CUET Questions

In the case of a re-constitution of a partnership firm, if the value of decrease in investment exceeds the Investment Fluctuation Fund, the :-

The capital of the firm is $\text{Rs. }1,00,000$ and normal rate of return is $8\%$. If the average profits for last 5 years are $\text{Rs. }12,000$ then find goodwill of the firm based on 3 years' purchase of super profits.

Which among the following is Not the method of valuation of goodwill:

Romesh took over stock at $\text{Rs. }8,100$, which is $10\%$ less than its book value. The book value of the stock was _________

Issue of $8\%$ debentures is shown under which sub-head in the balance sheet of a company:

Which among the following debentures are the debentures which can be transferred by way of delivery and the company does not keep any record of the debentures. Interest on the debentures is paid to a person who produces this interest coupon attached to such debentures?

Unrecorded assets when taken over by a partner are shown in :

Identify which of the following will be shown in Notes to Accounts under SHARE CAPITAL head :-

Amount of discount allowed on the reissue of forfeited shares cannot exceed the amount that has:-

Partner's current accounts are transferred to respective Partners' _____________________.

Match List-I with List-IIList-IList-II(A) For the amount of calls received in advance(I) Calls in Advance A/c Dr.To Particular Call A/c(B) Interest on Calls in Advance is due(II) Sundry Shareholder's A/c Dr.To Bank A/c(C) The amount of 'Calls in Advance' is adjusted(III) Bank A/c Dr.To Calls in Advance A/c(D) Interest on Calls in Advance, For Interest Paid(IV) Interest on Calls in Advance A/c Dr.To Sundry Shareholder's A/cChoose the correct answer from the options given below:

When debentures are issued at par and are redeemable at a premium, the loss on such issue is debited to :

Naveen and Ghanshyam are partners in a firm sharing profits in the ratio of $3:2$. They admitted Daniel as a new partner for $\frac{1}{4}$ share. The new profit sharing ratio between Naveen and Ghanshyam will be $2:1$. Calculate the New profit sharing ratio of Naveen, Ghanshyam and Daniel :

Interest on calls in arrears is charged according to "Table F" at :

Which of the following will lead to the Reconstitution of a partnership Firm?(A) Admission of a new partner(B) Change in the profit sharing ratio among the existing partners(C) Retirement of an existing partner(D) Death of a partnerChoose the correct answer from the options given below:

Naveen, Suresh and Tarun are partners, sharing profits and losses in the ratio of $5:3:2$. Suresh retires from the firm and his share was acquired by Naveen and Tarun in the ratio of $2:1$. Calculate the new share of profit :

Match List-I with List-IIList–IList–II(A) Existing Goodwill(I) no entry passed.(B) Goodwill premium(II) Calculated on the basis of capital of partners.(C) Goodwill paid privately(III) Written off.(D) Hidden goodwill(IV) credited to sacrificing partner.Choose the correct answer from the options given below:

The profits of the firm for the five years are as follows: YearProfit (Rs.)2012-1320,0002013-1424,0002014-1530,0002015-1625,0002016-1718,000Calculate the value of goodwill on the basis of three years' purchase of weighted average profits based on weights of the last five years as 1, 2, 3, 4 and 5 respectively.

Match List-I with List-IIList–IList–II(A) Cash Inflows & Operating Activities(I) Proceeds from issue of preference or equity shares(B) Cash Inflows & Financing Activities(II) Receipt from royalties, fees, commission and other revenues(C) Cash Inflows & Investing Activities(III) Payment of Taxes(D) Cash Outflows & Operating Activities(IV) Proceeds from disposal of MachineryChoose the correct answer from the options given below:

Match List-I with List-IIList–IList–II(A) Profitability Ratios(I) This refers to the ratios that are calculated for measuring the efficiency of operations of a business based on effective utilization of resources.(B) Activity Ratios(II) The ability of a business to pay the amount due to stakeholders as and when it is due.(C) Liquidity Ratios(III) The ability to meet its contractual obligations towards stakeholders, particularly towards external stakeholders.(D) Solvency Ratios(IV) It refers to the analysis of profits in relation to revenue from operations or funds (or assets) employed in the business.Choose the correct answer from the options given below:

Arrange the following in correct sequence of appearance in a cash flow statement(A) Cash and cash equivalents at the end(B) Cash flows from operating activities(C) Cash flows from investing activities(D) Cash flows from financing activitiesChoose the correct answer from the options given below:

From the following information, calculate net cash inflow or net cash outflow from financing activities:ParticularsApril 1, 2016March 31, 2017Long-term LoansRs. 2,00,000Rs. 2,50,000During the year, the company repaid a loan of Rs. 1,00,000.

Which transaction among the following is NOT disclosed in the cash flow statement due to the non-cash nature of the transaction.

What would be the syntax for "IF" Function to get a result of Pass or Fail If Passing criteria is $40\%$ and above. Further percentage of marks is available in Cell A1?

Array formulas are enclosed between __________.

PV function returns the present value of an investment. The syntax of the function is PV (rate, nper, pmt, fv, type). What does NPER stands for?

The error ##### occurs when?(A) Column is not wide enough(B) Negative date(C) Negative time(D) Row is not wide enoughChoose the correct answer from the options given below:

What does OLE stands for?

From an accounting point of view, arrange the following share capital of the company in the correct sequence:(A) Subscribed Capital(B) Authorized Capital(C) Called up Capital(D) Issued CapitalChoose the correct answer from the options given below:

A new partner can be admitted:

R Ltd purchased a building from X Infra for $\text{Rs. }6,00,000$ and the payment is to be made by the issue of shares for $\text{Rs. }100$ each at a premium of $20\%$. Calculate the number of shares to be issued.

Match List-I with List-IIList–I (Events)List–II (Result)(A) Profit share(I) Gaining ratio.(B) Admission of Partners(II) Different concept(C) Retirement of a partner.(III) Equally among partners(D) Dissolution of firm and partnership.(IV) Sacrifice ratio.Choose the correct answer from the options given below:

Which of the following statements are true with reference to a company?(A) The directors of the company are the owners of the company.(B) A company is an artificial person.(C) A company has its common seal.(D) The liability of the members of the company is limited to the extent of shares held by themChoose the correct answer from the options given below:

In the case of the Dissolution of partnership firm, which accounts are opened:(A) Realization Account(B) Revaluation Account(C) Partners Capital Account(D) Bank AccountChoose the correct answer from the options given below:

Match List-I with List-IIList–IList–II(A) Calls in Arrears(I) Shares are taken back by the company as shareholders failed to pay one or more installments, viz. allotment money and/or call money.(B) Calls in Advance(II) This is a situation where the number of shares applied for is less than the number for which applications have been invited for subscription.(C) Forfeiture of Shares(III) This is the amount which any shareholder fails to pay on allotment or on any of the calls.(D) Under Subscription(IV) Table 'F' of the Companies Act provides for the payment of interest on this call at a rate not exceeding 12% per annum.Choose the correct answer from the options given below:

The journal entries are as under:
$$\text{Incoming partner’s current A/c}\text{Dr.}$$
$$\text{To Sacrificing partners capital A/c}$$
What statement among the following is TRUE for the above entry?

Steps involved in accounting treatment at the time of death/retirement of a partner -(A) Adjustment of capital, if required(B) Preparation of revaluation account, if required(C) Ascertainment of new profit sharing ratio and gaining ratio(D) Settlement of the amounts due to retired / deceased partnerChoose the correct answer from the options given below:

Match List-I with List-IIList–I (Events)List–II (Result)(A) Termination of business.(I) Not possible in dissolution of partnership.(B) Continuation of Business(II) Not possible in the dissolution of a firm.(C) Intervention of court.(III) Dissolution of firm(D) Continuation of books of accounts.(IV) Dissolution of partnership.Choose the correct answer from the options given below:

According to section _________ of the Partnership Act, 1932, the dissolution of partnership between all the partners of a firm is called the dissolution of the firm.

Arrange the following steps in the procedure of share issues in the correct sequence:(A) Receipt of Applications(B) Allotment of Shares(C) Issue of Prospectus(D) Listing on the stock exchangeChoose the correct answer from the options given below:

Identify the true statement in respect of Reserve Capital :-

Arrange the following steps which involve the Super Profits Method of valuation of goodwill in the correct sequence:(A) Calculate the average profit.(B) Calculate the normal profit on the firm's capital on the basis of the normal rate of return.(C) Calculate goodwill by multiplying the super profits by the given number of years' purchase(D) Calculate the super profits by deducting normal profit from the average profits.Choose the correct answer from the options given below:

Shares can be forfeited :

Rajinder and Surinder are partners in a firm sharing profits in the ratio of $4:1$. On April 15, 2017, they admitted Narender as a new partner. On that date, there was a balance of $\text{Rs. }20,000$ in general reserve and a debit balance of $\text{Rs. }10,000$ in the profit and loss account of the firm. Which among the following statements is correct for transferring profit and loss account?

In the absence of any information regarding the acquisition of a share in profit of the retiring/deceased partner by the remaining partners, it is assumed that they will acquire his/her share:

Nominal share capital is :

Reserve and surplus are shown under the _________________________ in the balance sheet of a company.

Match List-I with List-IIList–IList–II(A) Authorized capital(I) Mentioned in Prospectus.(B) Issued capital.(II) Mentioned in Memorandum of Association.(C) Subscribed capital.(III) called up capital–calls in arrears.(D) Paid up capital.(IV) Capital for which application is received.Choose the correct answer from the options given below:

On dissolution of a partnership firm, the bills payable is transferred to :

The journal entries recorded for revaluation of assets and reassessment of liabilities are given here, find the correct :(A) For increase in the value of an assetAsset A/c Dr.To Revaluation A/c(B) For reduction in the value of an assetRevaluation A/c Dr.Asset A/c(C) For increase in the amount of a liabilityLiability A/c Dr.To Revaluation A/c(D) For recording in the amount of a unrecorded liabilityRevaluation A/c Dr.To Liability A/cChoose the correct answer from the options given below:

After transferring liabilities like creditors and bills payables in the Realization Account, in the absence of any information regarding their payment, such liabilities are treated as:

The following are the features of Debentures:(A) The payment of interest is a charge on profits and is to be paid even if there is no profit.(B) The debentures, which are issued for a specified period are repayable on the expiry of that period.(C) If the debentures are generally secured, they carry a fixed or floating charge over the assets of the company.(D) Debentures can not be converted into shares in any case.Choose the correct answer from the options given below:

A firm is dissolved compulsorily in the following cases: (A) when all the partners or all but one partner, become insolvent, rendering them incompetent to sign a contract(B) when the business of the firm becomes illegal(C) when the business of the firm is earning a large amount of profit.(D) when some event has taken place which makes it unlawful for the partners to carry on the business of the firm in partnership Choose the correct answer from the options given below:

In case of dissolution of a firm, the firm ceases to conduct business and has to settle its accounts. The assets of the firm, including any sum contributed by the partners to make up deficiencies of capital, shall be applied in the following manner and order:(A) In paying to each partner proportionately what is due to him on account of capital.(B) The residue, if any, shall be divided among the partners in their profit sharing ratio.(C) In paying the debts of the firm to third parties.(D) In paying each partner proportionately what is due to him/her from the firm for advances as distinguished from capital (i.e. partner loan).Choose the correct answer from the options given below:

When a partnership firm is being dissolved, the private property of any partner shall be applied first, in payment of __________ and the surplus, if any, may be utilised for payment of __________, in case the firm's liabilities exceed the firm's assets.