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1. The decision Of any High Court shall prevail over

subordinate courts under the High Court union territories all state High Courts throughout India

2. Which among the following is a quasi judicial body?

District court Sessions court High court District Consumer Forum

3. Functions of the Parliament is to

execute laws give justice to people make laws give punishment

4. A Bill becomes an Act on assent of

Prime Minister Cabinet Committee President of India Solicitor General

5. What is a Private Bill?

Bill introduced by a private citizen Bill introduced by a private company A Bill introduced by a member other than a minister A Bill relating affairs which are private to individual

6. In normal Course, Contract ends with

offer Proposal Promise Performance

7. A contract between one existing

valid void voidable Any of the above

8. What is minor's liability if he is a party to contract?

Minor not liable till minority Minor is personally liable Minor's property is liable None of the above

9. Contract to make a contract is

also a contract not a contract None of the above is correct Both options are correct

10. You have got a job offer to be posted at Mumbai. You write back intimating that you can join provided you are posted at Kolkata. This amounts to

rejection of the offer acceptance of the offer modification of the offer None of the above

11. Agreement with a person who is lunatic

valid void voidable None of the above

12. In case of merger of A Ltd. with B Ltd., all contracts pending with A Ltd. will

continue to be valid and to be executed by B Ltd. revoked terminated becomes illegal

13. In case of independent performance

only proposer will perform only acceptor will perform both parties shall perform their part independent of each other None of the above

14. When both parties more or less have equal rights and liabilities in a contract, it is called

bilateral Contract unilateral formal one sided

15. A job application by a person is

only an information for the job to be done offer for doing the job invitation to start the job offering his candidature

16. An understanding between two or more persons not expressly a contract, but in the nature of a contract is called

quasi contract contingent contract illegal contract formal contract

17. A contract not performed by the performer, denotes

performance breach abandonment of contract All of the above

18. A contract is valid without consideration in a case of

sale gift agency Both (B) and (C) above

19. A Contract shall not be void if it is not against

law public policy Both above None of the above

20. A wagering agreement in India is declared by the Indian Contract Act, 1872 as

illegal and void void but not illegal voidable at the option of the aggrieved party immoral

21. A sale between seller and buyer which requires goods to move from one state to another within the country will amount to

inter state sale intra state sale domestic sale export sale

22. Agreement "of sale" agreement "to sale"

precedes succeeds happens at the same time are not related

23. Delivery of car keys by seller of car to the buyer is

symbolic actual constructive None of the above

24. Delivery by the seller can be

actual delivery symbolic delivery constructive delivery Any of the above

25. Sale is not Complete unless the possession and

title ownership papers None of the above

26. When a buyer's goods are sold based on sample, the goods shall conform to

sample only description only both description and sample None

27. The doctrine of Caveat Emptor is not applicable

in the case of sale under a patent where the seller is guilty of fraud in case of sale under a trade name where the buyer relies on the skill and judgement of the seller

28. The phrase "nemo dat quad non habet"

no one having right to sell none can give something which he does not possess everybody is having different habit None of the above

29. An unpaid seller has

right of lien stoppage in transit both (A) and (B) None of the above

30. Any stipulation essential to main purpose in sales contract is called

Warranty Condition price After sale service

31. The Negotiable instruments Act was enacted in the year

1880 1881 1882 1883

32.Bank may refuse payment against against a cheque if

There is no balace in account The signature of the drawer is not matching Stop payment instructions have been received All of the above

33. In the course of negotiation, when a bill goes from one person to another, what are they called?

Transferee Transferee in due course Holders Holders in due course

34. In the case of a cheque, who is the drawee?

The account holder The person in whose favor the cheque is issued The bank None of the above

35. If a minor draws, endorses, delivers, or negotiates an instrument, how does such an instrument bind the parties involved?

All parties to the instrument except the minor All parties to the instrument including the minor Only the minor and not other parties to the instrument None of the above

36. Upon the dishonor of a cheque, under which section of The Negotiable Instruments Act can the payee initiate legal action?

137 138 175 180

37. In the case of a cheque, is acceptance by the drawee:

Required Not required Required if the payee wants Required if the drawer wants

38. If a bill of exchange is payable after sight, is acceptance:

Necessary Not necessary Dependent on the drawee None of the above

39. In the case of a promissory note, is the date:

Not required Required At the wish of the drawer None of the above

40. What are documents that are not specifically mentioned as negotiable instruments under the Act but are transferable as per trade called?

Quasi negotiable instruments Not negotiable instruments Not considered as documents Semi negotiable instruments

41. Which of the following is considered a trial presentation?

Seminars/Conferences Presentation before clients for business Presentation before teachers for practice All of the above

42. Which of the following is considered non-communication?

Facial expression Eye contact Gesture All of the above

43. Which of the following is/are constituents of the 7 C's of communication?

Completeness Clarity Concreteness All of the above

44. Horizontal communication takes place between:

Employees of the same status Executives and subordinates Both (A) and (B) None of the above

45. Which of the following types of communication has no interaction from the audience?

Speech Debate Discussion Deliberation

46. A communication shall be considered complete when:

Listeners raise queries Listeners are satisfied People don't listen People don't understand

47. Communication between a lawyer and a client is:

Internal and confidential External and non-confidential Personal Internal, professional, and confidential

48. Nowadays, mass communication is primarily through:

Print media Direct communication Telephonic communication Digital mode

49. Proper grammar falls under which C of communication?

Coherence Completeness Correctness Courteous

50. Formal communication should be:

Only verbal Only through email Telephonic Any mode that is recordable for future reference

51. Expense incurred to obtain a license for starting a new factory is ____ expenditure.

Capital Revenue Deferred Revenue Prepaid

52. The framework of accounting pillars consists of:

2 3 4 5

53. Which of the following relationships is correct?

Assets = Liabilities - Equity Assets = Equity - Liabilities Assets = Liabilities + Equity Equity = Liabilities - Assets

54. Ledger Folio (L.F.) column in the Journal is filled at the time of:

Journalising Posting Casting Balancing

55. The total of the discount column appearing on the debit side of the Triple Column Cash Book is posted to the:

Credit of Discount Allowed A/c. Debit of Discount Received A/c. Debit of Discount Allowed A/c. Credit of Discount Received A/c.

56. A cheque received from a debtor for ₹22,400 has been recorded as ₹24,200 in the Cash Book, while the bank has credited ₹22,400. What adjustment should be made?

₹1,800 is to be deducted. ₹22,400 is to be deducted. ₹1,800 is to be added. ₹46,600 is to be added.

57. Which of the following statements about the Trial Balance is not true?

It is mandatorily prepared. It is a part of the books of accounts. It proves accounting accuracy. All of the above.

58. Goods worth ₹24,000 taken by the proprietor for personal use should be debited to the ____ account.

Debtors Drawing Capital Purchases

59. The sale of office furniture has been credited to the Sales Account. This is an:

Clerical error. Error of principle. Misposting error. Compensating error.

60. Obsolescence means a decline in value due to:

Physical wear and tear. Fall in market price. Efflux of time. Change in taste, fashion, etc.

61. In a consignment, the Account Sales is sent by:

Consignor Banker Consignee Customer

62. On March 1, 2024, Hardik of Ahmedabad consigned 300 bales of cotton to Kartick of Coimbatore (costing ₹1,50,000) to be sold at an invoice price of 25% profit on sales. By what amount should the Consignment to Coimbatore Account be credited to account for the loading on goods sent on consignment?

₹1,12,500 ₹37,500 ₹1,87,500 ₹50,000

63. On January 1, 2024, Kalpit draws a bill worth ₹3,00,000 on Shivam for 3 months. Kalpit got the bill discounted on January 10, 2024, @ 12% p.a. What is the amount of discount on the bill?

₹36,000 ₹27,000 ₹18,000 ₹9,000

64. When a bill of exchange is honored on the maturity date, in the books of the drawee, ____ is to be debited.

Drawer’s Account Bills Payable Account Bills Receivable Account Bank Account

65. What will be the accounting entry for goods taken over by a co-venturer if a separate set of books is maintained?

Debit: Goods A/c; Credit: Co-Venturer's A/c Debit: Co-Venturer's A/c; Credit: Joint Venture A/c Debit: Joint Bank A/c; Credit: Joint Venture A/c Debit: Joint Venture A/c; Credit: Co-Venturer's A/c

66. Joint Venture Account is of the nature of:

Personal Account Real Account Nominal Account Artificial Personal Account

67. The Memorandum Joint Venture Account is prepared to:

Ascertain profit/loss of the venture. Ascertain the amount due from a co-venturer. Ascertain the amount due to a co-venturer. Ascertain the amount of final remittance.

68. Work-in-progress gets reflected in which of the following components of the financial statement of a manufacturing-cum-trading organization?

Manufacturing A/c Profit & Loss A/c Trading A/c Both (A) and (B)

69. The balance of the Depreciation on Plant Account appearing in the Trial Balance will be:

Debited to Trading A/c only. Debited to Profit & Loss A/c only. Debited to Trading A/c & also deducted from Plant A/c in the Balance Sheet. Debited to Profit & Loss A/c & also deducted from Plant A/c in the Balance Sheet.

70. An asset having physical existence is known as:

Current asset Non-current asset Tangible asset Intangible asset

71. In Arjun’s garment business for the year 2023-24, the value of stock-in-trade on 01.04.2023 and 31.03.2024 were ₹2,50,000 and ₹2,00,000 respectively; Purchases during the year were ₹9,50,000; Rate of Gross Profit is 30% on the Cost of Goods Sold. What is the Sales for the year 2023-24?

₹13,00,000 ₹13,60,000 ₹12,70,000 None of the above

72. An amount of donation received by a charitable organization for a specific purpose is a:

Revenue receipt Capital receipt Asset Liability

73. The income statement of a non-profit organization is:

Balance Sheet Income & Expenditure A/c Profit & Loss A/c Receipts & Payments A/c

74. A social club received a Subscription worth ₹1,19,000 in cash during the year 2023-24. Given the following details, ascertain the amount to be credited to the Income & Expenditure A/c:

Arrear Subscription: On March 31, 2023 - ₹23,000, On March 31, 2024 - ₹17,000.

₹1,25,000 ₹1,59,000 ₹1,13,000 ₹79,000

75. The Receipts & Payments Account of a non-profit organization is by nature a:

Income Statement Nominal Account Personal Account Real Account

76. All revenue receipts and expenditure are shown in:

Balance Sheet Statement of Affairs Cash Flow Statement Trading and Profit & Loss Account

77. If opening capital is ₹18,00,000, closing capital is ₹22,00,000 and drawings are ₹8,00,000, what is the amount of profit or loss?

₹12,00,000 ₹10,00,000 ₹14,00,000 ₹8,00,000

78. Noting charges paid by the holder of the bill are to be reimbursed by the:

Holder; Drawer Holder; Acceptor Drawer; Payee Holder; Payee

79. The amount of yearly depreciation under the written-down value method:

Remains the same over the years Increases year by year Fluctuates every year Decreases year by year

80. Which of the following is/are the basic objective(s) of accounting?

Systematic recording of transactions Determination of the operating results Ascertainment of the financial position of the business All of the above

81. If the incomes are ₹27,500 and the deficit debited to the capital fund is ₹2,600, then the expenditures are:

₹2,600 ₹27,500 ₹24,900 ₹30,100

82. What is the value of sundry creditors at the end of the year, when opening sundry creditors is ₹19,000, cash paid to sundry creditors is ₹54,800, discount received is ₹1,000, and credit purchases are ₹61,200?

₹25,400 ₹13,600 ₹26,400 ₹24,400

83. In an overdraft balance as per Cash Book, a cheque of ₹3,655 deposited into the bank but not recorded in the Cash Book is:

Deducted by ₹3,655 Added by ₹3,655 Added by ₹7,310 Deducted by ₹7,310

84. Life membership fees received by a club is:

Capital expenditure Capital receipt Revenue receipt None of the above

85. Sales Return Book is a:

Part of Journal Part of Ledger Part of Financial Statements None of the above

86. CAS 7 deals with:

Material Cost Employee Cost Production and Operation Overhead Pollution Control Cost

87. Which method of costing is appropriate for the pharmaceutical industry?

Process Costing Contract Costing Job Costing Operating Costing

88. In case of _____ costing, the main objective is to ascertain costs that have been incurred in the past.

Absorption Direct Historical Standard

89. Which is the appropriate cost unit for the cement industry?

Tonne-Km Metric Tonne Megawatt None of the above

90. _____ is a device for breaking up costs into smaller sub-divisions attributable to products or services.

Cost Centre Cost Object Cost Unit Cost Driver

91. Which of the following is the classification of costs by 'function'?

Fixed cost, Variable cost, Semi-variable cost Material cost, Employee cost, Expenses Production cost, Administration cost, Selling & Distribution cost, Research & Development cost Direct cost, Indirect cost

92. Cost Accounting Standards are issued by:

Cost Accounting Standards Board The Institute of Cost Accountants of India Cost Accounting Standards Committee Cost Accounting Standards Forum

93. Calculate the value of closing inventory of finished goods from the given data: Cost of Goods Sold is ₹3,60,000, Cost of Production is ₹3,40,000 and the value of opening inventory of finished goods is ₹1,80,000.

₹3,20,000 ₹1,60,000 ₹3,80,000 ₹2,00,000

94. _____ overheads are the costs incurred in handling a product/service from the time it is ready for dispatch or delivery until it reaches the ultimate consumer.

Production Administration Selling Distribution

95. _____ costs are by nature hypothetical or notional costs.

Imputed Sunk Opportunity Relevant

96. Chargeable Expenses are also known as:

Indirect Expenses Production Overheads Overheads Direct Expenses

97. _____ is the value of the best alternative course of action that was not chosen.

Sunk Cost Imputed Cost Out-of-Pocket Cost Opportunity Cost

98. Batch costing is followed in:

Toy manufacturing Interior decoration Chemical industry Road transport industry

99. Variable Costs are fixed:

For a period Per unit Depending upon the entity For a particular process of production

100. Direct material and direct wages are ₹2,32,000 and ₹2,05,000 respectively. If the factory overheads are 60% of direct wages, then the factory cost will be:

₹5,60,000 ₹7,78,667 ₹5,46,667 ₹4,37,000

Dec 24 Attempt Session 1

[Choose your options carefully. The MCQ will be automatically submitted once the timer ends, your results will be displayed at the conclusion of the session]

Bussiness Law

Financial & Cost Accounting