Sikkim-Manipal University of Health Medical and Technological Sciences (SMUHMTS) 2007 M.B.A Financial and Management Accounting - Question Paper

a. Equity Share b. Preference Share
c. Debentures d.. Cumulative Preference Shares
Ans. A

Q71. Dividend on Equity Share is
a. Function of capital
b. Function of profit
c. Function of liabilities
d. Function of assets
Ans.B

Q72. Which statement is correct?
a. Entire profits are not distributed as dividend.
b. A part of profit is kept as reserves
c. A Co. also keeps a provision.
d. Both a & c
e. All a, b &c
Ans. E

Q 73. Which statement is correct?
a. Reserve is created for a few unforeseen events.
b. Provision is created for a known liability.
c. Both a & b
d None
Ans.C

Q74. Which financial statements are -
a. Internal Reports
b. External Reports
c. Neutral Reports
d. All
Ans.B

Q 75. A footnote to the B/S may be added to show separately
a. Contingent Assets
b. Contingent Liability
c. Contingent Capital
d. None
Ans.b

76 According to dual aspect concept of accounting capital + liabilities = ?
a. Equity
b. Assets
c. Revenue
d. Profit
Ans : B

77 Cash account will show _______ balance.
a)Debit
b)Credit
c)Debit or Credit
d)Debit and Credit
Ans : A

78repaid rent is an example of _______
a.An expense
b.An income
c.A liability
d.An asset
Ans : A

79Cash book is a _______
a.Journal
b.Ledger
c.Journal and Ledger
d.Trial Balance
Ans : A

80An entry which does not require posting to the ledger is known as _______
a.Contra Entry
b.Double Entry
c.Single Entry
d.No Entry
Ans : D

81In which subsidiary book sale of old furniture on credit is recorded?
a.Sales book
b.Cash book
c.Journal proper
d.Returns Outward book
Ans : D

82An event which involves an exchange of values ranging from 2 parties is called _______
a.Journal Entry
b.Sale
c.Business
d.Transaction
Ans : D

83Rent paid to the landlord is to be debited to ______
a.Rent
b.Landlord
c.Cash
d.Profit and Loss
Ans : A

84What is Trial Balance?
a)It is a list of ledger accounts showing balances on a particular date.
b)It is an absolute proof of the accuracy of the books of accounts.

Earning:   Approval pending.