Accounts Imp
Accounts Imp
(A) AS – 10
(B) AS – 12
(C) AS – 24
(D) AS – 26
Answer: AS – 26
Impairment of Assets
Recording of capital contributed by the owner as liability ensures the adherence of principle of–
(A) Consistency
(D) Materiality
(A) BPOs
(C) NPAs
(D) CBS
See Answer:
The minimum number of members required for registration of a cooperative society are–
(A) Two
(B) Seven
(C) Ten
(D) Twenty
Answer: Ten
Insurable interest must be present at the time of insurance proposal and payment of claims in–
A machinery is purchased for Rs. 3,00,000 and Rs. 50,000 is spent on its installation. Rs. 5,000 is spent on
What will be the amount of capital expenditure ?
(A) America
(B) Japan
(C) India
(D) Italy
Answer: Italy
Which of the following companies do not have the obligation to get its Articles of Association registered
along with the Memorandum of Association ?
Unlimited companies
To the Registrar of Cooperative Societies of the State concerned and a copy to the society
The accounts of a charitable trust can be audited by any person who belongs to accountancy
profession
(c) A combination of Profit and Loss Account and Balance Sheet items
Every limited Company in Pakistan is required by law to include the following along with financial
reports:
Verification includes:
a. Checking Vouchers
(a) True
(b) False
Sugar used in a sugarcane company is:
(a) True
(b) False
Principal and markup payment within one year constitutes long term liability for disclosure in the
balance sheet of a company.
(a) True
(b) False
Ordinarily one can have the following partners in a partnership in Pakistan under the Partnership Act
1932.
(a) 10
(b) 20
(c) 30
(a) True
(b) False
Income from Capital gains arising out of trading on a stock strange in Pakistan is taxable these days:
(a) True
(b) False
Deferred cost is a:
(a) Liability
(b)Asset
(c) A combination of Profit and Loss Account and Balance Sheet items
(a) Inflows
(b) Outflows
Maximum number of partners in a partnership firm set up in Pakistan under Partnership Act, 1932 is:
(a) 5
(b) 25
(c) 20
(a) No law
(a) Liability
(b) Asset
(b)Management chart
(c) Budget
(c) Part of the factory overhead system by which costs are gathered
At break-even point of 400 units sold the variable costs were Rs. 400 and the fixed costs were Rs.200.
What will be the 401 units sold contributing to profit before income tax?
In considering a special order situation that will enable a company to make use of currently idle capacity,
which of the following cost will be irrelevant:
(a) Materials
(b) Depreciation
A fixed cost:
(a) May change in total when such change is not related to changes in production
(b) Will not change in total because it is not related to changes in production
(d) May change in total, depending on production with the relevant range
Expenses such as rent and depreciation of a building are shared by several departments these are:
(a) Indirect expenses
(b) Direct expenses
(c) Joint expenses
(d) All of the above
(e) None of these
If under applied FOH is closed to cost of goods sold, the journal entry is:
(a) DR Cost of goods sold …….. CR FOH control
(b) DR FOH control ……..……….. CR Cost of goods sold
(c) DR FOH control ……..……….. CR Profit % loss account
(d) None of these
Productivity means:
(a) The ability to produce
(b) All units produced
(c) Good units produced
(d) None of these
A segment of the business that generates both revenue and cost is called:
(a) Profit Center
(b) Cost Center
(c) Cost driver
(d) All of these
(e) None of these
Verification includes:
(a) Checking vouchers
(b) Examining audit report
(c) None of these
Economics resources of a business that are expected to be of benefit in the future are referred to as:
(a) Liabilities
(b) Owner’s equity
(c) Withdrawals
(d) Assets
(e) None of these
For preparing balance sheets prepaid expenses are shown as part of:
(a) Liability
(b) Equities
(c) Assets
(d) None of these
The business form(s) in which the owner(s) is (are) personally liable is (are) the:
(a) Partnership only
(b) Proprietorship
(c) Corporation only
(d) Partnership and proprietorship
(e) None of these
Economic resources of a business that are expected to be of benefit in the future are referred to as:
(a) Liabilities
(b) Owner’s equity
(c) Withdrawals
(d) Assets
(e) None of these
Which one of the following accounts would usually have a debit balance?
(a) Cash
(b) Creditors
(c) Accounts payable
(d) Salaries Expenses
(e) None of these
Fixed Cost:
a. Changes with production
b. Never changes even if production capacity is doubled
c. None of the above
Conversion cost is:
a. Material Cost + Overhead Cost
b. Direct Labour + Material Cost
c. Labour Cost + Overhead Cost
Verification includes:
a. Checking Vouchers
b. Examining audit report
c. None of the above
a. Agricultural Income
b. Presumptive Income
c. None of above
If a firm has paid super-tax, its partners may follow any one of the following behaviours:
a. No need to pay income tax, even if the income exceeds the taxable limit.
Pay income tax, even if the income does not exceed the taxable income.
b. If it is not enjoying tax exemption under the Income Tax Ordinance, 1979 (Second Schedule).
c. None of above
a. Limited Companies
b. Banking Companies
c. None of above
a. In vogue in Pakistan
c. None of above
a. 50
b. 20
c. 100
b. Increasing expenditure
c. None of above
(a) F.W.Taylor
(a) Synonymous
(b) Antagonistic
(a) Depletion
(b) Amortization
(c) Depression.
(b) Consolidated for Fire, Marine, and Accidents etc.(c) None of these.
(a) 20
(b) 50
(c) 75.
(a) VC_FC- TR TC
(b) FCI- VC TR
In straight line method of depreciation, the written down value of a fixed asset will be at the end of the
life of the asset as under:
(a) Independently
Consolidation of subsidiary accounts in the balance sheet of a unlisted Holding company is at present in
Pakistan:
(a) Compulsory
(b) Voluntary
(c) Required.
Every limited Company in Pakistan is required by law to include the following along with financial
reports:
What standards are used to prepare financial statements by most of the countries and companies
A company sold goods worth $5,000 on 5 June and $10,000 on 28 June. The company received the first
payment on 25 June and second on 7 July. The company prepared the financial statement on 30 June.
What would be the total sale on the financial statement?
(A) $0
(B) $5,000
(C) $10,000
(D) $15,000
(A) receivable
(B) payable
(B) Inventory
(C) Cash
(A) Capital
(B) Property
(D) Inventory
I.Patent rights
II. Goodwill
III. Land
(A) I only
(B) II only
A machine price was $1,000 and was carried through a truck. The truck’s fares were $500. The engineers
charged $500 for the installation. The cost of the machine is?
(A) $1,000
(B) $1,500
(C) $2,000
(D) $2,500
Depreciable amount =