Q. 5054511. Match List I with List II in context of not having partnership deed.
List I (A. Interest on loan, B. Interest on drawings, C. Salary, D. Profit sharing ratio)
List II (I. Equal, II. Will not be charged, III. @ 6% p.a., IV. Will not be allowed/provided)
(A) A-IV, B-I, C-III, D-II
(B) A-III, B-IV, C-II, D-I
(C) A-IV, B-III, C-II, D-I
(D) A-III, B-II, C-IV, D-I
Answer: (D) A-III, B-II, C-IV, D-I
Explanation: In the absence of a partnership deed: Interest on partner’s loan is allowed at 6% p.a. (A-III). Interest on drawings will not be charged (B-II). Salary will not be allowed (C-IV). Profits and losses are shared equally (D-I).
Q. 5054512. What is the correct sequence of allotment of shares
A. Allotment money received
B. Inviting applications from investors
C. Allotment Due
D. Application money Received
E. Share Call Money Due
(A) E, C, A, B, D
(B) A, B, C, D, E
(C) B, D, C, A, E
(D) C, A, E, D, B
Answer: (C) B, D, C, A, E
Explanation: The chronological process is: Inviting applications (B) -> Application money received (D) -> Allotment is made and money becomes due (C) -> Allotment money is received (A) -> Share call money becomes due (E).
Q. 5054513. What is the correct sequence of types of capital in company’s Balance sheet while preparing notes to accounts.
A. Issued Capital
B. Subscribed and fully paid up capital
C. Share forfeited Balance
D. Authorised Capital
E. Subscribed but not fully paid up capital
(A) C, B, D, E, A
(B) D, A, B, E, C
(C) A, B, C, D, E
(D) B, A, D, E, C
Answer: (B) D, A, B, E, C
Explanation: In Notes to Accounts for Share Capital, the standard disclosure format goes from the maximum limit to the actual paid amount: Authorised Capital (D) -> Issued Capital (A) -> Subscribed and fully paid up capital (B) -> Subscribed but not fully paid up capital (E) -> Share forfeited balance added at the end (C).
Q. 5054514. Identify the correct sequence to find out profit after tax while preparing comparative income statement
A. Deduct expenses
B. Find out total revenue by adding other incomes to revenue from operations
C. Find out profit after tax
D. Deduct tax
E. Calculate profit before tax
(A) E, B, A, D, C
(B) B, A, E, D, C
(C) B, E, A, C, D
(D) E, C, B, A, D
Answer: (B) B, A, E, D, C
Explanation: The Statement of Profit & Loss follows this sequence: Calculate Total Revenue (B) -> Deduct Total Expenses (A) -> Arrive at Profit Before Tax (E) -> Deduct Tax (D) -> Arrive at Profit After Tax (C).
Q. 5054515. If net profit made during the year are ₹50,000 and the bills receivables have decreased by ₹10,000 during the year then the cash flow from operating activities will be:
(A) ₹40000
(B) ₹60000
(C) ₹30000
(D) ₹20000
Answer: (B) ₹60000
Explanation: A decrease in current assets (like Bills Receivable) indicates that cash was collected, meaning an inflow of cash. It is added to the Net Profit. Thus, 50,000 + 10,000 = ₹60,000.