources of funds All decrease in liabilities and decrease in assets represent sources of funds (c) All increase in liabilities and decrease in assets represent sources of funds All increase in liabilities and decrease in assets represent sources of funds All increase in liabilities and increase in assets represent uses of funds None 34. This is more of a convention than a concept, it proposes that while accounting for various transactions, only those which may have material effect on profitability or financial status of the business should have special consideration for reporting, this concept is known as Concept of Consistency Concept of Conservation Concept of Materiality Concept of Disclosure None 35. Recording of Fixed Assets at cost ensures adherence of Conservatism Concept Going Concern Concept Cost Concept Both (a) and (b) above None 36. Money spent ₹ 20,000 as traveling expenses of the directors on trips abroad for purchase of Capital assets is: Capital expenditure Revenue expenditures Deferred revenue expenditures None of the above. None 37. Which of the following is not a revenue expenditure? Petrol consumed in motor vehicles Cost of saleable goods Bad debts Premium given on lease None 38. Capital expenses are show in Balance sheet Profit and loss A/c Trading A/c None of these None 39. Life membership fees received by a club is a Revenue Expenditure Capital Expenditure Deferred Revenue Expenditure Capital Receipt None 40. Import duty of raw material purchased is a Revenge Expenditure Capital Expenditure Deferred Revenue Expenditure None of the above None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Your quiz time is about to finish. Few seconds left. Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! To begin the quiz, please grant this quiz access to your camera.Time is Up!Time is Up!
Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Any revenue expense for which a separate fund is available will be: Capitalised and shown in the balance sheet Debited to income and expenditure account Debited to the separate fund Debited to profit and loss account. None 2. Subscription received during the year ₹ 50,000; subscription outstanding at the beginning of the year ₹ 6,000. Income from subscription was shown as ₹ 52,000. What amount will be shown as subscription outstanding at the end of the year in the Balance Sheet? ₹ 8,000 ₹ 6,000 ₹ 2,000 ₹ 4,000 None 3. Which one of the following is not prepared by non-profit organizations? Profit and Loss Account Income and Expenditure Account Receipts and Payments Account Balance Sheet None 4. The information for the preparation of receipts and payments account is taken from: Income and Expenditure Account Cash Book Cash Book and Balance Sheet General Ledger None 5. The Receipt and Payment Account shows advance subscriptions ₹ 6,000 and current year's subscription ₹ 44,500. If outstanding subscription of ₹ 4,500 then how much amount of subscription to be credited in the Income and Expenditure Account? ₹ 50,000 ₹ 49,000 ₹ 44,500 ₹ 45,000 None 6. Which of the following items are shown in the Receipt and Payment Account? Only items of capital nature Only items of revenue nature which are received during the period of accounts Both the items of capital and revenue nature which are received during the period of accounts. None 7. The manager is entitled to a commission of 5% on profits after deducting this commission. If the profits before charging such commission and interest on capital of ₹ 5,000 are ₹ 89,000, then manager's commission will be: ₹ 4,200 ₹ 4,450 ₹ 4,000 ₹ 4,476 None 8. Which of the following statement is true? Fixed assets - Current liabilities = Current assets Discount on bills is a loss for the drawer and gain for the drawee Profit and loss account covers a period and not the position of a particular day The surplus of a non-profit organisation is distributed among the members None 9. Which one of the following statements is true? Comparatively is one of the accounting concepts Accounting is concerned with both monetary and non-monetary transactions Joint venture follows the going concern concept Financial statements are part of Accounting None 10. The manufacturing account is prepared: To ascertain gross profit To ascertain the cost of goods manufactured To ascertain profit or loss on the goods manufactured To ascertain the cost of sales None 11. Economics is: Normative science Positive science Human science Political science None 12. Scarcity definition was given by: L. Robbins Alfred Marshall J. M. Keynes Adam Smith None 13. Del Credere Commission in consignment business is generally payable: Only on credit sales On cash sales On total sales. On recovery of bad debt None 14. For closing stock held by consignee which account must be debited to: Consignment Stock Account Sales Account Consignee Account Consignment Account None 15. X sends out goods to Y, costing ₹ 1,50,000. Goods are to be sold at cost + 25% of sales price. The consignor asked consignee to pay an advance for an amount equivalent to 60% of sales value. The amount of advance will be: ₹ 1,20,000 ₹ 1,00,000 ₹ 1,50,000 ₹ 1,12,500 None 16. No adjustment is required while ascertaining debtors balance at the end of a period against: Bad debt Trade discount Cash discount Return inward None 17. Provision for discount on debtors is created only on: Bad and doubtful debtors Insolvent debtors Total debtors after providing provision for bad debts Total debtors None 18. A bad debt recovered during the year is a: Revenue receipt Capital expenditure Reduction of Sundry Debtors Capital Receipt None 19. A machine is purchased on 1st July, 2022 for ₹ 14,00,000. Expenses incurred on its carriage and installation ₹ 6,00,000. Calculate the amount of depreciation @ 20%, per annum according to Straight Line Method for the first year ending on 31st March, 2023. ₹ 4,00,000 ₹ 3,00,000 ₹ 2,00,000 ₹ 1,00,000 None 20. Which of the following error is an error of principle? ₹ 5,000 received from Shyam credited to Ram's A/c ₹ 5,000 paid to employees on installation of new plant debited to Wages A/c ₹ 500 paid for wages debited to salary A/c ₹ 500 being purchase of raw material debited to purchase A/c ₹ 500 None 21. Goods purchased from Mr. A. but wrongly entered in the sales returns book. After rectification of error the result will: Be increased in gross profit Be decreased in gross profit Be no effect on gross profit Either (a) or (b) None 22. Find the correct statement: Not recording a business transaction is an error of principle Charging a revenue item to capital is a compensating error Writing a debit item on the credit side and vice versa is an error of Commission Bills received from Sohan passed through Bills Payable Book is an error of omission None 23. Consumer's surplus was propounded by: Alfred Marshall Pigou Malthus Robbins None 24. Law of demand explains: Quantitative relationship (b) Qualitative relationship (c) Functional relationship (d) None of the above Qualitative relationship Functional relationship None of the above None 25. Exception to the law of supply is: Agricultural product Scarce goods Labour marke All of the above None 26. Micro economics is also known as: Product theory . Price theory Process theory Projection theory None 27. Demand can be defined as: Desire to buy Willingness to buy Ability to pay Desire and willingness to buy backed by adequate purchasing power None 28. In case of normal goods the income effect is: Zero Positive Negative None of the above None 29. The formula E = PXQY=QYPX represents: Cross-elasticity of demand for Y Price-elasticity of demand for X Cross-elasticity of demand for X None of the above None 30. When the utility is increasing at an increasing rate, marginal utility is: Constant Negative Increasing Decreasing None 31. Consumer’s surplus is also known as: Elasticity of demand Differential surplus Buyer’s surplus Indifference surplus None 32. The law 'supply creates its own demand' was put forth by: Marshall Pigou Robbins J. B. Say None 33. Effective demand is: Demand exceeds supply Aggregate demand is equal to aggregate supply Elasticity of demand for a product is high Difference between actual and forecast demand None 34. Cross elasticity of demand relates: Price of one commodity and demand for another commodity Substitutes and complementary goods Market and supply Production and cost None 35. Central Problem of all Economies are: What to produce? How to produce? For whom to produce? All of the above None 36. Exceptions to the law of demand are: Conspicuous goods Giffen goods Shares’ speculative market All if the above None 37. The concept of consumer’s surplus was propounded by: Malthus Alfred Marshall Robbins Pigou None 38. Law of Demand Explains: Qualitative relationship Quantitative relationship Functional Relationship None of the above None 39. Utility is: Cardinal Ordinal Neutral Both (a) and (b) None 40. We cannot produce: (a) Any thing (b) Every thing (c) Useless things (d) Good things Any thing Every thing Useless things Good things None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! 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Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Which of the following items are not included in Cost Sheet? Bank Interest Cash Discount Donations All of the above None 2. Prime cost may be correctly termed as: The sum of direct material and labour cost with all other cost excluded The total of all cost items which can directly charge to product items. The total cost incurred in producing a finished unit The sum of the large costs in a product cost None 3. Sales, Opening Stock and Closing Stock are ₹ 2,40,000, ₹ 36,000 and ₹ 45,000 respectively. If the rate of G.P on cost of goods sold is 25%, then the amount of purchases will be: ₹ 1,83,000 ₹ 1,92,000 ₹ 2,01,000 ₹ 1,89,000 None 4. From the following information, find out purchases of raw material when raw material consumed is ₹ 26,500; closing stock ₹ 4,500 and opening stock ₹ 3,000. ₹ 29,500 ₹ 31,000 ₹ 28,000 ₹ 34,000 None 5. Direct Material and Direct Wages are ₹ 2,32,000 and ₹ 2,05,000 respectively. If the ratio of direct wages and factory overhead is 5:3 then Factory Cost will be: ₹ 4,37,000 ₹ 5,60,000 ₹ 7,78,667 ₹ 5,46,667 None 6. Prime cost-plus factory overheads is known as Marginal Cost Conversion Cost Commercial Cost Factory Cost None 7. Which costing method is used by Spare-parts manufacturing industry? Process Costing Job Costing Batch Costing Absorption Costing None 8. Which of the following is not a relevant cost? Replacement Cost Sunk Cost Marginal Cos Opportunity Cost None 9. Cost of rectification of defective articles are treated as: Production Overhead Distribution Overhead Selling Overhead Administrative Overhead None 10. Which of the following would be classified as indirect labour? Assembly workers in a company manufacturing unit An audit clerk in a auditors' firm Stores assistant in a factory store Masons in a construction company None 11. Cost of free samples and gifts are included in: Prime Cost Factory Overhead Office and Administrative Overheads Selling & Distribution Overheads None 12. Which one is False? Fixed costs per unit increase with increase in output Out of pocket costs involve payment to outsiders Rent on own building is imputed cost Tender is an estimation of selling price None 13. CAS-16 is related to: Cost Accounting Standard on Depreciation and Amortisation Cost Accounting Standard on Joint Costs Cost Accounting Standard on Quality Control Cost Accounting Standard on Overburden Removal Cost None 14. Wages for abnormal idle time are charged to: Production Cost Job Cost Abnormal Overhead Costing Profit and Loss Account None 15. Which statement is not True? Replacement cost is the current market cost of replacing an asset or a material Cost accounts provide information for determination of profit or loss Bad debts, legal charges for recovery of debts are considered as selling & distribution expenses Imputed costs are hypothetical cost None 16. Which Article in the Constitution of India, 1950 has provisions for introduction of a bill in the Parliament of India? Article 119 Article 141 Article 107 Article 243 None 17. Money Bill is introduced in which House of the Parliament? Council of People - Lok Sabha Council of States - Rajya Sabha Both the Houses None of the Houses None 18. The essence of Sub-Ordinate legislation can be found in which Article of the Constitution of India, 1950? Article 12 Article 32 Article 13 Article 14 None 19. Which is the highest civil court in a district? Sessions Court Supreme Court of India District Court High Court None 20. When was the Supreme Court of India established? 26 th November 1949 26 th January 1950 28 th January 1950 1 st October 1937 None 21. What kind of structure does the Indian Constitution have? Unitary Federal Autocracy Totalitarian None 22. Which is the lowest court to approach for criminal matters? Munsif Court Judicial Magistrate Sessions Court District Court None 23. Fundamental Rights are mentioned under which part of the Constitution of India? Part-II Part-Ill Part-IX Part-XII None 24. What is a Private Bill? A bill introduced by a member other than a Minister Bill introduced by a private citizen Bill introduced by a Private company A bill relating affairs which are private to individual None 25. Secondary/Sub-ordinate legislation cannot go beyond: The ambit of the Act The ambit of the Act or the Constitution of India The Constitution of India Directive Principles of State Policy None 26. The determination of expenses for an accounting period is based on the concept of Consistency concept Periodicity concept Timeliness concept Industry practice None 27. Decrease in the amount of creditors results in Increase in assets Increase in cash Decrease in cash No change in assets None 28. Which of the following is an accounting equation? Capital = Assets + Liabilities Capital = Assets - Liabilities Assets = Liabilities - Capital Liabilities = Assets + Capital None 29. Prepaid insurance premium account is Tangible assets account Liability account Nominal account Representative personal account None 30. A determination of expenses for an accounting period is based on the principle of Objectivity Morality Matching Pricing None 31. Long term assets without any physical existence but, having a value are known as: Investments Current assets Intangible asset Fixed assets None 32. Provision for bad debt is made as per the Entity concept Conservatism Concept Cost Concept Going Concern Concept None 33. Income tax of the sole trader paid is Debited to P & L Account Debited to Trading Account None Debited to his Capital Account None 34. Narration are given of the end of Final accounts Trial balance each ledger account Each journal entry Each ledger accounts None 35. Which of the following is an example of Personal Account? Machinery Creditor Cash Rent None 36. Festival advance of ₹ 25,000 was given to employees at the time of Deepawali. It is a Revenue Expenditure Capital Expenditure Deferred Revenue Expenditure Not an Expense None 37. ₹ 8,000 is spent of traveling expenses of the partner to a foreign trip for purchased of an asset to be used for the business is a/an — Capital Expenditure Revenue Expenditure Revenue Loss Capital Loss None 38. The expenditure ₹ 2,000 incurred on a trial run of newly purchased machine is. Preliminary expenses Capital expenditure Revenue expenditure Deferred revenue expenditure None 39. ₹ 8,000 is spent on travelling expenses of the partner to a foreign trip for purchase of an asset to be used for the business is a/an: Capital Expenditure Revenue Expenditure Revenue Loss Capital Loss None 40. If repair cost is ₹ 20,000, white wash expenses are ₹ 10,000, cost of extension of building is ₹ 3,50,000 and cost of improvement in Electrical wiring system is T 19,000 the amount to be expensed i.e.: ₹ 3,99,000 ₹ 39,000 ₹ 30,000 ₹ 49,000 None 1 out of 4 Great job on taking the INCOC Test! Your quiz time is about to finish. Few seconds left. Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! 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Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Accounting and Costing Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Which one of the following documents is not required for bank reconciliation Bank column of cash book Bank pass book Bank statement Previous years balance sheet None 2. Copy Right A/c is a: Tangible Real Account Personal Account Intangible Real Account Nominal Account None 3. Expenses paid but not accrued means: Capital expenses Outstanding expenses. Prepaid expenses Cash None 4. Residual value of an asset is ascertained to know: Book value Market value Sale value Total depreciation None 5. House building advance of ₹ 20 lakhs paid to employees. It is a/an: Asset Revenue Expenditure Capital Expenditure Deferred Revenue Expenditure None 6. Arjun purchased goods of ₹ 25,000 for cash at 10% trade discount and 5% cash discount. Purchases account is to be debited by ₹ 22,500 ₹ 21,250 ₹ 25,000 ₹ 21,375 None 7. Closing stock appearing in the trial balance is shown in: Trading Account and Balance Sheet Balance Sheet only Trading Account only Nowhere None 8. Profit and loss account is prepared for a period of one year by following the concept of: consistency concept cost concept going concern concept periodicity concept None 9. Fixed Assets and Current Assets are categorized as per concept of: Separate entity Going Concern Consistency Time period None 10. Costs are classified into material costs, employee costs and expenses, it is known as: Functional classification Behavioural classification Element wise classification Classification according to controllability None 11. Which one is included in financial accounts but not in cost accounts? Royalty Dividend paid Excise duty Carriage and freight None 12. Which of the following term is excluded from the cost accounts? Income tax Interest on debenture Cash discount All of the above None 13. Prime cost may be correctly termed as The sum of direct material and labour cost with all other cost exclude The total of all cost items which can be directly charged to production units The total costs incurred in producing a finished unit The sum of the large costs there in a product cost None 14. Which of the following is a part of both Prime cost and Conversion cost? Direct Material Indirect Labour Direct Labour All of the above None 15. Indirect material cost is a part of Prime Cost Factory Overhead Chargeable Expenses None of the above None 16. Direct labour is an element of: Prime cost Conversion cost Total production cost All of the given options None 17. The cost of goods sold is equal to Total Purchases - Total Salese Opening Stock + Total Purchase Opening Stock - Total Purchases + Closing Stock + Direct Costs Opening Stock + Total Purchases - Closing Stock + Direct Costs None 18. Prime cost and factory cost are ₹ 6,10,000 and respectively. If the factory overhead is absorbed @ 60 percent of the direct wages then amount of direct wages would be ₹ 1,86,000 ₹ 31,000 ₹ 4,84,000 ₹ 1,00,000 None 19. Statement showing break up of costs is known as Cost sheet Tender Production account Statement of profit None 20. Prime cost may he correctly termed as the total of all cost items which can be directly charged to product units the sums of all direct materials and labour cost excluding all other cost. the total costs incurred in producing a finished unit. the sum of the large cost there in product cost None 21. Which one is included in financial accounts but not in cost accounts? Royalty Dividend paid Excise duty Carriage and freight None 22. Which of the following term is excluded from the cost accounts? Income tax Interest on debenture Cash discount All of the above None 23. Direct Wages ₹ 2,05,000 and Factory Cost ₹ 5,60,000. If the ratio of direct wages and factory overhead is 5:3 then Direct Material will be ₹ 2,32,000 ₹ 3,50,000 ₹ 3,41,667 ₹ 2,24,000 None 24. The works cost plus administration expenses represents Total cost Cost of production Cost of sales Factory cost None 25. Prime cost may be correctly termed as The sum of direct material and labour cost with all other cost exclude The total of all cost items which can be directly charged to production units The total costs incurred in producing a finished unit The sum of the large costs there in a product cost None 26. From the following information, find out purchases when raw material consumed is ₹ 26,500, closing stock ₹ 4,500 and opening stock ₹ 3,000: ₹ 26,500 ₹ 25,000 ₹ 28,000 ₹ 34,000 None 27. Prime cost plus factory overheads is known as Marginal Costing Conversion Cost Commercial Cost Factory Cost None 28. Cost of free samples and gifts are included in Prime Cost Factory Overhead Office and Administrative Overheads Selling & Distribution Overheads None 29. Which of the following is a part of both Prime cost and Conversion cost? Direct Material Indirect Labour Direct Labour All of the above None 30. Prime Cost plus Factory Overheads is known as Factory on Cost Conversion Cost Factory Cost Marginal Cost None 31. Prime Cost may be correctly termed as The sum of direct material and labour cost with all other costs excluded The total of all cost items which can be directly charged to product units The total costs incurred in producing a finished unit The sum of the large cost there in a product cost None 32. Indirect material cost is a part of Prime Cost Factory Overhead Chargeable Expenses None of the above None 33. The Works Cost plus Administration Expenses is known as Total Cost Cost of Production Cost of Sales Factory Cost None 34. Cost of sales is Total costs incurred in production, administration and marketing functions Works cost put administration overheads Aggregate of works, administration and marketing overheads Prime cost plus marketing overheads None 35. If Direct material = 12,000, Direct Labour = 8,000 and other Direct cost = 2,000 then what will be the prime cost? 12,000 14,000 20,000 22,000 None 36. Which of the following cost is used in the calculation of cost per unit? Total production cost Cost of goods available for sales Cost of goods manufactured Cost of goods sold None 37. Prime cost + Factory overhead cost is: Conversion cost Production cost Total cost None of given option None 38. Direct labour is an element of: Prime cost Conversion cost Total production cost All of the given options None 39. If the Direct Material = 12,000; Direct labour = 8,000 and other Direct Cost = 2,000 then what will be the prime cost? 12,000 14,000 20,000 22,000 None 40. Net sales = Sales less: Sales returns Sales discounts Sales returns & allowances Sales returns & allowances and sales discounts None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Your quiz time is about to finish. Few seconds left. Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! To begin the quiz, please grant this quiz access to your camera.Time is Up!Time is Up!
Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Basic Concept of Accounting Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Which of the following items are not included in Cost Sheet? Bank Interest Cash Discount Donations All of the above None 2. Prime cost may be correctly termed as: The sum of direct material and labour cost with all other cost excluded The total of all cost items which can directly charge to product items. The total cost incurred in producing a finished unit. The sum of the large costs in a product cost. None 3. Sales, Opening Stock and Closing Stock are ₹ 2,40,000, ₹ 36,000 and ₹ 45,000 respectively. If the rate of G.P on cost of goods sold is 25%, then the amount of purchases will be: ₹ 1,83,000 ₹ 1,92,000 ₹ 2,01,000 ₹ 1,89,000 None 4. From the following information, find out purchases of raw material when raw material consumed is ₹ 26,500; closing stock ₹ 4,500 and opening stock ₹ 3,000. ₹ 29,500 ₹ 31,000 ₹ 28,000 ₹ 34,000 None 5. Direct Material and Direct Wages are ₹ 2,32,000 and ₹ 2,05,000 respectively. If the ratio of direct wages and factory overhead is 5:3 then Factory Cost will be: ₹ 4,37,000 ₹ 5,60,000 ₹ 7,78,667 ₹ 5,46,667 None 6. Prime cost-plus factory overheads is known as- Marginal Cost Conversion Cost Commercial Cost Factory Cost None 7. Which costing method is used by Spare-parts manufacturing industry? Process Costing Job Costing Batch Costing Absorption Costing None 8. Which of the following is not a relevant cost? Replacement Cost Sunk Cost Marginal Cost Opportunity Cost None 9. Cost of rectification of defective articles are treated as: Production Overhead Distribution Overhead Selling Overhead. Administrative Overhead None 10. Which of the following would be classified as indirect labour? Assembly workers in a company manufacturing unit Stores assistant in a factory store. An audit clerk in a auditors' firm Masons in a construction company None 11. Cost of free samples and gifts are included in: Prime Cost Factory Overhead Office and Administrative Overheads Selling & Distribution Overheads None 12. Which one is False? Fixed costs per unit increase with increase in output Out of pocket costs involve payment to outsiders. Rent on own building is imputed cost Tender is an estimation of selling price None 13. CAS-16 is related to: Cost Accounting Standard on Depreciation and Amortisation Cost Accounting Standard on Joint Costs Cost Accounting Standard on Quality Control Cost Accounting Standard on Overburden Removal Cost None 14. Wages for abnormal idle time are charged to: Production Cost Job Cost. Abnormal Overhead Costing Profit and Loss Account None 15. Which statement is not True? Replacement cost is the current market cost of replacing an asset or a material Cost accounts provide information for determination of profit or loss Bad debts, legal charges for recovery of debts are considered as selling & distribution expenses Imputed costs are hypothetical cost None 16. Any revenue expense for which a separate fund is available will be: Capitalised and shown in the balance sheet Debited to income and expenditure account Debited to the separate fund Debited to profit and loss account None 17. Subscription received during the year ₹ 50,000; subscription outstanding at the beginning of the year ₹ 6,000. Income from subscription was shown as ₹ 52,000. What amount will be shown as subscription outstanding at the end of the year in the Balance Sheet? ₹ 8,000 ₹ 6,000 ₹ 2,000 ₹ 4,000 None 18. Which one of the following is not prepared by non-profit organizations? Profit and Loss Account Income and Expenditure Account Receipts and Payments Account Balance Sheet None 19. The information for the preparation of receipts and payments account is taken from: Income and Expenditure Account Cash Book Cash Book and Balance Sheet General Ledge None 20. The Receipt and Payment Account shows advance subscriptions ₹ 6,000 and current year's subscription ₹ 44,500. If outstanding subscription of ₹ 4,500 then how much amount of subscription to be credited in the Income and Expenditure Account? ₹ 50,000 ₹ 49,000 ₹ 44,500 ₹ 45,000 None 21. Which of the following items are shown in the Receipt and Payment Account? Only items of capital nature Only items of revenue nature which are received during the period of accounts Only items of revenue nature pertaining to the period of accounts. Both the items of capital and revenue nature which are received during the period of accounts None 22. The manager is entitled to a commission of 5% on profits after deducting this commission. If the profits before charging such commission and interest on capital of ₹ 5,000 are ₹ 89,000, then manager's commission will be: ₹ 4,200 ₹ 4,450 ₹ 4,000 ₹ 4,476 None 23. Which of the following statement is true? Fixed assets - Current liabilities = Current assets Discount on bills is a loss for the drawer and gain for the drawee Profit and loss account covers a period and not the position of a particular day The surplus of a non-profit organisation is distributed among the members None 24. Which one of the following statements is true? Comparatively is one of the accounting concepts Accounting is concerned with both monetary and non-monetary transactions. Joint venture follows the going concern concept Financial statements are part of Accounting None 25. The manufacturing account is prepared: To ascertain gross profit To ascertain the cost of goods manufactured. To ascertain profit or loss on the goods manufactured. To ascertain the cost of sales None 26. At the time of dishonour of an endorsed bill which one out of these accounts would be debited by the drawer? Bill Receivable Account Drawee's Account Bank Account Bill Dishonoured Account None 27. If a bill drawn on 3rd July, 2022 for 40 days payment must be made on: 16th August, 2022 15th August, 2022 14th August, 2022 12th August, 2022 None 28. When no separate set of books of accounts are maintained but each co-venturer keeps record of ail transactions then goods are purchased by a co-venturer for the joint venture, the account to be debited: Joint venture account Venture's capital account Purchase account None of the above None 29. A, for joint venture with B, purchased goods costing ₹ 2,20,000. B sold 80% of the goods for ₹ 2,80,000 Balance of goods were taken over by B at cost plus 10%. Find out profit on joint venture. ₹ 60,000 1,21,600 ₹ 1,08,400 ₹ 99,600 None 30. Which of these accounts is not opened in the books of consignor? Consignment Account Commission Account Goods send on Consignment Account Consignee's Personal Account None 31. Del Credere Commission in consignment business is generally payable: Only on credit sales On cash sales On total sales On recovery of bad debt None 32. For closing stock held by consignee which account must be debited to: Consignment Stock Account Sales Account Consignee Account Consignment Account None 33. X sends out goods to Y, costing ₹ 1,50,000. Goods are to be sold at cost + 25% of sales price. The consignor asked consignee to pay an advance for an amount equivalent to 60% of sales value. The amount of advance will be: ₹ 1,20,000 ₹ 1,00,000 ₹ 1,50,000 ₹ 1,12,500 None 34. No adjustment is required while ascertaining debtors balance at the end of a period against: Bad debt Trade discount Cash discount Return inward None 35. Provision for discount on debtors is created only on: Bad and doubtful debtors Insolvent debtors Total debtors after providing provision for bad debts Total debtors None 36. A bad debt recovered during the year is a: Revenue receipt Capital expenditure Reduction of Sundry Debtors Capital Receipt None 37. A machine is purchased on 1st July, 2022 for ₹ 14,00,000. Expenses incurred on its carriage and installation ₹ 6,00,000. Calculate the amount of depreciation @ 20%, per annum according to Straight Line Method for the first year ending on 31st March, 2023. ₹ 4,00,000 ₹ 3,00,000 ₹ 2,00,000 ₹ 1,00,000 None 38. Which of the following error is an error of principle? ₹ 5,000 received from Shyam credited to Ram's A/c ₹ 5,000 paid to employees on installation of new plant debited to Wages A/c ₹ 500 paid for wages debited to salary A/c ₹ 500 being purchase of raw material debited to purchase A/c ₹ 500 None 39. Goods purchased from Mr. A. but wrongly entered in the sales returns book. After rectification of error the result will: Be increased in gross profit Be decreased in gross profit Be no effect on gross profit Either (a) or (b) None 40. Find the correct statement: Not recording a business transaction is an error of principle Charging a revenue item to capital is a compensating error Writing a debit item on the credit side and vice versa is an error of Commission Bills received from Sohan passed through Bills Payable Book is an error of omission None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! To begin the quiz, please grant this quiz access to your camera.Time is Up!Time is Up!
Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Basic Concept of Accounting Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. The determination of expenses for an accounting period is based on the concept of Consistency concept Periodicity concept Timeliness concept Industry practice None 2. Decrease in the amount of creditors results in Increase in assets Increase in cash Decrease in cash No change in assets None 3. Which of the following is an accounting equation? Capital = Assets + Liabilities Capital = Assets - Liabilities Assets = Liabilities - Capital Liabilities = Assets + Capital None 4. Prepaid insurance premium account is Tangible assets account Liability account Nominal account Representative personal account None 5. A determination of expenses for an accounting period is based on the principle of Objectivity Morality Matching Pricing None 6. Long term assets without any physical existence but, having a value are known as: Investments Current assets Intangible asset Fixed assets None 7. Provision for bad debt is made as per the Entity concept Conservatism Concept Cost Concept Going Concern Concept None 8. Income tax of the sole trader paid is Debited to P & L Account Debited to Trading Account None Debited to his Capital Account None 9. Narration are given of the end of Final accounts Trial balance each ledger account Each journal entry Each ledger accounts None 10. Which of the following is an example of Personal Account? Machinery Creditor Cash Rent None 11. Festival advance of ₹ 25,000 was given to employees at the time of Deepawali. It is a Revenue Expenditure Capital Expenditure Deferred Revenue Expenditure Not an Expense None 12. 8,000 is spent of traveling expenses of the partner to a foreign trip for purchased of an asset to be used for the business is a/an — Capital Expenditure Revenue Expenditure Revenue Loss Capital Loss None 13. The expenditure ₹ 2,000 incurred on a trial run of newly purchased machine is. Preliminary expenses Capital expenditure Revenue expenditure Deferred revenue expenditure None 14. ₹ 8,000 is spent on travelling expenses of the partner to a foreign trip for purchase of an asset to be used for the business is a/an: Capital Expenditure Revenue Expenditure Revenue Loss Capital Loss None 15. If repair cost is ₹ 20,000, white wash expenses are ₹ 10,000, cost of extension of building is ₹ 3,50,000 and cost of improvement in Electrical wiring system is T 19,000 the amount to be expensed i.e.: ₹ 3,99,000 ₹ 39,000 ₹ 30,000 ₹ 49,000 None 16. Money spent ₹ 20,000 as traveling expenses of the directors on trips abroad for purchase of Capital assets is: Capital expenditure Revenue expenditures Deferred revenue expenditures None of the above None 17. Which of the following is not a revenue expenditure? Petrol consumed in motor vehicles Cost of saleable goods Bad debts Premium given on lease None 18. Capital expenses are show in Balance sheet Profit and loss A/c Trading A/c None of these None 19. Life membership fees received by a club is a Revenue Expenditure Capital Expenditure Deferred Revenue Expenditure Capital Receipt None 20. Import duty of raw material purchased is a Revenge Expenditure Capital Expenditure Deferred Revenue Expenditure None of the above None 21. A bad debt recovered during the year will be Capital Expenditure Revenue Expenditure Capital Receipt Revenue Receipt None 22. House Building Advance of ₹ 2.00 lakh paid to employees. It is a Asset Revenue Expenditure Capital Expenditure Deferred Revenue Expenditure None 23. An expenditure is in capital nature when the receiver of the amount is going to treat it for the purchase of fixed assets it increase the quantity of fixed assets it is paid as interests on loans for the business it maintains a fixed assets None 24. ₹ 5,000 incurred for up gradation of computer by installation of 128 MB Ram is Revenue expenditure Deferred revenue expenditure Capital expenditure None of the above None 25. Cost of goods purchased for resale is an example of Revenue expenditure Capital expenditure Deferred revenue expenditure None of the above None 26. Insurance claim received on account of machinery damaged completely by fire is Capital receipt Revenue receipt Capital expenditure Revenue expenditure None 27. An expenditure is capital in nature when , The receiver of the amount is going to treat it for the purchase of fixed assets It increases the quantity of fixed assets It is paid as interest on loans for the business It maintains of fixed asset None 28. Which one is not considered as capital expenditure? Depreciation Architect’s fees Demolition cost Legal cost for buying property None 29. Legal charges paid to defend a suit on firm’s factory site is Capital expenditure Revenue expenditure Deferred revenue expenditure Prepaid expenditure None 30. Any revenue expense for which a separate fund is available will be capitalised and shown in the balance sheet debited to income and expenditure account debited to the separate fund None of the above None 31. Which of the following is capital expenditure? Repairs of fixed asset Demolition cost Locker rent Annual subscription None 32. Advertising expenses for launching a new product of the company is ______ . Revenue expenditure Capital expenditure Deferred revenue expenditure Deferred capital expenditure None 33. Capital expenditures are shown in the Balance Sheet Profit & Loss A/c Trading A/c Manufacturing A/c None 34. Import duty of raw materials purchased is a Revenue Expenditure (b) (c) (d) Capital Expenditure Deferred Revenue Expenditure None of the above None 35. Which of the following item is shown in the Receipt and Payment account? Only items of capital nature Only items of revenue nature which are received during the period of accounts Only items of revenue nature pertaining to the period of accounts Both the items of capital and revenue nature which are received None 36. Capital expenditures are recorded in the Balance sheet Profit and loss A/c Trading A/c Manufacturing A/c None 37. Life membership fees received by a club Revenue expenditure Capital expenditure Deferred revenue expenditure Capital receipt None 38. Received from Soloman & co., an invoice for ₹ 1500 for repairs to factory walls Revenue expenditure (b) (c) (d) Capital expenditure Deferred revenue expenditure None of these None 39. A bad debt recovered during the year will be Capital expenditure Revenue expenditure Capital Receipt Revenue Receipt None 40. The convention that states that the accounting practice should be followed consistently over the years Consistency Conservation Materiality Disclosure None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Your quiz time is about to finish. Few seconds left. Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! 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Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Basic Concept of Accounting Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Which of the following concepts, if violated, would make comparison of financial statements over a period of time difficult? Cost concept Consistency concept Accounting period concept Accrual concept None 2. Conservatism concept does not require Making provision for doubtful debts Valuing stock at lower of cost or net realisable value Creating provision for discount on creditors Making provision for an unfavourable legal suit None 3. As per duality concept or accounting equivalence concept, which of the following is correct? All increase in liabilities and increase in assets represent sources of funds All decrease in liabilities and decrease in assets represent sources of funds All increase in liabilities and decrease in assets represent sources of funds All increase in liabilities and increase in assets represent uses of funds None 4. This is more of a convention than a concept, it proposes that while accounting for various transactions, only those which may have material effect on profitability or financial status of the business should have special consideration for reporting, this concept is known as Concept of Consistency Concept of Conservation Concept of Materiality Concept of Disclosure None 5. Recording of Fixed Assets at cost ensures adherence of Conservatism Concept Going Concern Concept Cost Concept Both (a) and (b) above None 6. Human resources will not appear in the balance sheet according to Accrual Going concern Money measurement concept None None 7. The ______ concept means that similar items in a set of accounts should be given similar accounting treatment and it should be applied from one period to another. Going Concern Prudence Consistency Materiality None 8. ‘A Limited’ purchased goods of ₹ 10,00,000, and sold 90% of goods and remaining goods market value is ₹ 90,000, and closing stock is 10%, but he recorded ₹ 90,000 and not ₹ 1,00,000. Which concept does he follows: Materiality concept Cost concept Entity concept Conservatism concept None 9. Omission of Paise and showing the round figures in financial statements is based on: Conservatism Concept Consistency Concept Materiality Concept Realization Concept None 10. Assets are held in the business for the purpose of: Re-sale Conversion into cash Earning reverse None of the above None 11. It is essential to standardize the accounting principles and policies in order to insure: Transparency Consistency Comparability All of the above None 12. In the financial, statement, contingent liability is: Recognized Not Recognized Adjusted None of the above None 13. Rohan purchased goods for ₹ 25,00,000 and sold 4/5lh of the goods amounting ₹ 18,00,000 and met expenses amounting ₹ 2,50,000 during the year, 2013. He counted net profit as ₹ 3,50,000 which accounting concept was followed by him? Entity Periodicity Matching Conservation None 14. The determination of expenses for an accounting period is based on the principle of: Objectivity Materiality Matching Periodicity None 15. The concepts of Conservation in balance sheet results in: Increase in Cash Decrease in Cash Decrease in assets No change in assets None 16. If the going concern concept is no longer valid, which of the following is true? All prepaid assets would be completely written-off immediately Potal contributed capital and retained earnings would remain unchanged. Intangible assets would continue to be carried at net amortized historical cost. Land held as an investment would be valued at its realizable value. None 17. Under which of the following concepts are shareholders created as creditors for the amount they paid on the shares they subscribed to ? Cost concept Duality concept Business entity concept Since the shareholders own the business, they are not treated as creditors None 18. Which of the following is not a contingent liability ? Claims against the company not acknowledged as debts Debts included on debtors which are doubtful in nature Uncalled liability on partly paid shares Arrears of cumulative fixed dividends None 19. The concept of conservatism will have the effect off Overstatement of Assets Understatement of Assets Overstatement of Liabilities Understatement of Liabilities None 20. Recording of Fixed Assets at cost ensure adherence of: Conservatism concept Going concern concept Cost concept Both (a) and (b) above None 21. Accounting is a / an ______ . Science Art Subject matter of sociology Subject matter philosophy None 22. Choose the correct answer from the given four alternatives: (iv) Accounting does not record non-financial transactions because of ______ . entity concept accrual concept measurement concept going concept None 23. The determination of expenses for an accounting period is based on the concept of Objectivity Materiality Matching Periodicity None 24. Decrease in the amount of creditors results in increase in cash decrease in cash increase in assets no change in assets None 25. Accounting does not record non-financial transactions because of Entity Concept Accrual Concept Cost Concept Money Measurement Concept None 26. Income tax of the sole trader paid is shown Debited to P & L Account Debited to Trading Account Debited to his Capital Account None of the above None 27. Which one of the following character is not related to Financial Accounting? Evaluates the financial strength of the whole business Based on monetary transactions of the enterprise. Reports are always subject to statutory audit. Reports are as per requirement of management None 28. Which one of the following equation is correct? Owner’s Equity = Liability + Asset Owner’s Equity = Asset - Liability Liability = Owner’s Equity + Asset Asset = Owner’s Equity – Liability None 29. Fixed Assets and Current Assets are categorized as per concept of Separate Entity Going Concern Consistency Time period None 30. Accounting does not record non-financial transactions because of Entity concept Accrual concept Cost concept Money measurement concept None 31. The valuation procedure for stock is cost or net re. lisable value, whichever is lower. The procedure follows as per Historical Cost Concept Going Concern Concept Money Measurement Concept Conservatism Concept None 32. When incomes recognised on cash basis and expenditure recognised on accrual basis, the system termed as Accrual basis of accounting Cash basis of accounting Mercantile basis of accounting Hybrid basis of accounting None 33. Profit and loss account is prepared for a period of one year by following the concept of Consistency Concept Cost Concept Going Concern Concept Periodicity Concept None 34. ______ is not objective of accounting. Gives accurate information Keeps records in systematic manner (c) Analyses recorded data Ascertain financial position of business None 35. Accounting cycle ends with preparation of ______ . The journal/ledger The trial balance The financial statement The closing entries record None 36. Provision for bad debt is made as per the Entity Concept Conservatism Concept Cost Concept Going Concern Concept None 37. Which financial statement represents the accounting equation as- Assets = Liabilities + Owner’s equity? Income Statement Statement of Cash Flows Balance Sheet Either (a) or (b) None 38. Trade discount is allowed at the time of sale of goods Is recorded in sales book. Is recorded in cash book. Is not recorded in books of accounts Is recorded in journal. None 39. A debit note issued to a creditor for goods returned is to be recorded in the Purchase return book Journal proper Purchase book Bill receivable book None 40. The determination of expenses for an accounting period is based on the concept of Objectivity Materiality Matching Periodicity None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Your quiz time is about to finish. Few seconds left. 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