Commerce 2021 PYQs_Part 1

#1. Excess of face value over issue price of a share is called

Profit

Discount

Loss

Security premium

#2. Scalar chain principle had been given by

F.W. Taylor

Henry Fayol

Elton Mayo

Max Weber

#3. In what order do managers perform the managerial functions?

Planning, organising, controlling, directing

Organising, planning, directing, controlling

Organising, directing, planning, controlling

Planning, organising, directing, controlling

#4. On dissolution of a firm, the assets of firm are transferred to realization account at their

Book value

Market value

Realizable value

Agreed value among partners

#5. Which of the following is not included in Agricultural Income?

Income from growing flowers

Rent of Agricultural Land for agriculture work

Income from purchasing of standing crop

Income from agrigultural work

#6. When shares are forfeited, share capital account is debited by

Face value of shares

Called up amount of shares

Paid up value of shares

Unpaid amount of shares

#7. According to the Malthusian theory of population

Population increases arithmetically

Food production increases geometrically

Population increases geometrically

Both (a) and (b)

#8. With the help of following information calculate provisions for bad and doubtful debts Debtors M : Rs. 3,200 Bad to be written off; Debtors N : Rs. 8,000 expeected to realise only 70% ; Debtors O : Rs. 6,000 expected to realise only 60% ; Debtors P : Rs. 4,000 financial condition very poor, no recovery is likely

Rs. 8,800

Rs. 12,000

Rs. 4,800

Rs. 4,000

#9. On 31st March, 2019, total debtors are Rs. 25,000 and bad debts are Rs. 1,000 so if rate of discount on debtors is 2% and rate of provision for bad debts is 5% then the amount of discount on debtors will be

Rs. 456

Rs. 475

Rs. 480

Rs. 500

#10. Collection from debtors

Decreases current ratio

Increases current ratio

Has no effect on current ratio

Improves the solvency ratio

#11. The form of organisation in which expert assistance is available to line managers is called

Line Organisation

Committee Organisation

Functional Organisation

Line and Staff Organisation

#12. Inventory turnover ratio is

Activity Ratio

Profitability Ratio

Solvency Ratio

Liquidity Ratio

#13. Which among the following is not a technique of Business Forecasting?

Time Series Analysis

Variance Analysis

Regression Analysis

Input-output Analysis

#14. Security premium is a

Capital receipt

Revenue receipt

Personal receipt

Current liability

#15. Break-Even Point is

Where total revenue equals total costs

Where total revenue equals total fixed cost

Where total revenue equals total variable cost

Where total revenue exceeds the total costs

#16. From the following details calculate the taxable income of 'A' assuming that he is a 'Not Ordinarily Resident' i. Received Rs. 1000 in India, which accrued in England. ii. Rs. 6000 was untaxed foreign income of some earlier years which was brought to India during previous year. iii. Rs. 2,000 earned in India but received in England. iv Rs. 10,000 earned and received in Africa but brought to India.

Rs. 19,000

Rs. 12,000

Rs. 9,000

Rs. 3,000

#17. The cause of increase in cost per unit under process costing is

Abnomal wastage

Normal wastage

Abnormal gain

Normal gain

#18. The bad debts that have been written off, if recovered subsequently then they are credited to

Debtors account

Sales account

Trading account

Profit and loss account

#19. Convert the annual trend equation "Y = 30 + 3.6x" into monthly trend equation

Y = 2.5 + 0.3x

Y = 2.5 + 0.025x

Y = 30 + 0.3x

Y = 2.5 + 3.6x

#20. The process of selecting a course of action out of alternative courses to solve a problem is known as

Planning

Decision Making

Directing

Controlling

#21. If prime cost is Rs. 20,000; factory overheads are 25% of prime cost and office overheads are 80% of factory overheads then the office cost would be

Rs. 25,000

Rs. 29,000

Rs. 36,000

Rs. 45,000

#22. The measure based on each value of series is

Range

Standard deviation

Quartile deviation

Inter-Quartile deviation

#23. If total production increases with the increases in variable factor, it is called

Law of constant return

Law of diminishing return

Law of increasing return

Law of supply of production

#24. Which of the following statements is not correct?

Managerial accounting and cost accounting both are complementary to each of the in nature

Managerial accounting is concerned with the accounting information that is useful to management

Managerial accounting includes details of quantitative information only

Managerial accounting depends on cost accounting

#25. In case of three attributes the total number of classes will be

27

9

12

3