Income and Expenditure Account is prepared to find out

(a)

Profit or loss

(b)

Cash and bank balance

(c)

Surplus or deficit

(d)

Financial position

An advance receipt of subscription from a member of the non - profit organization is considered as alan __________

(a)

Expense

(b)

Liability

(c)

Equity

(d)

Asset

If new share of the incoming partner is given without mentioning the details of the sacrifice made by the old partners then, the presumption is that old partners sacrifice in the ________.

(a)

Old profit sharing ratio

(b)

Gaining ratio

(c)

Capital ratio

(d)

sacrificing ratio

Persons who have entered into partnership with one another are individually called ___________

(a)

Partners

(b)

Directors

(c)

Sole trader

(d)

All of these

At the time of retirement of partners, the existing partners stand to ____________

(a)

Gain

(b)

Loss

(c)

Income

(d)

None of these

X, Y and Z are partners in the ratio of 5:3:2 Goodwill is valued at 40,000. If Z retire, the amount of goodwill credited to his capital account is ______________

(a)

Rs. 8,000

(b)

Rs. 50,000

(c)

Rs. 12,000

(d)

Rs. 12,000

_________maybe taken on the life of the partners in a partnership firm

(a)

Life policies

(b)

Insurance premium

(c)

Both 'a and 'b'

(d)

None of these

An account operated to ascertain the loss or gain at the death of a partner is called ___________

(a)

Realization A/c

(b)

Revaluation A/c

(c)

Executors A/c

(d)

Decreased partner’s A/c

A, B and C are partners sharing profits and losses in the ratio of ½, 3/10 and 1/5. B retires from the firm. A and C decide to share the future profits and losses in 3 : 2. Calculate gaining ratio __________

(a)

1 : 2

(b)

3 : 2

(c)

2 : 3

(d)

None of these

Debit balance of revaluation account is ________

(a)

Loss

(b)

Profit

(c)

Gain

(d)

Income

The amount due to the retiring partner is either _______ or is paid in installments.

(a)

Paid of immediately

(b)

Installment

(c)

Loan

(d)

None of these

Partnership is _________ on the retirement or death of a partner

(a)

Dissolved

(b)

Agreed

(c)

Retired

(d)

None of these

The money raised by issuing shares is called

(a)

Share capital

(b)

Dividend

(c)

Equity capital

(d)

Share application

Paid up capital is that part of called up capital which has been actually paid by the ____________

(a)

shareholders

(b)

members

(c)

cardholders

(d)

directors

Equity shares may be issued for cash at ___________

(a)

premium

(b)

discount

(c)

dividend

(d)

none of these

When a shareholder fails to pay the amount due on allotment or on calls, the amount remaining unpaid is known as

(a)

calls in advance

(b)

calls in arrears

(c)

under subscription

(d)

over subscription

_____ and ______ are ever growing.

(a)

Human needs, wants

(b)

Workers,employees

(c)

Wants and employment

(d)

None of these

_____ are those shares which are not preference shares.

(a)

Equity shares

(b)

Preference shares

(c)

Both 'a' and 'b'

(d)

None of these

Calls are to be made as provided in the _____ of a company.

(a)

Prospectus

(b)

Articles of Association

(c)

Memorandum of Association

(d)

None of these

The liability of the share holders are _____ in a company.

(a)

limited

(b)

unlimited

(c)

both 'a' and 'b'

(d)

none of these