Accountancy Nios Plus Two PQ I Welcome to your Accountancy Nios Plus Two PQ I Total Questions: 100 Name Mobile No: 1. 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 ₹1,13,000 ₹30,000 ₹1,00,000 ₹1,30,000 None Hint 2. Which of the following account is prepared by a Not-For-Profit Organisation? Profit and Loss Account Total Creditors Account Trading Account Income and Expenditure Account None Hint 3. Fill in the blanks At the time of dissolution of a partnership firm, the balance of general reserve is transferred to: Capital Accounts of all partners Realisation Account Reserve Fund Profit and Loss Account None Hint 4. When realisation expenses are paid by a partner on behalf of the firm, which of the following account is credited? Realisation Account Expense Account Cash Account Partner’s Capital Account None Hint 5. Name the type of accounting error for the following transactions: Wages paid for construction of office debited to wages account Error of Omission Error of Commission Error of Principle Compensating Error None Hint 6. 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: ₹ 1,00,000 ₹ 1,13,000 ₹ 30,000 ₹ 1,30,000 None Hint 7. Data Base Management System overcomes the limitations such as: Data redundancy and inconsistency Data isolation Data duplicity All of the above None Hint 8. In case of profit on re-issue of forfeited share, it is transferred to: Capital Reserve Account General Reserve Account Share Capital Account Securities Premium Reserve Account None Hint 9. 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: ₹1,13,000 ₹1,00,000 ₹30,000 ₹1,30,000 None Hint 10. What is meant by 'Unearned Income'? An expense paid in advance Salary unpaid Income that will never be received Income received in advance but not yet earned None Hint 11. State any three limitations of Cash Flow Statement It ignores working capital changes and liquidity issues It reflects net worth changes only It includes only accrual transactions and cannot be used for analysis It ignores non-cash items, historical nature, and not suitable for short-term analysis None Hint 12. Complete the following Sentences : In cash flow statement, the amount of interim dividend paid during the year is shown as _____ Cash outflow from financing activity Not shown in cash flow statement Cash outflow from investing activity Cash inflow from operating activity None Hint 13. If a share of ₹10 each on which ₹8 called up (including premium of ₹2) and ₹7 paid up has been forfeited, the Share Capital Account will be debited by: ₹8 ₹2 ₹3 ₹1 None Hint 14. Fill in the blanks: At the time of death of a partner, his/her executor is entitled to all the rights of a _______ to _______. creditor; the firm partner; liabilities creditor; receive dues shareholder; dividends None Hint 15. None 16. What are the correct steps to copy a chart from Excel to Word? Select chart → Press Delete → Paste in Word Select chart → Right-click → Copy → Open Word → Paste Select data → Copy → Paste directly in Word Create chart → Take screenshot → Insert as image None Hint 17. Angel Ltd., a stock broker, purchases 5,000 shares of Tata Housing Ltd., it is a : Operating Activity General Activity Investing Activity Financing Activity None Hint 18. Which of the following is not an error of principle? Purchase Book is totalled ₹ 20,000 instead of ₹ 15,500. Sale of an old car credited to Sales Account. 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. None Hint 19. Which of the following is treated as unrecorded asset? Bad debts recovered, written off in previous year Sale of old Furniture Goodwill appearing in the Balance Sheet Sale of Investments None Hint 20. Which of the following sub-unit of central processing unit stores data before being actually processed? Logic Unit Memory Unit Output Unit Control Unit None Hint 21. Identify the affected accounts in the journal entries for the following transactions: Goods sold for cash Cash A/c, Sales A/c Sales A/c, Purchases A/c Cash A/c, Purchases A/c Debtor A/c, Sales A/c None Hint 22. Goodwill already appears in books at retirement of a partner. It should be: Distributed among all partners Ignored Credited to retiring partner Written off in gaining ratio None Hint 23. 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. 22.5% 26.67% 20% 24% None Hint 24. Sale of Machinery on credit is recorded in: Bank Pass-Book Journal Proper Sales Book Cash Book None Hint 25. What is the adjustment of existing partner’s capital on the basis of the capital of the new partner? New partner gets more profit than others Capitals of existing partners are adjusted in the ratio of profit sharing based on new partner’s capital Existing partners withdraw their capital All partners bring equal capital None Hint 26. When realisation expenses are paid by a partner on behalf of the firm, which of the following account is credited ? Partner's Capital Account Expense Account Cash Account Realisation Account None Hint 27. Name the type of accounting error for the following transactions: Gurman's account short credited by ₹1,000 and Manisha’s account excess credited by ₹1,000 Error of Principle Error of Omission Compensating Error Error of Commission None Hint 28. Liabilities of a firm are ₹8,000 and total Assets are ₹20,000. What is the capital of the proprietor? ₹8,000 ₹20,000 ₹28,000 ₹12,000 None Hint 29. Which of the following is not a difference between Dissolution of Partnership and Dissolution of Partnership Firm? All assets are sold Business is closed permanently Only change in agreement or partners Accounts are settled with all partners None Hint 30. If goodwill already appears in the balance sheet at time of retirement: It is shown on asset side It is distributed among remaining partners It is transferred to goodwill reserve It is written off by all partners in their old ratio None Hint 31. Cash Balance ₹ 15,000, Trade Receivables ₹ 35,000, Inventory ₹ 40,000, Trade payables ₹ 24,000; Bank overdraft is ₹ 6,000. Current Ratio will be : 1 : 3.75 1 : 3 3.75 : 1 3 : 1 None Hint 32. Life-Membership-fee' received by Not-For-Profit Organisation is shown Capital receipt and added in the capital fund of Balance sheet Payment in 'Receipts and Payments Account' Income in 'Income and Expenditure Account' Expenditure in 'Income and Expenditure Account' None Hint 33. Gain of a partner: Existing (Old) Ratio - New Ratio Sacrificing Ratio - New Ratio New Ratio - Sacrificing Ratio New Ratio - Existing (Old) Ratio None Hint 34. Pass necessary Journal Entry when An unrecorded liability has been discharged by the firm No entry required Revaluation A/c Dr. To Cash/Bank A/c Liability A/c Dr. To Revaluation A/c Revaluation A/c Dr. To Liability A/c None Hint 35. Choose correct options Transactions, when recorded in Journal, are known as: Ledger Posting Journal Entry Vouchers Invoices None Hint 36. An unrecorded liability has been discharged by the firm. Revaluation A/c Dr. To Liability A/c Revaluation A/c Dr. To Partner’s Capital A/c Liability A/c Dr. To Cash A/c Revaluation A/c Dr. To Partner’s Capital A/c None Hint 37. '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' Payment in 'Receipts and Payments Account' Income in 'Income and Expenditure Account' None Hint 38. Dissolution of firm involves: Closing of business and selling of assets Revaluation of assets only Change in profit sharing Admission of new partner None Hint 39. In Excel software, Pie chart cannot plot more than: Four Categories Eight Categories Ten Categories Seven Categories None Hint 40. 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: ₹10 ₹8 ₹5 ₹6 None Hint 41. What does the “Design” tab allow you to do when formatting a chart in Excel? Insert mathematical formulas into the chart Change font style only Apply conditional formatting to cells Change chart layout, chart style, and switch row/column data None Hint 42. What is meant by Pro-rata allotment of shares ? State how unpaid amount on allotment and calls money of shares held by the shareholder is calculated in case of pro-rata allotment of shares. Pro-rata allotment is the allotment of bonus shares equally to all shareholders. Pro-rata allotment occurs when applicants get fewer shares than they applied for, and excess application money is refunded. Pro-rata allotment means every applicant is allotted the full number of shares they applied for, and no adjustment is needed for excess money. Pro-rata allotment happens when applicants get fewer shares than applied due to over-subscription; excess application money is adjusted towards allotment and future calls. None Hint 43. Fill in the blanks: At the time of dissolution of a partnership firm, balance of general reserve is transferred to _______. Revaluation Account Partner's Loan Account Partner’s Capital Accounts Realisation Account None Hint 44. Choose correct options Depreciation reduces the value of: Income Liability Asset Expense None Hint 45. 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 46. Give one word answer (Choose the correct option): When shares are issued to promoters of the company as remuneration for their services, which account is debited? Goodwill A/c Commission A/c Preliminary Expenses A/c Promoters' Capital A/c None Hint 47. Calling cells by just their column and row labels is called: Relative referencing Mixed referencing Absolute referencing Both (A) and (B) None Hint 48. Dissolution of partnership can occur by: Sale of assets Retirement or death of partner Transfer of share Liquidation of company None Hint 49. Journal Entry for goodwill already appearing in books: Goodwill A/c Dr. To All Partners' Capital A/c Gaining Partners’ Capital A/c Dr. To Goodwill A/c All Partners' Capital A/c Dr. To Goodwill A/c Goodwill A/c Dr. To Retiring Partner's Capital A/c None Hint 50. 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: ₹ 10 ₹ 6 ₹ 5 ₹ 8 None Hint 51. As per Rules of Accounting, Increase in Asset is ______ and decrease in Asset is ______ Debit, Debit Credit, Credit Debit, Credit Credit, Debit None Hint 52. Identify the affected accounts in the journal entries for the following transactions: Depreciation charged on furniture Expense A/c, Furniture A/c Furniture A/c, Depreciation A/c Depreciation A/c, Asset A/c Depreciation A/c, Furniture A/c None Hint 53. In case of profit on re-issue of forfeited share, it is transferred to: Share Capital Account Securities Premium Reserve Account General Reserve Account Capital Reserve Account None Hint 54. Give one word answer (Choose the correct option): A share of ₹10 issued at a premium of ₹2 on which the full amount is called up and ₹7 is received. Share Capital Account will be credited by: ₹9 ₹10 ₹7 ₹8 None Hint 55. Give one word answers (Choose correct option): Net Purchases = Cash Purchases + Credit Purchases – ? Sales Purchase Returns Drawings Closing Stock None Hint 56. Choose the correct one-word answer for the following: Which facility is offered to store and process transaction data in a computerised accounting system to retrieve information and generate reports? Data Storage Data Retrieval Data Entry Data Display None Hint 57. Give meaning of: Issued Capital refers to: Capital issued by government Reserve capital Paid-up capital Total value of shares offered to public for subscription None Hint 58. Once the data type is specified, MS Access allows the designer to define properties of each column. In the context of text data type, one of the general properties relates to 'Caption' which means: how the field's contents are displayed a label used for the field in datasheet and on forms and reports specifying a value for new entries of data records single, double or decimal type of numbers None Hint 59. “Cash from operating activities” will decrease due to : Increase in Current Assets Both (A) and (B) above Increase in Current Assets Increase in Current Liabilities Decrease in Current Liabilities None Hint 60. Give one word answer (Choose the correct option): One purpose for which securities premium reserve amount can be utilised: Pay dividend Buyback of inventory Issue bonus shares Pay salary None Hint 61. Select the correct option for each: At the time of retirement of a partner, Loss on revaluation is debited to the partners' Capital Account in which Ratio? Equal Ratio New Ratio Old Ratio Sacrificing Ratio None Hint 62. What is meant by pro-rata allotment of shares? Shares are allotted only to promoters Shares are allotted in proportion to the number of shares applied when there is oversubscription All shares are allotted equally to all applicants regardless of amount applied Shares are allotted at a premium only None Hint 63. Sale of Machinery on credit is recorded in: Bank Pass-Book Journal Proper Sales Book Cash Book None Hint 64. Which of the following is treated as unrecorded asset? Sale of Investments Sale of old Furniture Bad debts recovered, written off in previous year Goodwill appearing in the Balance Sheet None Hint 65. Give one word answer (Choose the correct option): That part of share capital which is uncalled and kept in reserve is known as: Authorised Capital Reserve Capital Issued Capital Subscribed Capital None Hint 66. Give meaning of: Authorised Capital refers to: Maximum capital a company is authorised to issue Capital raised through loans Shareholder's contribution Issued capital subscribed by public None Hint 67. Journal entry when excess capital is withdrawn by a partner: Bank A/c Dr. To Partner’s Capital A/c Partner’s Capital A/c Dr. To Cash/Bank A/c Capital Reserve A/c Dr. To Partner’s Capital A/c Revaluation A/c Dr. To Bank A/c None Hint 68. Gain of a partner is: New Ratio - Sacrificing Ratio New Ratio - Existing (Old) Ratio Existing (Old) Ratio - New Ratio Sacrificing Ratio - New Ratio None Hint 69. Liabilities of a firm are ₹ 8,000 and total Assets are ₹ 20,000. What is the capital of the proprietor? ₹ 8,000 ₹ 20,000 ₹ 12,000 ₹ 28,000 None Hint 70. Calculation of sacrificing ratio: Old Ratio ÷ New Ratio New Ratio – Old Ratio New Ratio × Old Ratio Old Ratio – New Ratio None Hint 71. Give one word answers (Choose correct option): When proprietor draws goods from the business for personal use, it is known as: Sale Capital Purchase Drawings None Hint 72. Give one word answers (Choose correct option): Which account shows surplus or deficit in case of Not-For-Profit organisation? Profit and Loss Account Trading Account Income and Expenditure Account Receipts and Payments Account None Hint 73. When realisation expenses are paid by a partner on behalf of the firm, which of the following account is credited? Expense Account Realisation Account Partner’s Capital Account Cash Account None Hint 74. Which of the following sub-unit of central processing unit stores data before being actually processed? Control Unit Output Unit Memory Unit Logic Unit None Hint 75. ‘Dividend received’ by other than financial enterprise is shown in cash flow statement under : Investing Activities General Activities Operating Activities Financing Activities None Hint 76. The mostly used input devices are keyboard, ______, and ______ Monitor and Scanner Mouse and Printer CPU and Monitor Mouse and Scanner None Hint 77. 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: ₹ 1,000 ₹ 1,200 ₹ 800 ₹ 900 None Hint 78. Name the type of accounting error for the following transactions: Goods sold for ₹4,200 to Hari Om on credit were omitted, although cash received Error of Commission Compensating Error Error of Principle Error of Omission None Hint 79. Subscribed Capital refers to: Uncalled capital Allotted shares returned Shares that the public agrees to buy from the issued capital Shares bought by outsiders None Hint 80. Fill in the blanks At the time of death of a partner, his/her executor is entitled to all the rights of a: Manager Partner Employee Debtor None Hint 81. 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: Zero ₹ 3 ₹ 2 ₹ 1 None Hint 82. Buy back of equity shares is shown as cash outflow from which type of activity? Operating Activity Extraordinary Item Financing Activity Investing Activity None Hint 83. Ideal Current Ratio is : 1:1 1:3 1:2 2:1 None Hint 84. 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 85. What is meant by cash flow statement ? State two objectives of preparing cash flow statement. A statement showing inflows and outflows of cash and cash equivalents, used to assess liquidity and financial flexibility. A statement showing cash and non-cash transactions to determine fixed asset value. A statement showing profit or loss of the business and aims to calculate net income and tax. A statement showing depreciation and changes in capital only, to determine return on capital employed. None Hint 86. The Net salary payable to an employee is obtained by deducting ________ from ________. Gross Salary, Provident Fund Allowances, Gross Salary Deductions, Gross Salary Tax, Basic Salary None Hint 87. Which of the following is not an error of principle? Typewriter purchased for office use has been debited to Purchases Account. Purchase Book is totalled ₹20,000 instead of ₹15,500. Sale of an old car credited to Sales Account. Repairs on the overhauling of second-hand machinery purchased is not recorded in the books of accounts. None Hint 88. Journal Entry: Goodwill A/c Dr. To All Partners’ Capital A/c Gaining Partner’s Capital A/c Dr. To Retiring Partner’s Capital A/c All Partners’ Capital A/c Dr. To Goodwill A/c Retiring Partner’s Capital A/c Dr. To Goodwill A/c None Hint 89. Select the correct option for each: After preparation of the realisation account, gain or loss on realisation is transferred to: Profit and Loss Account Partners' Capital Account Revaluation Account Capital Reserve None Hint 90. Debt equity ratio indicates risky financial position from the long-term point of view if it exceeds : 2 : 1 3 : 1 1 : 1 1 : 2 None Hint 91. Identify the affected accounts in the journal entries for the following transactions: Goods purchased on credit Debtor A/c, Purchases A/c Purchases A/c, Sales A/c Purchases A/c, Bank A/c Purchases A/c, Creditor A/c None Hint 92. Identify the affected accounts in the journal entries for the following transactions: Salaries paid Capital A/c, Cash A/c Wages A/c, Cash A/c Salaries A/c, Bank A/c Salaries A/c, Cash A/c None Hint 93. Give one word answers (Choose correct option): In the Income and Expenditure A/c of a Not-For-Profit organisation, 'Accrued Interest' is shown on which side? Income Side Asset Side Expenditure Side Liability Side None Hint 94. Which element of a chart provides additional information about a data marker to identify the details of a data point in a data series? The legend The Data points The Data Labels The plot area None Hint 95. Which of the following is a valid use of the Securities Premium Account as per the Companies Act? To buy office furniture To write off preliminary expenses To pay directors' commission To pay dividends to shareholders None Hint 96. Balance of Provision for Doubtful Debts 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 : ₹ 900 ₹ 800 ₹ 1,000 ₹ 1,200 None Hint 97. Name the type of accounting error for the following transactions: Purchase of furniture entered in Purchases Book Error of Principle Compensating Error Error of Omission Error of Commission None Hint 98. Which of the following are common earning elements used in Pay Roll calculations? Basic Pay, Provident Fund, Leave Deduction Gross Salary, Overtime, Loan Deduction Basic Pay, House Rent Allowance, Medical Allowance Net Pay, Tax Deduction, Bonus None Hint 99. Choose the correct one-word answer for the following: Which account will be debited on money withdrawn from Bank for personal use? Capital Account Cash Account Bank Account Drawings Account None Hint 100. Meaning of Sacrificing Ratio (Choose the correct option): The ratio in which old partners sacrifice in favor of new partner Equal ratio among partners The ratio of capital The ratio in which partners gain on retirement None Hint Time's up Share: admin Previous post Computer Science Nios Plus Two PQ I June 30, 2025 Next post Accountancy Nios Plus Two PQ II June 30, 2025
