Accountancy Nios Plus Two PQ II Welcome to your Accountancy Nios Plus Two PQ II Total Questions: 157 Name Mobile No: 1. When proprietor draws goods from the business for his/her personal use, it is known as? Expense Capital Liability Drawings None Hint 2. In case of profit on re-issue of forfeited share, it is transferred to: Capital Reserve Account Securities Premium Reserve Account Share Capital Account General Reserve Account None Hint 3. Gurman's A/c short credited and Manisha's A/c over credited — Error of Principle Error of Omission Error of Commission Compensating Error None Hint 4. Ideal Current Ratio is : 1 : 1 1 : 3 2 : 1 1 : 2 None Hint 5. Give the meaning of Sacrificing Ratio. How it is calculated ? The ratio in which existing partners agree to sacrifice their share of profit in favour of a new partner. The ratio of capital contributed by partners. The ratio in which old partners gain from the retirement of a partner. The ratio in which new partner sacrifices his share in favour of existing partners. None Hint 6. Gain of a partner is : New Ratio - Sacrificing Ratio New Ratio - Existing (Old) Ratio Sacrificing Ratio - New Ratio Existing (Old) Ratio - New Ratio None Hint 7. Complete the following sentences: In cash flow statement, the amount of interim dividend paid during the year is shown as: Non-Cash Activity Financing Activity Operating Activity Investing Activity None Hint 8. Which element of a chart provides additional information about a data marker? The plot area The Data points The legend The Data Labels None Hint 9. Write names of affected accounts while making Journal Entries of the following transactions: Goods sold for cash Cash A/c and Capital A/c Sales A/c and Cash A/c Sales A/c and Purchases A/c Cash A/c and Purchases A/c None Hint 10. Which of the following Component of MS Access is used to create various reports as per the requirement of the end user ? Report Object Table Object Queries Forms Object None Hint 11. Cash Balance ₹ 15,000, Trade Receivables ₹ 35,000, Inventory ₹ 40,000, Trade payables ₹ 24,000; Bank overdraft ₹ 6,000 Current Ratio will be : 1 : 3 1 : 3.75 3.75 : 1 3 : 1 None Hint 12. Give one word answer to the following: Which account will be debited on money withdrawn from Bank for personal use? Drawings Account Capital Account Bank Account Cash Account None Hint 13. Explain how issue of shares for consideration other than cash is recorded in the books of accounts. Fixed Asset A/c Dr. To Cash A/c Purchase A/c Dr. To Share Capital A/c Asset A/c Dr. To Share Capital A/c Vendor A/c Dr. To Share Capital A/c None Hint 14. In Excel software Pie chart cannot plot more than : Seven Categories Ten Categories Four Categories Eight Categories None Hint 15. Give the meaning of Sacrificing Ratio. How is it calculated ? The ratio in which profits are distributed among all partners The ratio of capital invested by the partners The ratio in which old partners sacrifice a part of their share in favour of a new partner The ratio in which new profit is shared by partners None Hint 16. The Net salary payable to an employee is obtained by deducting ______ from ______. Deductions from Gross Salary Bonus from Net Salary Allowances from Basic Pay Tax from Net Salary None Hint 17. In Income & Expenditure A/c, 'Accrued Interest' is shown on — Receipts Side Income Side Payments Side Expenditure Side None Hint 18. Calculate the gross profit ratio from the following data : Sales ₹ 3,25,000; Sales returns ₹ 25,000 and Cost of revenue from operations ₹ 2,40,000. 20% 25% 30% 18% None Hint 19. Once the data types are specified, MS Access allows the designer to define properties of each column. In the context of text data type, one of the general properties related to 'Caption' means: Single, double or decimal type of numbers A label used for the field in datasheet and on forms and reports How the field's contents are displayed Specifying a value for new entries of data records None Hint 20. Cash Balance ₹15,000, Trade Receivables ₹35,000, Inventory ₹40,000, Trade Payables ₹24,000, Bank Overdraft ₹6,000; Current Ratio will be: 1 : 3 3.75 : 1 3 : 1 1 : 3.75 None Hint 21. Data Base management system overcomes the limitation such as : Data isolation Data duplicity All of the above Data redundancy and inconsistency None Hint 22. At the time of retirement of a partner, Loss on revaluation will be debited to the partners' Capital Account in which Ratio? Gaining Ratio Equal Ratio Old Profit Sharing Ratio Sacrificing Ratio None Hint 23. Debt equity ratio indicates risky financial position from the long term point of view if it exceeds: 3:1 2:1 1:2 1:1 None Hint 24. Give one word answer for the following: Depreciation reduces the value of Liability Revenue Capital Asset None Hint 25. Give a name of the accounting error for the following transactions : Wages paid for construction of office building debited to wages account — Error of Commission Compensating Error Error of Principle Error of Omission None Hint 26. Data Base management system overcomes the limitation such as : Data duplicity All of the above Data redundancy and inconsistency Data isolation None Hint 27. The Net salary payable to an employee is obtained by deducting ______ from ______. Gross Salary from Net Salary Gross Salary from Deductions Deductions from Gross Salary Allowances from Gross Salary None Hint 28. Write the steps involved to copy a chart to Word. Insert new chart in Word manually Screenshot chart → Paste in Word Select chart → Press Delete → Open Word → Paste Select chart → Copy (Ctrl + C) → Open Word → Paste (Ctrl + V) None Hint 29. Which of the following Component of MS Access is used to create various reports as per the requirement of the end user? Queries Report Object Forms Object Table Object None Hint 30. Complete the Sentences In cash flow statement, the amount of interim dividend paid during the year is shown as: Financing Activity Extraordinary Item Investing Activity Operating Activity None Hint 31. That part of share capital which is uncalled and kept in reserve is called _ Securities Premium Reserve Account Share Capital Account Capital Reserve Account Reserve Capital Account None Hint 32. Calculate the gross profit ratio from the following data : Sales ₹ 3,25,000; Sales returns ₹ 25,000 and Cost of revenue from operations ₹ 2,40,000. 15% 20% 18% 25% None Hint 33. Fill in the blanks At the time of death of a partner, his/her executor is entitled to all the rights of a _______. Creditor Manager Debtor Partner None Hint 34. State any three limitations of cash flow statement. It reflects profitability accurately. It records all types of transactions including non-cash ones. It is a complete replacement of the income statement. t ignores non-cash transactions, does not assess true profitability, and may be misinterpreted. None Hint 35. Calling cells by just their columns and row labels is called: Mixed referencing Relative referencing Absolute referencing Both (A) and (B) None Hint 36. Write names of affected accounts while making Journal Entries of the following transactions : Depreciation charged on furniture Depreciation A/c & Furniture A/c Expense A/c & Asset A/c Furniture A/c & Depreciation A/c Cash A/c & Furniture A/c None Hint 37. What is meant by cash flow statement ? State two objectives of preparing cash flow statement. A summary of bank balance; Used to track profitability A financial report showing cash inflows and outflows; Helps in budgeting and tax filing A report showing cash inflows/outflows during a period; Helps in assessing liquidity and cash generation A summary of all accounting records; Helps calculate depreciation and tax None Hint 38. After the preparation of realisation account, gain or loss on realisation is transferred to Revaluation Account Loan Account Partner’s Capital Account Profit and Loss Account None Hint 39. Give a name of the accounting error for the following transactions : Goods sold for ₹4,200 to Hari Om on credit were omitted from accounts although cash received Error of Commission Error of Principle Error of Omission Compensating Error None Hint 40. Complete the following Sentences: In cash flow statement, the amount of interim dividend paid during the year is shown as: Investing Activity Non-cash Activity Operating Activity Financing Activity None Hint 41. Net Purchases = Cash Purchases + Credit Purchases – _______ Wages Purchase Returns Sales Goods Lost by Fire None Hint 42. That part of share capital which is uncalled and kept in reserve is known as? Called-up Capital Authorised Capital Issued Capital Reserve Capital None Hint 43. State the earning elements used in Pay Roll calculations. Also state how these are calculated ? Commission, PF, Gratuity – added to Net Pay TDS, PF, ESI, Bonus – all deducted from Net Salary Basic Pay, HRA, DA, Bonus – all added to calculate Gross Salary Basic Pay, Loan, Rent – all added for Gross Salary None Hint 44. Angel Ltd., a stock broker, purchase 5,000 shares of Tata Housing Ltd., it is a : Financing Activity General Activity Investing Activity Operating Activity None Hint 45. In Excel software Pie chart cannot plot more than: Ten Categories Four Categories Seven Categories Eight Categories None Hint 46. Once the data type is specified, MS Access allows designer to define properties of each column. In the context of text data type, one of the general properties relate to ‘Caption’ which means: specifying a value for new entries of data records single, double or decimal type of numbers how the field's contents are displayed a label used for the field in datasheet and on forms and reports None Hint 47. If a share of ₹ 10 on which ₹ 8 called up and ₹ 5 paid up has been forfeited the share capital. Account will be debited by :* ₹ 8 ₹ 10 ₹ 5 ₹ 6 None Hint 48. Which facility is offered to store and process transaction data in computerised accounting system to retrieve information to generate and view financial reports? Ledger Posting Data Entry Reporting MIS (Management Information System) None Hint 49. Differentiate between 'Public Company' and 'Private Company' on the basis of : Maximum number of members Public – 100; Private – 50 Public – 200; Private – Unlimited Public – 500; Private – 100 Public – Unlimited; Private – 200 None Hint 50. Pass necessary Journal Entry when : An unrecorded liability has been discharged by the firm. Liability A/c Dr. To Realisation A/c Cash/Bank A/c Dr. To Realisation A/c Realisation A/c Dr. To Liability A/c Realisation A/c Dr. To Cash/Bank A/c None Hint 51. Give one word answer to the following: Which facility is offered to store and process transaction data in computerised accounting system to retrieve information to generate and view financial reports? Tally Spreadsheet Accounting Software Database Management System None Hint 52. Differentiate between 'Public Company' and 'Private Company' on the basis of : Minimum number of members Public – 2; Private – 7 Public – 5; Private – 10 Public – 7; Private – 2 Public – 3; Private – 3 None Hint 53. Depreciation reduces the value of: Expenses Liabilities Income Assets None Hint 54. What is meant by cash flow statement ? State two objectives of preparing cash flow statement. It is used only for taxation purposes. It is a statement used to record non-cash transactions. It shows only the profits and losses of a business. It is a statement that shows cash inflows and outflows during a specific period, and helps assess liquidity and cash management. None Hint 55. What is meant by 'Unearned Income'? Give accounting treatment and Adjustment entry of unearned income. Show as capital reserve Deduct from income and shown as liability Treat as accrued income Shown under drawings None Hint 56. When a company decides to raise capital by issuing shares, at that time give the meaning of : Over Subscription refers to: No shares are issued Applications received are more than number of shares issued Shares issued are less than applied Subscription by foreign investors None Hint 57. Using Charts/Graph tools in Excel – explain how to modify a chart: To move the chart Click and drag to new location Use chart filter Paste into Word Delete chart None Hint 58. Cash from operating activities” will decrease due to : Decrease in Current Liabilities None of these Both (A) and (B) above Increase in Current Assets None Hint 59. When a company decides to raise capital by issuing shares, at that time give the meaning of : Under Subscription refers to: Oversold shares Shares applied are more than issued Shares applied are less than issued All shares are allotted None Hint 60. Liabilities of a firm are ₹ 8,000 and total Assets are ₹ 20,000. What is the capital of the proprietor ? ₹ 12,000 ₹ 20,000 ₹ 28,000 ₹ 8,000 None Hint 61. What journal entry is to be made at the time of a dissolution of partnership firm when : Payment of liabilities by the partners Liability A/c Dr. To Partner’s Capital A/c Liability A/c Dr. To Bank A/c Partner’s Capital A/c Dr. To Liability A/c Realisation A/c Dr. To Bank A/c None Hint 62. Fill in the blanks: At the time of death of a partner, his/her executor is entitled to all the rights of a _______ to _______. partner; liabilities shareholder; dividends creditor; the firm creditor; receive dues None Hint 63. Which account shows Surplus or Deficit in Not-For-Profit Organisation — Receipts and Payments Account Income and Expenditure Account General Fund Capital Fund Account None Hint 64. The mostly used input devices are keyboard, ______ and ______ CPU and Monitor Scanner and Mouse Speaker and Joystick Monitor and Printer None Hint 65. A firm earns profit of ₹ 1,30,000 on a capital of ₹ 10,00,000 and normal rate of return in similar business is 10%, super profit will be : ₹ 1,30,000 ₹ 1,13,000 ₹ 30,000 ₹ 1,00,000 None Hint 66. Give the meaning of : Called-up Capital means: Capital that is authorized to be issued Capital demanded from shareholders Capital shown in books only Capital actually received None Hint 67. Give one word answer of the following : A share of ₹ 10 issued at a premium of ₹ 2 on which the full amount is called up and ₹2 ₹7 ₹8 ₹10 None Hint 68. Which of the following are limitations of a cash flow statement? Cannot reflect profitability accurately Historical in nature and not predictive Ignores non-cash transactions All of the above None Hint 69. Pass necessary Journal Entries: When an unrecorded liability is discharged by a partner on behalf of the firm, the Journal Entry is: Realisation A/c Dr. To Partner’s Capital A/c Liability A/c Dr. To Partner’s Capital A/c Realisation A/c Dr. To Liability A/c Partner’s Capital A/c Dr. To Realisation A/c None Hint 70. What journal entry is to be made at the time of a dissolution of partnership firm when : Assets are taken over by the partners Realisation A/c Dr. To Partner’s Capital A/c No Entry Asset A/c Dr. To Partner’s Capital A/c Partner’s Capital A/c Dr. To Asset A/c None Hint 71. Give a name of the accounting error for the following transactions : Goods sold on credit to Hari Om omitted from books — Error of Omission Compensating Error Error of Commission Error of Principle None Hint 72. Using Charts/Graph tools in Excel – explain how to modify a chart: To reverse the data which are displayed in the rows and columns Insert pivot chart Rotate chart manually Use "Switch Row/Column" option under Chart Design Use copy-paste None Hint 73. Fill in the blanks: At the time of dissolution of partnership firm, balance of general reserve is transferred to _______. Partner’s Capital Accounts Partner’s Loan Account Realisation Account Revaluation Account None Hint 74. Complete the sentence The mostly used input devices are keyboard, ______ and ______ monitor, printer mouse, monitor printer, speake mouse, scanner None Hint 75. State any one purpose for which securities premium reserve amount can be utilized. Pay salaries to employees Write off preliminary expenses Distribute among shareholders as dividend Buy back preference shares None Hint 76. Net Purchases = Cash Purchases + Credit Purchases – ? Expenses Purchases Return Sales Capital None Hint 77. Give a name of the accounting error for the following transactions : Purchase of Furniture entered in Purchase Book — Error of Commission Error of Principle Error of Posting Error of Totalling None Hint 78. Which of the following Component of MS Access is used to create various reports as per the requirement of the end user? Queries Table Object Forms Object Report Object None Hint 79. When realisation expenses are paid by a partner on behalf of the firm, which of the following account is credited ? Cash Account Expense Account Partner's Capital Account Realisation Account None Hint 80. In MS Access, the 'Caption' property for text data type means: a label used for the field in data sheet and on forms and reports how the field's contents are displayed single, double or decimal type of numbers specifying a value for new entries of data records None Hint 81. Give the meaning of : Paid-up Capital means: Amount demanded but not paid Total face value of shares issued Portion of called-up capital actually paid Future capital to be paid None Hint 82. Angel Ltd., a stock broker, purchases 5,000 shares of Tata Housing Ltd., it is a: Operating Activity Financing Activity General Activity Investing Activity None Hint 83. Calling cells by just their columns and row labels is called: Mixed referencing Relative referencing Both (A) and (B) Absolute referencing None Hint 84. If at the time of retirement/death of a partner, goodwill already appears in the balance sheet, how will it be treated ? Also give the necessary Journal Entry. It is ignored and no adjustment is required. It is credited to Retiring Partner’s Capital Account only. It is written off by debiting all partners’ capital accounts in old ratio. It is transferred to General Reserve. None Hint 85. Calculate the gross profit ratio from the following data: Sales ₹ 3,25,000; Sales returns ₹ 25,000 and Cost of revenue from operations ₹ 2,40,000. 30% 40% 20% 25% None Hint 86. 'Dividend received' by other than financial enterprise is shown in cash flow statement under: Investing Activities General Activities Operating Activities Financing Activities None Hint 87. Steps to copy a chart to Word (Choose the correct option): Delete chart → Open Word → Paste Use Snipping Tool → Paste image in Word Select chart → Copy → Open Word → Paste Copy Excel file → Paste into Word header None Hint 88. What is meant by 'Unearned Income'? Give accounting treatment and Adjustment entry of unearned income. Unearned income is profit from sale of fixed assets. Adjustment Entry: Asset A/c Dr. To Profit A/c Unearned income refers to income not yet received but already earned. Adjustment Entry: Income A/c Dr. To Unearned Income A/c Unearned income is recorded only in the balance sheet and does not need adjustment. Unearned income refers to income already received and recorded but not yet earned. Adjustment Entry: Unearned Income A/c Dr. To Income A/c None Hint 89. Explain how re-issue of Forfeited shares at discount is recorded in the books of accounts. Discount allowed on re-issue is debited to Forfeited Shares Account Discount allowed is not permitted on re-issue Discount allowed on re-issue is debited to Share Capital Account Discount allowed on re-issue is credited to Capital Reserve Account None Hint 90. Gurman’s A/c short credited by ₹1,000; Manisha’s A/c excess credited by ₹1,000 Error of Principle Compensating Error Error of Commission Error of Omission None Hint 91. State the earning elements used in Pay Roll calculations. Also state how these are calculated. Basic Pay + HRA + Allowances – Deductions Gross Salary – Net Salary Only Basic Pay Basic Pay – Income Tax Only None Hint 92. Complete the following sentences: Goodwill written off is shown in cash flow statement under which type of activity? Operating Activity None of these Financing Activity Investing Activity None Hint 93. In Excel software Pie chart cannot plot more than: Seven Categories Seven Categories Eight Categories Four Categories Ten Categories None Hint 94. When proprietor draws goods from the business for personal use, it is known as — Sales Drawings Expense Purchase None Hint 95. After the preparation of realisation account, gain or loss on realisation is transferred to: Partners’ Capital Accounts Revaluation Account Cash Account Partners' Drawing Account None Hint 96. ‘Dividend received by other than financial enterprise is shown in cash flow statement under : General Activities Operating Activities Financing Activities Investing Activities None Hint 97. As per Rules of Accounting, Increase in Asset is ______ and decrease in Asset is ______ Debit, Credit Credit, Debit Debit, Debit Credit, Credit None Hint 98. Ideal Current Ratio is: 2:1 1:3 1:2 1:1 None Hint 99. Pass necessary Journal Entry when: An unrecorded liability has been discharged by the firm. Cash A/c Dr. To Liability A/c No Entry Liability A/c Dr. To Capital A/c Liability A/c Dr. To Cash A/c None Hint 100. Ideal Current Ratio is: 2:1 1:2 1:3 1:1 None Hint 101. When shares are issued to promoters for their services, which account is debited? Cash A/c Capital Reserve A/c Share Capital A/c Goodwill A/c None Hint 102. Balance of Provision for Doubtful Debts as on 1st April 2023 was ₹ 2,500. Bad debts during the year were ₹ 600. A provision for Doubtful Debts is to be credited @ 5% on debtors of ₹ 20,000. Provision for doubtful Debts credited to Profit and Loss Account will be : ₹ 1,200 ₹ 800 ₹ 1,000 ₹ 900 None Hint 103. Give any three reasons of preparing 'Receipts and Payments Accounts' by Not-for-Profit organisations. To assess depreciation of assets. To calculate net profit or loss of the organisation. To show summary of all cash and bank transactions during the year. To record only capital receipts and capital payments. None Hint 104. Explain the Accounting treatment of settlement of Partner's Capital Accounts at the time of dissolution of a partnership firm : When Partner's Capital Account shows a credit balance. Shown as expense Partner pays the firm Firm pays the amount to the partner Adjusted through Reserve A/c None Hint 105. Which of the following account is prepared by a Not-For-Profit Organisation ? Profit and Loss Account Total Creditors Account Income and Expenditure Account Trading Account None Hint 106. "Cash from operating activities" will decrease due to: Increase in Current Assets Increase in Current Liabilities Both (A) and (B) above Decrease in Current Liabilities None Hint 107. Give necessary Journal Entry for treatment of goodwill on retirement of a partner stating the ratio in which goodwill is to be distributed. Gaining Partners’ Capital A/cs Dr. To Retiring Partner’s Capital A/c Goodwill A/c Dr. To All Partners’ Capital A/cs Retiring Partner’s Capital A/c Dr. To Goodwill A/c Gaining Partners’ Capital A/cs Dr. To Goodwill A/c None Hint 108. If goodwill already appears in the books at the time of a partner's retirement or death, how is it treated? It is distributed in the new ratio It is written off among all partners in the old ratio It is ignored in books of accounts It is transferred to the retiring partner only None Hint 109. State any three features of 'Single Entry - System'. It maintains double entry for all transactions. It is a scientific method of accounting. It records only credit transactions systematically. It is incomplete and unscientific method of accounting. None Hint 110. What journal entry is to be made at the time of a dissolution of partnership firm when : For transfer of assets to Realisation Account Realisation A/c Dr. To Partner’s Capital A/c Bank A/c Dr. To Realisation A/c Realisation A/c Dr. To Assets A/c Assets A/c Dr. To Realisation A/c None Hint 111. Calling cells by just their columns and row labels is called Both (A) and (B) Mixed referencing Absolute referencing Relative referencing None Hint 112. Give a name of the accounting error for the following transactions : Purchase of Furniture is entered in Purchase Book Error of Omission Error of Commission Error of Principle Clerical Error None Hint 113. Write names of affected accounts while making Journal Entries of the following transactions: Depreciation charged on furniture Depreciation A/c and Capital A/c Furniture A/c and Cash A/c Depreciation A/c and Furniture A/c Furniture A/c and Profit & Loss A/c None Hint 114. Write names of affected accounts while making Journal Entries of the following transactions: Goods purchased on credit Cash A/c and Purchases A/c Capital A/c and Purchases A/c Purchases A/c and Creditor’s A/c Purchases A/c and Debtor's A/c None Hint 115. Write names of affected accounts while making Journal Entries of the following transactions : Goods sold for cash Capital A/c & Sales A/c Sales A/c & Cash A/c Purchases A/c & Cash A/c Cash A/c & Capital A/c None Hint 116. As per Rules of Accounting, Increase in Asset is _______ and decrease in Asset is _______ Credited; Debited Credited; Credited Debited; Credited Debited; Debited None Hint 117. 'Life-Membership-fee' received by Not-For-Profit Organisation is shown as : Capital receipt and added in the capital fund of Balance sheet Expenditure in 'Income and Expenditure Account' Income in 'Income and Expenditure Account' Payment in 'Receipts and Payments Account' None Hint 118. Fill in the blanks At the time of dissolution of partnership firm, balance of general reserve is transferred to _______. Partner’s Capital Accounts Reserve Fund Account Realisation Account Revaluation Account None Hint 119. Write names of affected accounts while making Journal Entries of the following transactions: Salaries paid Wages A/c and Bank A/c Capital A/c and Salaries A/c Salaries A/c and Cash A/c Salaries A/c and Debtors A/c None Hint 120. Angel Ltd., a stock broker, purchases 5,000 shares of Tata Housing Ltd., it is a: Financing Activity Operating Activity Investing Activity General Activity None Hint 121. If a share of ₹ 10 each on which ₹ 9 called up (including premium of ₹ 2) and ₹ 7 paid up (including premium of ₹ 1) is forfeited Securities Premium Reserve Account will be debited by :* ₹ 3 Zero ₹ 1 ₹ 2 None Hint 122. Which of the following is not an error of principle ? Typewriter purchased for office use has been debited to Purchases Accounts. Repairs on the overhauling of second hand machinery purchased is not recorded in the books of accounts. Sale of an old car credited sales Account. Purchase Book is totalled ₹ 20,000 instead of ₹ 15,500. None Hint 123. Which account will be debited on money withdrawn from bank for personal use? Capital Account Cash Account Bank Account Drawings Account None Hint 124. Complete the Sentences Buy back of equity shares is shown as cash outflow from which type of activity? Extraordinary Item Operating Activity Financing Activity Investing Activity None Hint 125. Using Charts/Graph tools in Excel – explain how to modify a chart: To modify the labels and titles Change font from Home tab Format axis only Use “Chart Elements” (+ icon) and select Titles/Labels Insert shapes None Hint 126. Complete the following sentences: Buy back of equity shares is shown as cash outflow from which type of activity? Financing Activity Operating Activity Investing Activity Non-Cash Activity None Hint 127. Write names of affected accounts while making Journal Entries of the following transactions : Salaries paid Cash A/c & Salary A/c Expense A/c & Drawings A/c Salary A/c & Cash A/c Salary A/c & Capital A/c None Hint 128. Give a name of the accounting error for the following transactions : Wages paid for the construction of office debited to wages account. Error of Commission Error of Principle Error of Omission Compensating Error None Hint 129. Sale of Machinery on credit is recorded in : Cash Book Bank Pass-Book Sales Book Journal Proper None Hint 130. One purpose of using Securities Premium Reserve? Pay director salary Buy back goods Write off preliminary expenses Declare dividend None Hint 131. Using Charts/Graph tools in Excel – explain how to modify a chart: To change the data included in the chart Delete cells Resize columns Change workbook theme Use “Select Data” option under Chart Design None Hint 132. Accrued Interest is shown on which side of Income & Expenditure A/c? Asset side Debit side Credit side Liability side None Hint 133. Which of the following is a limitation of a Cash Flow Statement? It records only cash transactions, ignoring non-cash items It is useful for assessing cash generation ability It shows liquidity position of the business It helps in short-term financial planning None Hint 134. At the time of retirement of a partner, Loss on revaluation will be debited to the partners' Capital Account Drawing Account Revaluation Account Loan Account None Hint 135. Which element of a chart provides the additional information about a data marker to identify the details of data point in a data series ? The Data points The plot area The legend The Data Labels None Hint 136. Give one word answer for the following: Transactions, when recorded in Journal, are known as Posting Notes Narration Entries None Hint 137. Explain how issue of shares for consideration other than cash is recorded in the books of accounts. Share Capital A/c Dr. To Asset A/c Vendor A/c Dr. To Asset A/c Cash A/c Dr. To Share Capital A/c Asset A/c Dr. To Share Capital A/c To Securities Premium A/c (if any) None Hint 138. Explain the Accounting treatment of settlement of Partner's Capital Accounts at the time of dissolution of a partnership firm : When Partner's Capital Account shows a debit balance. Transferred to Profit and Loss A/c Shown in the balance sheet The firm pays the amount to the partner The partner pays the amount to the firm None Hint 139. Which of the following is treated as an unrecorded asset ? Goodwill appearing in the Balance Sheet Sale of Investments Bad debts recovered, written off in previous year Sale of old Furniture None Hint 140. Explain how re-issue of Forfeited shares at discount is recorded in the books of accounts. Bank A/c Dr. Forfeited Shares A/c Dr. To Share Capital A/c Bank A/c Dr. To Discount on Issue of Shares A/c Bank A/c Dr. To Share Capital A/c Share Capital A/c Dr. To Bank A/c None Hint 141. Give the meaning of : Reserve Capital refers to: Portion of subscribed capital not to be called up except in winding up Authorized capital Capital used for bonus shares Capital kept in a separate bank None Hint 142. Pass necessary Journal Entry when: An unrecorded liability is discharged by a partner on behalf of the firm Liability A/c Dr. To Partner’s Capital A/c No Entry Partner’s Capital A/c Dr. To Liability A/c Liability A/c Dr. To Cash A/c None Hint 143. When a company decides to raise capital by issuing shares, at that time give the meaning of : Full Subscription refers to: Partial share application Shares issued more than required Shares applied exactly equal to shares issued Government subscription None Hint 144. In case of profit on re-issue of forfeited share is, it is transferred to : Securities Premium Reserve Account Share Capital Account Capital Reserve Account General Reserve Account None Hint 145. What is meant by Cash Flow Statement? State two objectives. A statement showing inflows/outflows of cash and cash equivalents Shows fund flow from capital structure only Shows only cash inflow from operating activities and net worth A statement showing total revenue and taxes None Hint 146. When shares are issued to promoters of the company as remuneration for their services, which account is debited? Goodwill Account Share Capital Account Preliminary Expenses Account Promoters' Capital Account None Hint 147. Which of the following sub-unit of central processing unit stores data before being actually processed ? Memory Unit Output Unit Logic Unit Control Unit None Hint 148. Which element of a chart provides the additional information about a data marker to identify the details of data point in a data series? The legend The Data Labels The plot area The Data points None Hint 149. Share capital A/c credited by? (Share of ₹10, premium ₹2, ₹7 received) ₹10 ₹7 ₹9 ₹8 None Hint 150. Explain formatting the chart using the design option. Change background color only Modify chart layout, style, switch row/column, add chart elements Add text box Insert video into chart None Hint 151. Write names of affected accounts while making Journal Entries of the following transactions : Goods purchased on credit Purchases A/c & Creditors A/c Sales A/c & Debtors A/c Cash A/c & Sales A/c Capital A/c & Purchases A/c None Hint 152. Transactions, when recorded in Journal, are known as: Accounts Vouchers Entries Postings None Hint 153. Buy back of equity shares is shown as cash outflow from which type of activity? Buy back of equity shares is shown as cash outflow from which type of activity? Operating Activity Trading Activity Financing Activity Investing Activity None Hint 154. Which account shows Surplus or Deficit in case of Not-For-Profit Organisation? Capital Account Receipts and Payments Account Profit and Loss Account Income and Expenditure Account None Hint 155. Differentiate between 'Public Company' and 'Private Company' on the basis of : Name Public – Pvt. Ltd.; Private – Ltd. Public – Corporation; Private – Firm Public – Inc.; Private – LLP Public – Ltd.; Private – Pvt. Ltd. None Hint 156. Complete the following sentences: In cash flow statement, under which head “Purchase of fixed assets during the year” is shown? Operating Activity Exceptional Activity Financing Activity Investing Activity None Hint 157. Debt equity ratio indicates risky financial position from the long term print of view if it exceeds : 3 : 1 2 : 1 1 : 2 1 : 1 None Hint Time's up Share: admin Previous post Accountancy Nios Plus Two PQ I June 30, 2025 Next post History Nios Plus Two PQ VIII July 1, 2025
