101. Commercial paper may be issued for a period of
(A) Not exceeding one year
(B) Not exceeding three years
(C) 91 days to 6 months
(D) None of these
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102. Which of the following is least expensive form of promotional activity ?
(A) Advertisement in Newspaper
(B) Publicity
(C) Door to Door Canvassing
(D) Participation in exhibition
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103. Which stage is followed after growth in the product life cycles ?
(A) Decline
(B) Maturity
(C) Introduction
(D) None of these
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104. Business with weak market share in low growth market are called
(A) Question Mark
(B) Stars
(C) Cash Cow
(D) Dogs
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105. A debt written off as bad on subsequent recovery would constitute a
(A) Loss
(B) Loss averted
(C) Profit
(D) Bonus
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106. Under which of the following method of Depreciation the balance does not reduce to zero ?
(A) Annuity method
(B) Original cost method
(C) Diminishing balance method
(D) Sum of years digit method
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107. A standard established to be used unaltered for a long period of time is called
(A) Expected standard
(B) Normal standard
(C) Basis standard
(D) None of these
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108. Cost volume profit analysis is most important for the determination of the
(A) Volume of operations necessary to break even
(B) Variable revenue antecessor to equal fixed costs
(C) Relationship between revenue & costs at various levels
(D) Sales revenue necessary to equal fixed cost
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109. Calculate total sales when :
Cash sale – ₹ 20,000
Cash received from Debtors – ₹80,000
Discount allowed – ₹ 4,000
Opening Balance of Debtors – ₹ 30,000
Closing Balance of Debtors – ₹ 24,000
B/R accepted from Debtors – ₹ 6000
(A) 84,000
(B) 1,20,000
(C) 10,400
(D) 26,000
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110. Margin of Safety can be improved by
(A) Lowering fixed cost
(B) Increasing selling price
(C) Lowering variable costs
(D) All of these
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111. Margin of Safety is 28% and contribution sales ratio is 60%. The profit will be
(A) 30%
(B) 33%
(C) 12%
(D) Can’t be computed
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112. Which of the following is normally regarded as a satisfactory ratio of current assets to current liability ?
(A) 8:4
(B) 6:3
(C) 2:1
(D) All of above
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113. When shares are issued to promoters against their services, which of the following account is debited.
(A) Share Capital A/c
(B) Promoter’s A/c
(C) Cash A/c
(D) Goodwill A/c
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114. On a equity share of ₹ 10 the company has called up ₹ 8 but ₹ 7 has been received. The capital account account should be debited by ₹
(A) 7
(B) 6
(C) 8
(D) 10
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115. The minimum subscription of the company should be received within ______ days
(A) 110
(B) 120
(C) 90
(D) 130
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116. When shares are forfeited the share capital account is debited by
(A) Paid up amount
(B) Calls in arrear
(C) Nominal value of such share
(D) Called up amount
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117. Indian Accounting Standard (AS26) is related to
(A) Intangible assets
(B) Leases
(C) Borrowing costs
(D) Tangible Assets
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118. Operating Leverage can be calculated by
(A) Current Liabilities/Shareholder’s fund
(B) Contribution/ERIT
(C) Reserves / Share capital
(D) Net profit / Sales
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119. The Concept of Double Entry System was given by
(A) Lucas pacioli
(B) Marshal
(C) Peerto
(D) Kautilya
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120. How the date of Balance sheet be properly written ?
(A) Dec. 31, 2019
(B) For the year ended Dec. 31, 2019
(C) 31 Dec., 2019
(D) As on Dec. 31, 2019
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Questions number 14 and 15: answer wrong it must be 1 for 14 and -3&4 for 15