CA CPT JUNE 2013
Session – I
Part A – Fundamentals of Accounting
Q. 1 Which of the following is an event?
A. Purchase of goods worth Rs.4,000
B. Sale of goods worth Rs.2,000
C. Closing stock worth Rs.2,000
D. Rent paid Rs.2,000
Q. 2 Which of the following concepts shows the difference between the amount of receipt and right to receive an amount?
A. Matching Concept
B. Going concern Concept
C. Accrual Concept
D. Realisation Concept
Q. 3 Proprietor’s personal expenditure not recorded in the books of accounts due to_____
A. Materiality
B. Conservatism
C. Going concern
D. Business entity concept
Q. 4 All the enterprises should follow the same method of accounting policies for comparability of accounts due to _______________.
A. Conservatism
B. Consistency
C. Matching
D. Going concern
Q. 5 ‘A Limited’ purchased goods of Rs.10,00,000, and sold 90% of goods and remaining goods market value is Rs.90,000, and closing stock is 10%, but he recorded Rs.90,000 and not Rs.1,00,000. Which concept does he follows:
A. Materiality concept
B. Cost concept
C. Entity concept
D. Conservatism concept
Q. 6 The expenditure Rs.2,000 incurred on a trial run of newly purchased machine is_________
A. Preliminary expenses
B. Capital expenditure
C. Revenue expenditure
D. Deferred revenue expenditure
Q. 7 Proprietor used a rented building both for business purpose and as well as residence equally. The rent paid during the year for the building was Rs.1,32,000 debited to rent expenses A/c in the books of business. One month’s rent is still outstanding. Liability of the business for rent outstanding ___
A. Rs.11,000
B. Rs.12,000
C. Rs.5,500
D. Rs.6,000
Q. 8 Which of the following will not affect trial balance?
A. Purchase book was under casted by Rs.5,000
B. White wash charges Rs.10,000 were debited to building A/c
C. Cash paid to Briz Binan Rs.500 was debited to Briz Binan A/c as Rs.5,000
D. Credit sales of Rs.2,000 to P correctly recorded in sales book but not posted to P’s account
Q. 9 Which of the following is not a contingent liability?
A. Claim against enterprises not acknowledged as debt
B. Guarantee given in respect of third parties
C. Liability in respect of bills discounted
D. Penalty imposed by excise officer for violation of provisions of Central Excise Act
Q. 10 The accounting equation asset = capital + liabilities, which of the following is true. Ram has started business with 5,50,000 and has purchased goods worth 1,50,000 on credit
A. 7,00,000 = 5,50,000 + 1,50,000
B. 7,00,000 = 6,50,000 + 50,000
C. 5,50,000 = 7,00,000 – 1,50,000
D. 5,50,000 = 5,00,000 + 50,000
Q. 11 Opening and closing balances of debtors are 30,000 & 40,000 respectively. Cash collected from debtors 2,40,000. Discount allowed is 15,000 for prompt payment. Bad debts Rs.10,000. The total goods sold on credit are ________________.
A. 2,55,000
B. 2,45,000
C. 2,95,000
D. 2,75,000
Q. 12 The Piston & Rings are arranged for increasing fuel efficiency. This is a ______
A. Revenue expenditure
B. Deferred revenue expenditure
C. Capital expenditure
D. None of these
Q. 13 On scrutiny, an accountant found that
i. Bad debts recovery of Rs.500 was credited to debtors A/c wrongly
ii. Bank charges of Rs.50 were wrongly entered twice in the Cash Book.
iii. Purchase returns of Rs.100 was omitted to be entered in the book of A/c’s.
What is the impact on profit after rectification?
A. Increase Rs.650
B. Increase Rs.350
C. Decrease Rs.650
D. Decrease Rs.350
Q. 14 Which of the following is revenue expenditure?
A. Demolition & dismantling expenses
B. Carriage on machinery purchased
C. Packing charges of goods sold
D. Oil painting expenses
Q. 15 Sold old furniture valued Rs.2,000 to Sona was recorded as sales, the book value of furniture was Rs.2,500. What will be the rectifying entry?
A. Sales A/c Dr. – 2000 Suspense A/c Dr. – 500 To furniture A/c – 2500
B. Sales A/c Dr. – 2000 Loss on Sale of Furniture A/c Dr. – 500 To Furniture A/c – 2500
C. Sales A/c Dr. – 2000 Suspense A/c Dr. – 500 To Sona A/c – 2500
D. Furniture A/c Dr. – 2000 To Sona A/c – 2000
Q. 16 Goods worth Rs.10,000 were destroyed by fire and the insurance company admitted the claim of 60%. The journal entry
A. Loss by Fire a/c Dr. – Rs.10,000 To Purchase a/c – Rs.4,000 To insurance a/c – Rs.6,000
B. Loss by Fire a/c Dr. – Rs.4,000 Insurance Co. a/c Dr. – Rs.6,000 To Purchase a/c -Rs.10,000
C. Loss by Fire a/c Dr. – Rs.10,000 To Purchase a/c – Rs.6,000 To insurance Co. a/c -Rs.4,000
D. Loss by Fire a/c Dr. – Rs.6,000 Insurance Co. a/c Dr. – Rs.4,000 To Purchase a/c -Rs.10,000
Q. 17 While preparing B.R.S with balance as per cash book which of the following will not be added
A. Cheque deposited but not cleared
B. Cheque issued but not presented
C. Cheque directly deposited in bank by a customer
D. All of the above
Q.18 Overdraft balance as per Cash Book of ‘X’ Rs.20,500. Direct remittance of his customer is Rs.50,000 and ‘X’ was not aware that Rs.25,000 cheque was deposited, returned unpaid and he was yet to be informed. Balance as per Pass Book is_________
A. 4,500 Cr
B. 4,500 O.D.
C. 45,500 Cr.
D. None
Q. 19 Opening stock 400 units @ Rs.20 each. Purchases during the year 200 units @ Rs.25each. Issues – 250 units In LIFO Method, closing stock will be?
A. 8750
B. 7000
C. 7750
D. 8000
Q. 20 The dealer of construction materials due to unknown reason took physical stock of inventories on 11th April. The cost of stock was Rs.4,20,000 (including goods returned on consignment basis). The dealer received goods cost Rs.1,00,000 in March 2011 for sale on consignment basis. 20% goods have been sold in March, 60% of stock in between 1st – 10th April. Find cost of stock on 31-3-11.
A. 3,20,000
B. 4,00,000
C. 3,40,000
D. 3,60,000
Q. 21 Find closing stock value __________ (Given in figure ).
| Units | Cost | Market Value |
| 70 | 5000 | 2000 |
| 20 | 3000 | 6000 |
| 30 | 7000 | 9000 |
A. 4,00,000
B. 4,10,000
C. 7,30,000
D. 7,40,000
Q. 22 Cost of machinery Rs.60,000. They charged depreciation @ 20% on SLM method. In 2nd year they decided to change method and adopt WDV method @ 20%. If machine was sold for Rs.30,000 at the end of 3rd year. Calculate the amount of loss.
A. Loss 4720
B. Loss 4560
C. Loss 720
D. Loss 560
Q. 23 A machine is purchased for Rs.5,00,000. It’s estimated working life is 10,000 hours, the Scrap value is Rs.1,00,000. Anticipated pattern of working hours is given in figure (1). Depreciation for the 3rd year is_________
| Year | Hours |
| 1-2 | 1500 |
| 3-6 | 1000 |
| 7-10 | 750 |
A. 30,000
B. 37,500
C. 40,000
D. 45,000
Q. 24 On 1-4-10 machine purchased for Rs.1,00,000 and 1st October another machine purchased for Rs.50,000. Depreciation on the machinery is charged by SLM @ 10%. What is the amount that should be shown in the books at the end of 31st March 2012.
A. 1,33,500
B. 1,22,500
C. 1,42,500
D. 1,10,500
Q. 25 Goods costing Rs.5,000 will be distributed as wages for Rs.5,000. Market price is Rs.6,000. Journal entry is _______
A. Wages A/c Dr. 6000 To salary A/c 6000
B. Wages A/c Dr. 6000 To salaries A/c 6000
C. Wages A/c Dr. 5000 To purchases A/c 5000
D. Wages A/c Dr. 6000 To purchases 6000
Q. 26 X purchased goods on 90 days credit from Y of worth Rs.20,000. Y has given a trade discount of Rs.1,000 on the same. He also allowed a cash discount of Rs.500, if payment is made within 30 days. X availed cash discount and also paid the dues of Y. At the end, goods purchased from Y remained unsold and included in the stock. What is the amount of stock.
A. Rs.20,000
B. Rs.19,500
C. Rs.19,000
D. Rs.18,500
Q. 27 Goods costing Rs.4,000 having normal sales value of Rs.6,000 were destroyed by fire. The scrap value of Rs.400 was taken over by the insurance company. Insurance company accepted a final claim of Rs.2,700. What amount of loss by fire will be transferred to P & L A/c.?
A. 3,300
B. 1,300
C. 1,700
D. 900
Q. 28 Mr. A started business with a capital of Rs.10 lakhs as a cloth merchant. During the year he purchased goods worth Rs.7,10,000 and sales during the year was Rs.8,42,000. He pays shop rent of Rs.20,000 for the year 2011-12, and other expenses Rs.75,000. Closing stock at the end of the year is Rs.45,000. What is gross profit?
A. 1,02,000
B. 82,000
C. 1,77,000
D. 1,57,000
Q. 29 Calculate the amount of salary debited to P & L A/c for the year ending 31-03-13.
Salary outstanding as on 31-03-12 – Rs.25,000
Salary outstanding as on 31-03-13 – Rs.10,000
Prepaid Salary as on 31-03-12 – Rs.10,000
Salary paid in cash during the year – Rs.3,00,000
A. 3,00,000
B. 3,05,000
C. 2,95,000
D. 3,10,000
Q. 30 Opening stock – 1,50,000
Cash sales – 1,20,000
Credit sales – 2,30,000
Closing stock – Nil
Selling price – 125% of cost, then purchases =?
| Opening Stock | 1,50,000 |
| Cash Sales | 1,20,000 |
| Credit Sales | 2,30,000 |
| Closing Stock | Nil |
A. 1,50,000
B. 1,40,000
C. 1,30,000
D. 1,20,000
Q. 31 Bill is drawn by Mr. Mohan on Mr. Mukesh on 30th January 2012 for one month, then the due date of the bill is ___________________________.
A. 29th February, 2012
B. 2nd March, 2012
C. 3rd March, 2012
D. 4th March, 2012
Q. 32 ‘A’ has discounted 3 months bill @ 10% p.a. from bank and given credit of 11,700. On the due date, the bill was dishonoured and noting charges of Rs.50 were paid by the bank. The amount by which A’s A/c will be debited by the bank is _____________.
A. 13050
B. 12050
C. 11000
D. None
Q. 33 Which of the following is true?
A. Co-venturers always share profits equally
B. They cannot be more than two co-venturers
C. The relationship between co-venturers is Principal & Agent
D. Co-venturers may provide funds for venture
Q. 34 Which of the following are not taken into consideration while calculating closing stock
A. Insurance of warehouse
B. Carriage
C. Octroi
D. Loading expense
Q. 35 Delcredre commission will be given for _____________
A. Speedy collection of cash
B. Prompt payment of cash
C. To cover risk of bad debts
D. Sale of goods above invoice price
Q. 36 Goods sent on consignment at a cost of Rs.50,000. 1/4th lost in transit and claim received Rs.10,000. The amount of abnormal loss to be transferred to general P & L A/c is______
A. 12,500
B. 2,500
C. 10,000
D. None
Q. 37 C of Chennai sent goods costing Rs.6,00,000 to Delhi. These goods were to be sold at cost plus 33 1/3%. The consignee sent advance to the consigner as a % of sales value and A sent accordingly Rs.4,80,000. What is the percentage of such advances on sales value?
A. 75%
B. 50%
C. 60%
D. 25%
Q. 38 A & B entered into a Joint Venture to share Profit & Losses equally. A supplied goods worth Rs.7,000 and incurred expenses of Rs.300. B sold the goods for Rs.10,000 and incurred expenses of Rs.500. What is the final remittance by B to A?
A. 7,900
B. 5,200
C. 8,400
D. 8,800
Q. 39 The normal rate of return is 20%. The total capital employed is Rs.6,00,000. The average profit is Rs.1,50,000. Calculate goodwill as the basis of 3 years purchase of super profits.
A. Rs.90,000
B. Rs.1,20,000
C. Rs.1,00,000
D. Rs.60,000
Q. 40 Goods sent on sale or return basis at a cost of Rs.1 lakh. In that, 50% of goods were accepted and 30% of the goods were returned. The remaining stock was held with customers and the period not yet expired. Then closing stock will be ________
A. 1,00,000
B. 50,000
C. 20,000
D. 30,000
Q. 41 Balance in JLP A/c of partners is________
A. Total premium paid by the firm
B. Annual premium paid each year
C. Surrender Value
D. JLP amount – Surrender Value
Q. 42 ABC partners, each partner has an individual life policy of Rs.50000 on 31st August, partner ‘B’ died and the surrender value of each policy at death is Rs.2,000. Share of ‘B’ partner is (equal sharing)
A. 17000
B. 18000
C. 50000
D. 54000
Q. 43 Rohan & Sohan are partners in a firm sharing profits & losses in the ratio of 3 : 1. A partner Mohan is admitted and he brought Rs.40,000 as goodwill. New profit sharing ratio of all the partners is equal. The amount of goodwill to be shared by old partners is
A. Equally Rs.20,000 each
B. Rohan Rs.30,000 & Sohan Rs.10,000
C. Rohan Rs.40,000
D. Rohan received Rs.50,000 & Sohan paid Rs.10,000
Q. 44 A & B are sharing profits in the ratio 2 : 1 . C is admitted as a partner for 1/4th of the share of profits, 3/4th part of his share from A and 1/4th of his share from the B. The new profit sharing ratio is________
A. 2 : 1 : 1
B. 23 : 13 : 12
C. 1 : 1 : 1
D. 3 : 1 : 5
Q. 45 Which of the following are accounting policies
A. Treatment of goodwill
B. Valuation of inventories
C. Treatment of retirement benefits
D. All the above
Q. 46 A, B, C are partners sharing profits & losses equally and A paid liability of Rs.10,000 of the firm, from his private property, then the entry in the books of firm is_________
A. A’s Capital A/c Dr. 10,000 To Cash A/c 10,000
B. Liability A/c Dr. 10,000 To A’s Capital A/c 10,000
C. Liability A/c Dr. 10,000 To Cash A/c 10,000
D. A’s Capital A/c Dr. 10,000 To Liability A/c 10,000
Q. 47 Unclaimed dividend is shown under ______
A. Other current liabilities
B. Reserves & Surplus
C. Secured loans
D. Miscellaneous expenditure
Q. 48 The debenture amount Rs.2,000 issued as collateral security required the following Journal entry
A. Debit debenture A/c and credit debenture suspense A/c
B. Debit debenture suspense A/c and credit debenture A/c
C. Debit collateral security and credit debenture A/c
D. No entry is required to be passed
Q. 49 Which of the following is false with respect to debentures?
A. Companies can issue irredeemable debentures
B. Companies can issue debentures with voting rights
C. Companies can issue debentures for consideration other than cash
D. Companies can issue convertible debentures
Q. 50 A company issued 10,000 shares out of 14,000 applied. Mr. A got 300 shares on a pro-rata basis. How many shares would he have applied?
A. 420 shares
B. 300 shares
C. 380 shares
D. 500 shares
Q. 51 Tree limited forfeited 500 shares of Rs.20 each issued at 5% discount, for non payment of allotment and final call of Rs.9 and Rs.5 respectively. Amount credited to share forfeiture A/c will be
A. 3,500
B. 2,500
C. 3,000
D. 4,000
Q. 52 The directors of E limited made the final call of Rs.50 per share on 1st August 2012 indicating the last date of payment of call money to be 31st August. Mr. White holding 5000 shares paid the call money on October 15th 2012. If the company adopts table ‘A’, the amount of interest on calls-in-arrears to be paid by Mr. White would be ______________
A. 3125
B. 1562.50
C. 1875
D. 1500
Q. 53 Where is “Loss on issue of shares” shown in financial statements?
A. Contingent Liability
B. General Reserve
C. Other Non – Current Assets
D. None of these
Q. 54 600 shares allotted to Mr. X, on which Rs.100 each called up, and Rs.50 paid up were forfeited and reissued for Rs.70 each as fully paid up. Amount transferred to capital reserve A/c is
A. Rs.12,000
B. Rs.15,000
C. Rs.30,000
D. Rs.18,000
Q. 55 X Draw an accommodation bill on Y. X discounted the bill for Rs. 4,900. Profit Sharing Ratio between X and Y is 1:4. The amount of discount barne by y will be
A. 100
B. 80
C. 40
D. 20
Q. 56 A cheque issued to creditor Rs. 10,000 but recorded in the books of account for Rs. 1,000. The error will be detected at the time of Preparation of:
A. Trial Balance
B. Cash Book
C. Pass Book
D. Bank Reconciliation Statement
Q. 57 A Ltd. issued 10000 shares of Rs. 10 each. A shareholder, who holds 500 shares, paid only Rs 5. Later on his shares were forfeited. Out of forfeited Shares 400 shares reissued for Rs. 7 /- per share. Amount transferred to capital reserve will be:
A. Rs. 800
B. Rs. 1000
C. Rs. 2800
D. Rs 2000
Q. 58 If preference shares are redeemed out of the fresh issue of Equity shares; which account will be credited?
A. Capital reserve account
B. Capital redemption reserve account
C. Preference share capital account
D. Equity share capital account
Q. 59 Z Ltd. Issued 1,50,000 shares of Rs.100 each at a discount of 10%. Mr. Gopi to whom 300 shares were allotted, failed to pay the final call of Rs.30 per share and hence all the shares were forfeited. What amount is transferred to shares Forfeiture A/c ?
A. Rs.9,000
B. Rs.21,000
C. Rs.18,000
D. Rs.27,000
Q. 60 For the financial year 20011-12, the gross profit was Rs.1,75,000. During the year Carriage inward Rs.15,000, Personal expenses of proprietor Rs.75,000 and Carriage outward Rs.17,500. Bad debts for the year were Rs.12,000. The net profit earned for the year 2011-12 would be:
A. Rs.85,000
B. Rs.1,45,500
C. Rs.64,500
D. none of the above
Part B – Mercantile Laws
Q. 61 What are the essential elements of valid contract
A. Lawful Object
B. Lawful Consideration
C. Free Consent
D. All of the above
Q. 62 ______ is good in substance, but suffers from technical defects like Non – Registration.
A. Voidable Contract
B. Unenforceable Contract
C. Valid Contract
D. Illegal Contract
Q. 63 An offer is made with an intention to have negotiation from another party. This type of offer is ____
A. Invitation to offer
B. Valid offer
C. Voidable offer
D. None of these
Q. 64 M/S Law book Company offered books only to ICAI council members. This offer generally known as:
A. General offer
B. Specific offer
C. Both of the above
D. None of the above
Q. 65 Which of the following is false?
A. Consideration must move at the desire of the promisor
B. Consideration may move from promisee (or) any other person
C. Consideration may be past present or future
D. Consideration must be adequate
Q. 66 Which of the following are valid considerations?
A. Past
B. Present
C. Future
D. Past, Present & Future
Q. 67 A minor injured his left leg in a football match. He engaged a doctor for treatment of leg. The doctor’s claim for his services from minors property is ____________under Indian Contract Act 1872.
A. Valid
B. Invalid
C. Void
D. Illegal
Q. 68 An Intentional misrepresentation will amount to _____
A. Fraud
B. Coercion
C. Undue influence
D. None of these
Q. 69 Obtaining the consent on the basis of a relation subsisting between two persons where one party is able to dominate the will of another is called _______
A. Coercion
B. Undue influence
C. Fraud
D. Misrepresentation
Q. 70 Which of the following will stand under fiduciary relationship as per Indian contract Act, 1872?
A. Father and Son
B. Doctor and Patient
C. Advocate and Client
D. All of the above
Q. 71 Execution of a bond requiring employees leaving the organisation before the expiry of the term of service to pay compensation to the employee is considered as:
A. Un enforceable agreement
B. Voidable agreement
C. Valid agreement
D. Void agreement
Q. 72 As per the provisions of Indian Contract Act, 1872 the original contract need not be performed in case of _____
A. Novation
B. Alteration
C. Rescission
D. All of these
Q. 73 Change in some or all terms of the contract is ______
A. Novation
B. Alteration
C. Merger
D. Rescission
Q. 74 __________ contracts are enforceable by future events.
A. Contingent Contract
B. Quasi Contract
C. Conditional Contract
D. Wagering Contract
Q. 75 _____ arises obligations where no contract is originally entered.
A. Wagering Contract
B. Contingent Contract
C. Quasi Contract
D. None of these
Q. 76 What are the essential elements of a contract of sale?
A. At least two parties
B. Subject matter must be goods
C. Both (a) & (b)
D. None of these
Q. 77 A document issued by railway company acknowledging receipt of goods is known as __
A. Bill of lading
B. Railway Receipt
C. Dock Warrant
D. None of these
Q. 78 Giving document of title to goods is which type of delivery?
A. Symbolic
B. Constructive
C. Actual
D. None of these
Q. 79 Merchantable Quality of goods means ___
A. Goods are free from latent defects
B. Marketable at their full value
C. Goods can be used for the purpose for which they are purchased
D. All of the above
Q. 80 The keys of the warehouse where goods are stored are handed over to the buyer. It is called ____ delivery.
A. Actual
B. Symbolic
C. Constructive
D. Conditional
Q. 81 An agreement to sale in which the property of goods will be transferred to the buyer at the time where total payment is made.
A. Sale
B. Agreement to sell
C. Hire Purchase
D. Sale / Approval Basis
Q. 82 An agreement made between two parties to pay consideration in future and in execution of sale deed is known as______
A. Sale
B. Agreement to sell
C. Hire purchase
D. None
Q. 83 The implied warranties as per sale of goods act includes_____
A. Enjoyment of undisturbed possession
B. Disclosure of dangerous nature of goods
C. Quality or fitness by usage of trade
D. All of the above
Q. 84 By transferring the property, the rights and liabilities will transfer to _____
A. Buyer
B. Seller
C. Both (a) & (b)
D. None of these
Q. 85 M sold goods to B. The payment was to be done after one month. B did not make payment. The right of lien can be exercised by M When goods are____
A. Handed over to transporters.
B. Not handed over to anyone
C. Handed over to B
D. Handed over to any one
Q. 86 Unpaid sellers sell goods to the new buyer who was in possession of the goods. The new buyer____
A. Gets good title to the goods
B. Does not get good title to the goods
C. Gets good title to the goods subject to consent of original buyer
D. None of these
Q. 87 Auction Sale completes by ______
A. Fall of Hammer
B. Acceptance
C. Offer
D. None of these
Q. 88 Sharing of profits is _____________ evidence of partnership.
A. Conclusive
B. Non – Conclusive
C. Confirmative
D. Collaborative
Q. 89 A was an employee in a partnership firm with a salary of Rs.50,000 per month and he will get a share of 30% in profits if the profits of the firm exceed Rs.5 lakhs. Now ‘A’ is called _____
A. Partner of the firm
B. Not a partner of the firm
C. He cannot take share in profits
D. is not entitled to any salary
Q. 90 What is executed consideration?
A. An act in return of positive promise
B. An act in return of a proposal
C. A condition of the fulfillment of other’s promise
D. None of the above
Q. 91 The person who represents himself as a partner in a firm is called _________
A. Sleeping Partner
B. Partner by holding out
C. Sub – Partner
D. Co – Owner
Q. 92 Partnership at will means
A. No duration period is fixed
B. Dissolved at the will of the creditors
C. Dissolved at the will of the debtors
D. None of the above
Q. 93 On dissolution of a firm all assets are transferred to realization account at ____
A. Book value
B. Market value
C. Both (a) or (b)
D. None
Q. 94 Partners should attend ______ to his duties.
A. Diligently
B. Sincerely
C. Systematically
D. Efficiently
Q. 95 A, B, C were partners in a partnership firm. “A paid the liability of the firm without having authority. What the other partners will do?
A. Can ratify or disclaim the transaction
B. Can’t ratify the transaction
C. Ignore the transaction
D. None of these
Q. 96 Retiring Partner will be liable till _____
A. After Retirement
B. Before Retirement
C. Both (a) & (b)
D. None of these
Q. 97 A retiring partner is entitled to profits of the firm?
A. Up to 31st March
B. When last accounts is made up
C. up to retirement date
D. Not entitled to any profit.
Q. 98 When a partner of a firm is adjudicated as an insolvent, he ceases to be a partner as _______
A. On the date of order of adjudication
B. On the date of dissolution
C. On the date of information of insolvency
D. Decided by Indian partnership firm.
Q. 99 On which of the following grounds all or any one of the partner can apply to the court for dissolution,
A. Perpetual losses
B. Unsound mind of a partner
C. Misconduct
D. All of these
Q. 100 The loss arising out of partners insolvency shall be borne by ____________ according to Garner Vs Murray case
A. Insolvent partner’s estate will be liable
B. Solvent partners will bring cash
C. All the partners in profit & loss sharing ratio
D. Insolvent partner will not be liable
Session – II
Part A – General Economics
Q. 101 Inductive and deductive methods are complementary. This statement is _____
A. Absolutely correct
B. Partially correct
C. Absolutely wrong
D. Partially wrong
Q. 102 Free market economy driving force is____
A. Profit motive
B. Welfare of the people
C. Rising incomes and level of living
D. None of the above
Q. 103 A system of economy in which all means of production are owned and controlled by private individuals for the purpose of profit is called ______________
A. Socialistic economy
B. Capitalistic economy
C. Mixed economy
D. All of the above
Q. 104 Economics is neutral between ends said by
A. Robbins
B. Mrs.Joan Robbinson
C. Alfred Marshall
D. AC Pigou
Q. 105 In which of the following cases opportunity cost will apply.
A. Resources have alternative uses
B. Resources have limited uses
C. Resources have no uses
D. None of these
Q. 106 Goods are Perfect complementary then IC curve is _______________
A. L – shaped
B. U – shaped
C. Straight Line
D. None
Q. 107 Marshallian utility analysis is known as ___ analysis.
A. Cardinal
B. Ordinal
C. Classical
D. Historical
Q. 108 Given AR=5, Elasticity of demand =2 find MR
A. 2.5
B. -2.5
C. 1.5
D. 2.0
Q. 109 Price is fallen by 20% brings above 10% fall in quantity supplied then elasticity of supply is___
A. 2.0
B. 0.5
C. 1.0
D. 1.5
Q. 110 What will be the price elasticity if original price is Rs=5, original quantity is 8 units and changed price is Rs=6 changed quantity is 4 units?
A. 2.5
B. 2.0
C. 1.5
D. 1.0
Q. 111 The original price of commodity is Rs.500 and quantity demanded is 20 kgs. If price rises to Rs.750 and quantity demanded reduces to 15 kgs, price elasticity of demand is _____
A. 0.25
B. 0.50
C. 1.00
D. 1.50
Q. 112 If marginal rate of substitution is increasing then shape of indifference curve is _____________
A. Concave
B. Convex
C. L – shaped
D. None of these
Q. 113 Which function of money states that goods and services are measurable in terms of money?
A. Medium of Exchange
B. Unit of accounts
C. Standard of deferred payment
D. None of these
Q. 114 Direct costs are ________
A. Traceable costs
B. Indirect costs
C. Implicit costs
D. Explicit costs
Q. 115 External economies can be achieved through
A. Foreign trade only
B. Extension of transport & transport credit facility
C. Superior managerial skills
D. External assistance
Q. 116 Suppose the total cost of production of a commodity X is Rs.1,25,000 out of which implicit cost 35,000 and normal profit is 25,000. What would be the explicit cost of commodity?
A. 90,000
B. 65,000
C. 1,00,000
D. 60,000
Q. 117 Which of the following is the reason of the working of law of increasing returns?
A. Fuller utilization of fixed factor
B. Indivisibility of factor
C. Greater specialization of factor
D. All of the above
Q. 118 Which curve is downward sloping and does not touch the X – axis?
A. AVC
B. MC
C. ATC
D. AFC
Q. 119 External Diseconomies may lead to ____
A. Decrease in cost of technology
B. External Assistance
C. Increase in the price of factors of production
D. None of the above
Q. 120 The upper part of kinked demand curve is___
A. Elastic
B. Inelastic
C. Perfectly Elastic
D. Unitary Elastic
Q. 121 Under monopoly which of the following are correct
A. AR & MR both are downward sloping
B. MR lies half way between AR & Y axis
C. MR can be zero or negative
D. All of the above
Q. 122 Short run price is also known as:
A. Market price
B. Showroom price
C. Maximum retail price
D. None of these
Q. 123 Price under perfect competition is determined by _______
A. Firm
B. Industry
C. Government
D. Society
Q. 124 Non-price competition is popular in which market from?
A. Monopoly market
B. Oligopoly market
C. Monopolistic competition
D. Perfect competition
Q. 125 Which of the following measure is not related to tenency reforms?
A. Regulation of rent
B. Security of tenants
C. Conferment of ownership rights on tenants
D. Consolidation of holdings
Q. 126 Equilibrium price is where _______
A. Market supply and market demand are equal
B. Firm supply and market demand are equal
C. Firm demand and market supply are equal
D. None of these
Q. 127 Objective of RRB’s is____________.
A. Providing credit to farmers and villagers.
B. To monitor the activities of all banks in agriculture.
C. Link between rural banks.
D. To sponsor the rural development programmes of government
Q. 128 In disguised unemployment marginal productivity of labour becomes.
A. Zero
B. One
C. Infinite
D. Doubles
Q. 129 Pradhana Mantri Bharat Jodo Pariyojana is related to _______
A. Communication
B. Social integration
C. Linking of rivers
D. Highways developing
Q. 130 You are the factory owner and have given employment to 400 workers. If 10 workers are retrenched by you without loss of production then this situation be described as _____
A. Open unemployment
B. Disguised unemployment
C. Frictional unemployment
D. Seasonal unemployment
Q. 131 The difference between the GDPMP and GNPMP is _______
A. Net factor income from abroad
B. Depreciation
C. Net income
D. None of these
Q. 132 GDPFC = GDPMP – ________ + Subsidies
A. Indirect taxes
B. Depreciation
C. NFIA
D. None
Q. 133 FDI upto ________ is being allowed in defense production.
A. 26%
B. 49%
C. 74%
D. 51%
Q. 134 The difference between the value of a nation’s visible exports and visible imports is called___
A. Balance of trade
B. Balance of payments
C. Balance of current account
D. Balance of capital account
Q. 135 To reduce the value of domestic currency in terms of foreign currency is known as____
A. Appreciation
B. Devaluation
C. Depreciation
D. None of above
Q. 136 Which of the following suffer due to inflation.
A. Debtors
B. Creditors
C. Businessman
D. Owners of real assets
Q. 137 Purchasing power of money fall when
A. Price level increases
B. Price level decreases
C. Income level increases
D. Money supply falls
Q. 138 A situation when prices persistently rise because of growing factor costs is known as__
A. Demand pull inflation
B. Cost push inflation
C. Stagflation
D. Inflation
Q. 139 Which of the following is not a current account transaction?
A. Export receivable
B. Insurance
C. Dividend
D. External commercial borrowings
Q. 140 What was the primary objective of disinvestment?
A. Increase the efficiency and optimum utilization of resources in public sector units
B. Increase the share of private sector units
C. To cover government debts
D. None
Q. 141 EXIM bank was started on _____
A. 1972
B. 1988
C. 1982
D. 1998
Q. 142 Which one of the following is not an objective of RBI.
A. Economic Stability
B. Issue of currency
C. Advancing loans to public
D. Maintenance of foreign exchange reserves
Q. 143 NABARD was established under the Recommendation of ______
A. Public accounts committee
B. Shivaraman Committee
C. Narasimham Committee
D. None of the above
Q. 144 The objectives of Monetary Policy?
A. Price Stability
B. Exchange rate Stability
C. Employment Generation
D. All of these
Q. 145 Banking Ombudsman means
A. Person appointed to recover dues from defaulting borrowers
B. A person to whom customers can approach for redressal of their grievances
C. A reason appointed to settle disputes between employees and management
D. A person appointed by RBI to oversee the functioning of foreign banks
Q. 146 Control of credit by central bank
A. Issue of directives
B. Direct action
C. Moral suasion
D. All of the above
Q. 147 Indifference curve is convex slope, the reason is ____
A. Increasing Marginal rate of substitution
B. Constant Marginal rate of substitution
C. Diminishing Marginal rate of substitution
D. None of the above
Q. 148 Which of the following is not a qualitative measure of credit control
A. Rationing of credit
B. Change in cash reserve ratio
C. Publicity and notification
D. Regulation of consumer credit
Q. 149 Which is the static function of money
A. As a medium of exchange
B. As a unit of account
C. As standard of deferred payment
D. All of these
Q. 150 Bank rate means ________
A. The rate at which central bank discounts the bills of commercial banks
B. Portion of total deposit that a commercial bank has to keep with central bank
C. Rate of savings deposits
D. None of the above
Part B – Quantitative Aptitude
Q. 151 Triplicate ratio of 4 : 5 is
A. 125 : 64
B. 16 : 25
C. 64 : 125
D. 120 : 46
Q. 152 The mean proportion between 24 and 54 is __
A. 33
B. 34
C. 35
D. 36
Q. 153 If (log√x 2)^2 = logx 2 then x =
A. 16
B. 32
C. 8
D. 4
Q. 154 In the co-ordinate plane the points in order (1, 1), (4, 4), (4, 8), (1, 5) forms__________
A. Rhombus
B. Square
C. Rectangle
D. Parallelogram
Q. 155 In the co-ordinate plane, if the points (1, 3), (-2, 1) & (k, -1) are collinear then the value of ‘k’ is _______
A. 0
B. -5
C. 4
D. 7
Q. 156 If α, β are roots of x^2 + 7x +12 = 0 then the equation whose roots are (α + β)^2 &(α − β)^2 is _________
A. x^2 − 54x + 245 = 0
B. x^2−14x + 49 = 0
C. x^2 − 24x +144 = 0
D. x^2− 50x + 49 = 0
Q. 157 The union forbids the employer to employ less than 2 experienced persons (x) to each fresh person (y). This situation can be expressed as
A. x ≤ y/2
B. y ≤ x/2
C. y ≥ x/2
D. none
Q. 158 The difference between CI and SI on a certain sum of money for 2 years at 4% per annum is Rs. 1. The sum is
A. 625
B. 630
C. 640
D. 635
Q. 159 If the sum of money when compounded annually become 1140 in 2 years and 1710 in 3 years at rate of interest
A. 30%
B. 40%
C. 50%
D. 60%
Q. 160 The total number of shake hands in a group of 10 persons to each other are________.
A. 45
B. 54
C. 90
D. 10
Q. 161 A regular polygon has 44 diagonals then the no. of sides are _______
A. 8
B. 9
C. 10
D. 11
Q. 162 In how many ways the word “ARTICLE” can be arranged in a row so that vowels occupy even places?
A. 132
B. 144
C. 72
D. 160
Q. 163 In an A.P. if Sn = 3n^2 – n and its common difference is ‘6’ then first term is ______
A. 2
B. 3
C. 4
D. 6
Q. 164 In an A.P. if the sum of 4th & 12th terms is ‘8’ then sum of first 15 terms is _______
A. 60
B. 120
C. 110
D. 150
Q. 165 There are ‘n’ AMs between 7 & 71 and 5th AM is 27 then ‘n’ = ______
A. 15
B. 16
C. 17
D. 18
Q. 166 In a G.P. the 6th term is 729 and the common ratio is 3 then 1st term is ____
A. 2
B. 3
C. 4
D. 7
Q. 167 If f(x) = x+2, g(x) = 7^x then gof (x)=
A. 7^x . x + 2.7^x
B. 7^x+2
C. (7^x) + 2
D. none
Q. 168 If f(x) = log (1 + x)/(1 – x) then f (2x)/(1 + x^2) =
A. f(x)
B. 2 f(x)
C. 3 f(x)
D. -f(x)
Q. 169 If A = {1, 2, 3} then the relation R={(1, 1), (2, 3), 2, 2), (3, 3), (1, 2)} on A is:
A. Reflexive
B. Symmetric
C. Transitive
D. Equi-valence
Q. 170 Evaluate the equation given in figure:
A. 1
B. 2
C. ∞
D. 0
Q. 171 Find the value of equation given in figure:
A. -3
B. 0
C. 2
D. 4
Q. 172 If y = log yx then dy/dx =
A. 1/x+log y
B. 1/x+xlog y
C. 1/1+xlog y
D. 1/y+log x
Q. 173 y = e^t and x = log t then dy/dx =
A. 1/t
B. t . e^t
C. -1/t^2
D. None of these
Q. 174 Find the value of the equation given in figure (1):
A. [log 2e]^n + 1/ n+1
B. [log 2e]^n+1/n+1 – loge/n+1
C. [log2e – log2]^n+1/n+1
D. None of these
Q. 175 ∫ 2^3x . 5^x . 3^2x dx =
A. (2^3x . 3^2x . 5^x) / log720 + c
B. (2^3x . 3^2x . 5^x) / log360 + c
C. (2^3x . 3^2x . 5^x) / log90 + c
D. (2^3x . 3^2x . 5^x) / log180 + c
Q. 176 Which of the following measures of central tendency cannot be shown by graphical method?
A. Mean
B. Median
C. Mode
D. Quartiles
Q. 177 GM of 8, 4, 2 is _______
A. 4
B. 2
C. 8
D. None
Q. 178 A pie diagram used to represent the data given in figure (1).The central angles corresponding to income and wealth tax
| Source | Customer | Excise | Income Tax | Wealth Tax |
| Revenue in Millions | 120 | 180 | 240 | 180 |
A. (90°, 120°)
B. (120°, 90°)
C. (60°, 120°)
D. (90°, 60°)
Q. 179 The average age of 15 students is 15 years. Out of these the average age of 5 students is 14 years and that of other 9 students is 16 years, then the age of 15th student is ______
A. 11 years
B. 14 years
C. 15 years
D. None of these
Q. 180 Σx^2 =3390 , n = 30, σ=7 then = ______
A. 113
B. 210
C. 8
D. None
Q. 181 If the mean of frequency distribution is 100 and coefficient of variation is 45% then standard deviation is ______
A. 45
B. 0.45
C. 0.045
D. None
Q. 182 Two variables X and Y are related as 4x + 3y = 7 then correlation between x and y is ______
A. Perfect positive
B. Perfect negative
C. Zero
D. None of these
Q. 183 If r is the Karl Pearson’s coefficient of correlation in a bivariate distribution, the two regression lines are at right angles when _
A. r = ±1
B. r = 0
C. r =± ∞
D. None
Q. 184 8x − 3y + 7 = 0, 14x − 7y + 6 = 0 are two regression equations then the correlation coefficient, r = _____
A. 0.86
B. -0.86
C. 0.45
D. -0.45
Q. 185 If r = 0.28, Cov (x,y) = 7.6, V (x) = 9 then σy =
A. 8.75
B. 9.04
C. 6.25
D. None
Q. 186 The odds that a book will be reviewed favorably by 3 independent critics are 5 to 2, 3 to 4, 4 to 3 respectively, then the probability that out of 3 critics the majority will be favorable is ______
A. 209 / 343
B. 209 / 434
C. 209 / 443
D. 209 / 350
Q. 187 Find the probability of drawing spade on each of 2 consecutive draws from a well shuffled pack of cards when the draws are without replacement.
A. 2 / 51
B. 3 / 51
C. 4 / 51
D. 5 / 51
Q. 188 A bag contains 2 red, 3 green and 2 blue balls. If 2 balls are drawn at random from the bag find the probability that none of them will be blue.
A. 11 / 21
B. 5 / 7
C. 10 / 21
D. 2 / 7
Q. 189 A player tosses 3 coins. He wins Rs. 5 if 3 heads appear, Rs. 3 if two heads appear, Rs. 1 if one head appear and a loss of Rs. 15 if no head appear. Find his expected gain in Rs. _______
A. 0.5
B. 0.25
C. 0.2
D. None
Q. 190 Which of the following is false in case of normal distribution.
A. It is multi model
B. mean = median = mode
C. It is symmetric
D. Total area is 1
Q. 191 If x ~ B (5, p) and p (x = 2) = 0.4362 and p (x = 3) = 0.2181 then p =
A. 3/4
B. 1/3
C. 2/3
D. 1/4
Q. 192 In a Poisson distribution
A. Mean & SD are equal
B. Mean, variance are equal
C. SD & variance are equal
D. both (a) and (b)
Q. 193 In Binomial Distribution mean is 4 and variance is 3. Find the mode?
A. 4
B. 4.25
C. 4.5
D. 4.1
Q. 194 In a normal distribution the relation between QD and SD is ______
A. 3 QD = 2 SD
B. 3 SD = 2 QD
C. 4 QD = 3 SD
D. None of these
Q. 195 99% confidence limits of population mean are ______
A. x̅ ± 1.96SE
B. x̅ ± 2.58SE
C. x̅ ± 3 SE
D. None
Q. 196 A sampling technique providing separate estimates for population means for different segments and also an overall estimate is _____
A. Stratified sampling
B. Random sampling
C. Systematic sampling
D. None of these
Q. 197 The probability of selecting a sample of size n from a population of size N by simple random sampling with replacement is ___
A. 1/N
B. 1/N^n
C. 1/Ncn
D. 1/Ncn . n!
Q. 198 Time Reversal Test is satisfied by ______
A. Fisher’s Ideal Index
B. Drobish Bowley’s Index
C. Laspeyer’s Index
D. None of these
Q. 199 Bowley’s Index Number = 150, Laspeyer’s Index = 180 then Paasche’s index number is __
A. 120
B. 30
C. 105
D. None
Q. 200 In 2005 price index was 286% with base 1995 then how much price increased in 2005 with base 1995?
A. 286%
B. 386%
C. 86%
D. 186%
| Answer Sheet | ||||||||||
| Question | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 |
| Answer | C | C | D | B | D | B | D | B | D | A |
| Question | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 |
| Answer | D | C | A | C | B | B | A | A | B | B |
| Question | 21 | 22 | 23 | 24 | 25 | 26 | 27 | 28 | 29 | 30 |
| Answer | B | C | C | B | C | C | B | C | C | C |
| Question | 31 | 32 | 33 | 34 | 35 | 36 | 37 | 38 | 39 | 40 |
| Answer | A | B | D | A | C | B | C | C | A | C |
| Question | 41 | 42 | 43 | 44 | 45 | 46 | 47 | 48 | 49 | 50 |
| Answer | C | B | D | B | D | B | A | D | B | A |
| Question | 51 | 52 | 53 | 54 | 55 | 56 | 57 | 58 | 59 | 60 |
| Answer | B | B | C | A | B | D | A | D | C | B |
| Question | 61 | 62 | 63 | 64 | 65 | 66 | 67 | 68 | 69 | 70 |
| Answer | D | B | A | B | D | D | A | A | B | D |
| Question | 71 | 72 | 73 | 74 | 75 | 76 | 77 | 78 | 79 | 80 |
| Answer | C | D | B | A | C | C | B | A | D | B |
| Question | 81 | 82 | 83 | 84 | 85 | 86 | 87 | 88 | 89 | 90 |
| Answer | B | B | D | A | B | A | A | B | B | A |
| Question | 91 | 92 | 93 | 94 | 95 | 96 | 97 | 98 | 99 | 100 |
| Answer | B | A | A | A | A | B | C | A | D | B |
| Question | 101 | 102 | 103 | 104 | 105 | 106 | 107 | 108 | 109 | 110 |
| Answer | A | A | B | A | A | A | A | A | B | A |
| Question | 111 | 112 | 113 | 114 | 115 | 116 | 117 | 118 | 119 | 120 |
| Answer | B | A | B | A | B | B | D | D | C | A |
| Question | 121 | 122 | 123 | 124 | 125 | 126 | 127 | 128 | 129 | 130 |
| Answer | D | A | B | C | D | A | A | A | D | B |
| Question | 131 | 132 | 133 | 134 | 135 | 136 | 137 | 138 | 139 | 140 |
| Answer | A | A | A | A | B | B | A | B | D | A |
| Question | 141 | 142 | 143 | 144 | 145 | 146 | 147 | 148 | 149 | 150 |
| Answer | C | C | B | D | B | D | C | B | D | A |
| Question | 151 | 152 | 153 | 154 | 155 | 156 | 157 | 158 | 159 | 160 |
| Answer | C | D | A | D | B | D | B | A | C | A |
| Question | 161 | 162 | 163 | 164 | 165 | 166 | 167 | 168 | 169 | 170 |
| Answer | D | B | A | A | A | B | B | B | A | A |
| Question | 171 | 172 | 173 | 174 | 175 | 176 | 177 | 178 | 179 | 180 |
| Answer | C | B | B | B | B | A | A | B | A | C |
| Question | 181 | 182 | 183 | 184 | 185 | 186 | 187 | 188 | 189 | 190 |
| Answer | A | B | B | A | B | A | B | C | B | A |
| Question | 191 | 192 | 193 | 194 | 195 | 196 | 197 | 198 | 199 | 200 |
| Answer | B | B | A | A | B | A | B | A | A | D |
