Explore topic-wise MCQs in Bachelor of Business Administration in Computer Applications (BBA [CA]).

This section includes 602 Mcqs, each offering curated multiple-choice questions to sharpen your Bachelor of Business Administration in Computer Applications (BBA [CA]) knowledge and support exam preparation. Choose a topic below to get started.

151.

Calculate units manufactured during the year; Units Sold 500, Opening stock 100;Closing stock 200Sol:

A. 500
B. 700
C. 550
D. 600
Answer» E.
Discussion
152.

From the following details estimate the capital as on 1.1.2012, Capital as on 31.12.2012 ` 2,40,000, drawing ` 20,000, Profit during the year ` 25,000

A. 2,35,000 ;
B. 2,25,000 ;
C. 2,20,000 ;
D. 2,00,000
Answer» B. 2,25,000 ;
Discussion
153.

If the opening capital is Rs.20,000 and closing capital is Rs.25,000; drawings made amounted to Rs.1,800; then, the amount of Rs.________ must be introduced as an additional capital during the year in order to earn a profit of Rs.2,800.

A. Rs.6,000
B. Rs.9,600
C. Rs.4,000
D. Rs.400
Answer» D. Rs.400
Discussion
154.

If average inventory is `1,25,000 and closing inventory is `10,000 less than opening inventory then the value of closing inventory will be

A. 1,35,000
B. 1,15,000
C. 1,30,000
D. 1,20,000
Answer» E.
Discussion
155.

If the opening balance of debtors is Rs.16,000 and closing balance is Rs.80,000, cash received from debtors is Rs.35,000 and bad debts is Rs.1,000, then what will be the amount of credit sales?

A. Rs. 95,000
B. Rs. 1,05,000
C. Rs. 1,00,000
D. Rs. 1,10,000
Answer» D. Rs. 1,10,000
Discussion
156.

If opening capital is Rs.10,000 & closing capital is Rs.15,000 then profit or loss:

A. Loss of Rs.5,000
B. Profit of Rs.2,500
C. Profit of Rs.5,000
D. None of these
Answer» D. None of these
Discussion
157.

Any gain on the sale of non-current assets should be _________ from the net profit and the loss must be _________to the net profit in determining fund from operation

A. Added, Reduced ;
B. Added, Added ;
C. Deducted, Added ;
D. Deducted, Deducted
Answer» D. Deducted, Deducted
Discussion
158.

Insolvent Companies Can Be Liquidated

A. Compulsory
B. Optional
C. Order
D. All the Above
Answer» C. Order
Discussion
159.

The excess amount which the firm can get on selling its assets over and above the saleable value of its assets is called Sol:

A. Surplus
B. Super Profit
C. Reserve
D. Goodwill
Answer» E.
Discussion
160.

Long term assets being `3,00,000, current Assets `80,000, outside liabilities `1,20,000. Find owners equity-

A. 3,50,000 ;
B. 2,60,000 ;
C. 2,00,000 ;
D. None
Answer» C. 2,00,000 ;
Discussion
161.

If 500 shares of 10 issued at a premium of 1 on which 9 (including premium) have been called and 7 including premium have been paid are forfeited, the forfeiture account should be credited by :

A. 3,000
B. 3,500
C. 4,000
D. 4,500
Answer» B. 3,500
Discussion
162.

ABC Ltd. makes payments to its Sundry Creditors through cheques and the Cash Discount received on these payments is recorded in the Triple-columnar Cash Book. In the event of dishonour of any such cheques, the discount so received should be written back through(i) A debit to discount column of the Cash Book(ii) A credit to discount column of the Cash Book(iii) A credit to bank column of the Cash Book(iv) A debit to Discount Account through Journal Proper(v) A credit to Creditor s Account through Journal Proper

A. Only (i) above
B. Only (ii) above
C. Both (i) and (iii) above
D. Both (iv) and (v) above
Answer» E.
Discussion
163.

Madhu Ltd. forfeited 800 shares of `10 each issued at 10% premium to Shyam (` 9 called up) on which he did not pay ` 3 of allotment (including premium) and first call of `2. Out of these, 600 shares were re-issued to Ram as fully paid up for `9 per share. What is to amount to be transferred to capital Reserve?

A. `2,400
B. ` 1,800
C. `3,000
D. `3,600
Answer» B. ` 1,800
Discussion
164.

While checking the accounts of ABC the following discrepancies were noticed, even though the TrialBalance was made to balance by putting the difference to Suspense A/c.(i) Sales day book for the month of June 12 was found overcast by ` 7,000.(ii) A credit purchase of ` 3,000 was omitted to be recorded in the days book.(iii) ` 4,300. Received from A credited to A A/c ` 3,400.(iv) Purchase of Office Equipment worth ` 5,000 included in trading purchases.From the above details what would have been the difference in Trial Balance which was made to balance by opening Suspense A/c.

A. Debit side short by ` 9,100 ;
B. Credit side short by ` 9,100 ;
C. Debit side more by ` 7,900 ;
D. Credit side more by ` 6,100
Answer» E.
Discussion
165.

The liabilities that are payable in more than a year and are not be liquidated from current assets

A. Current liabilities
B. Fixed liabilities
C. Contingent liabilities
D. All of the above
Answer» C. Contingent liabilities
Discussion
166.

A second hand car is purchased for ` 2,00,000 and sold at ` 1,40,000 after two years. If depreciation is charged @ 10% on SLM method, find the profit or loss on sale of the car.

A. 20,000 Loss ;
B. 20,000 Profit ;
C. 10,000 Loss ;
D. 10,000 Profit
Answer» B. 20,000 Profit ;
Discussion
167.

The excess of Average profit over normal profit is called Sol:

A. Super profit
B. Normal profit
C. Fixed profit
D. Abnormal profit
Answer» B. Normal profit
Discussion
168.

From the profits of previous three years, Rs 150000, Rs 300000, and Rs250000/- and the loss in a year ( Rs. 100000/-) the value of goodwill at three years of purchase is ---------

A. Rs 8,00,000
B. Rs 6,00,000
C. Rs 4,50,000
D. all
Answer» D. all
Discussion
169.

Which factor affecting th value of Goodwill Sol:

A. Quality of Product
B. Location of business.
C. Efficient management
D. All of the Above
Answer» E.
Discussion
170.

A and B purchased a piece of land for ` 30,000 and sold it for `60,000 in 2016. Originally A had contributed `12,000 and B `8,000. The profit on venture will be

A. 30,000
B. 20,000
C. 60,000
D. Nil
Answer» B. 20,000
Discussion
171.

Subscription received during the year 50,000 Rs. Subscriptions outstanding at the end ofthe year 8,000 Rs. Subscription outstanding at the beginning of the year 6,000 Rs. Net Incomefrom subscription will be :

A. Rs 48000
B. RS 64000
C. RS 52000
D. RS 36000
Answer» D. RS 36000
Discussion
172.

Receipts and Payment A/c is a summary of

A. Debit and credit balances of ledger A/c
B. Cash receipts and payments
C. Income and Expenses
D. All of the above
Answer» C. Income and Expenses
Discussion
173.

As per section 78 of Company s Act amount collected as premium on securities cannot be utilized for:

A. Issuing fully paid bonus shares to the members
B. Purchase of fixed assets
C. Writing off Preliminary Expenses
D. Buy Back of its own shares
Answer» C. Writing off Preliminary Expenses
Discussion
174.

Receipts and Payments A/c is a summary of: Sol:

A. All Capital Receipts and Payments
B. All Revenue Receipts and Payments
C. All Revenue and Capital Receipts and Payments
D. None of the above
Answer» D. None of the above
Discussion
175.

When Bills Receivable is returned dishonoured by the drawee, which of these A/c is debited by the drawee

A. Drawer A/c ;
B. Bank A/c ;
C. BP A/c ;
D. BR A/c
Answer» D. BR A/c
Discussion
176.

Which of the following transactions of a business is/ are recorded in Journal Proper?(i) Purchase of goods on credit(ii) Sale of Office Furniture for cash(iii) Discounting of Bill of Exchange with a bank(iv) Endorsement of a Bill of Exchange in settlement of debt of the business

A. Only (i) above
B. Only (iv) above
C. Both (ii) and (iv) above
D. (i),(iii) and (iv) above
Answer» C. Both (ii) and (iv) above
Discussion
177.

The receipts and Payments account records receipts and payment of

A. Revenue nature only
B. Capital nature only
C. Revenue as well as capital nature
D. None of the above
Answer» D. None of the above
Discussion
178.

) A Receipts and Payments Account is nothing but a summary of all capital receipts and payments.

A. True
B. False
C. none
D. all
Answer» C. none
Discussion
179.

Goods worth ` 10,000 were purchased by B on which the traders allowed ` 500 trade discount and offer to give 5% cash discount if immediate payment is made. The Purchase A/c will be debited by

A. 10,000 ;
B. 9,800 ;
C. 9,000 ;
D. 9,500
Answer» E.
Discussion
180.

Which of the following statements is/are true?(i) An error in casting the subsidiary books is an error of commission(ii) An error in wrong casting of the sales day book will not affect the personal accounts of debtors(iii) Mistake in transferring the balance of an account to the Trial Balance will not affect the agreement of the Trial Balance(iv) The mistake of treating a liability as an income or vice versa will not affect the agreement of a Trial Balance

A. Only (i) above
B. Only (ii) above
C. Both (i) and (ii) above
D. (i),(ii) and (iv) above
Answer» E.
Discussion
181.

Based on which of the following concepts, is Share Capital Account shown on the liabilities side of a Balance Sheet?

A. Business entity concept
B. Money measurement concept
C. Going concern concept
D. Matching concept
Answer» B. Money measurement concept
Discussion
182.

Which of the following should be deducted from the share capital to determine the paid up share capital.

A. Calls in advance
B. Calls in arrears
C. Security premium reserve
D. Discount on issue of shares.
Answer» C. Security premium reserve
Discussion
183.

Outstanding subscription is a/an

A. Income
B. Asset
C. Liability
D. None of these
Answer» C. Liability
Discussion
184.

Subscriptions received in advance by a club are shown on ..of the BalanceSheetSol:

A. Assets Side
B. Liability Side
C. Credit Side
D. Debit Side
Answer» C. Credit Side
Discussion
185.

Outstanding subscription is a: Sol:

A. Income
B. Assets
C. (a) and (b) Both
D. None of these
Answer» D. None of these
Discussion
186.

The fees received from life members is not a periodic subscription, hence are to be capitalized

A. True
B. False
C. none
D. all
Answer» B. False
Discussion
187.

Subscription received by an organisation is: Sol:

A. Capital Receipt
B. Revenue Receipt
C. Both (a) and (b)
D. None of the above
Answer» C. Both (a) and (b)
Discussion
188.

The periodical total of discount column on receipts side of a Triple Column Cash Book is recorded to the

A. Credit side of Discount Account
B. Credit side of provision for Discount Account
C. Debit side of Discount Account
D. Credit side of Debtor s Account
Answer» D. Credit side of Debtor s Account
Discussion
189.

According to this convention, important items must be recorded instead of being left out or merged with other items.

A. Convention of Consistency
B. Convention of Full Disclosure
C. Convention of Materiality
D. Convention of Prudence
Answer» D. Convention of Prudence
Discussion
190.

The shares on which there is no any pre-fixed rate of dividend is decided, but the rate of dividend is fluctuating every year according to the availability of profits, such share are called :

A. Equity Share
B. Non-cumulative preference share
C. Non-convertible preference share
D. Non-guaranteed preference share
Answer» B. Non-cumulative preference share
Discussion
191.

If the rate of G.P on sale is 20% and cost of goods, sold is Rs. 100,000, then amount of G.P will be equal to:

A. Rs. 20,000
B. Rs.25,000
C. Rs.35,000
D. Rs.15,000
Answer» C. Rs.35,000
Discussion
192.

The fees are collected only once at the time of admission of a member, hence Entrance Fees should be treated as 'Revenue Receipt'.

A. True
B. False
C. none
D. all
Answer» C. none
Discussion
193.

Life Membership Fees received by a club is shown in : Sol:

A. Income and Expenditure A/c
B. Balance Sheet
C. Receipts and Payments A/c
D. None of these
Answer» C. Receipts and Payments A/c
Discussion
194.

Entrance fees are generally

A. Capitalised
B. Taken as income
C. Treated as a liability
D. Special reserve
Answer» B. Taken as income
Discussion
195.

Entrance fees, unless otherwise stated, is treated as: Sol:

A. A Capital Receipt
B. A Revenue Income
C. A liability
D. None of these
Answer» C. A liability
Discussion
196.

Building expenses should be divided among the different departments according to the ______ by each departments

A. Area occupied
B. No of employees
C. Direct wages
D. Direct material
Answer» B. No of employees
Discussion
197.

If you start with cash book favorable balance in Bank Reconciliation Statement, which item will be added?

A. Cheque deposited but not credited by the bank
B. Cheques omitted to be deposited into bank
C. Any amount directly collected by bank on behalf of customer but not recorded in cash book
D. Debit side of cash book was overcast
Answer» D. Debit side of cash book was overcast
Discussion
198.

Expenditures in respect of certain types of assets whose usefulness does not expires in the year of their occurrence but generally expires in the near future are called

A. Revenue Expenditure
B. Capital Expenditure
C. Deferred Revenue Expenditure
D. None of the above
Answer» D. None of the above
Discussion
199.

Funds Flow Statement is also known as_______.

A. Statement of Funds Flow
B. Statement of Sources and Application of Funds
C. Statement of Sources and Uses of Funds
D. All of the above
Answer» E.
Discussion
200.

When a branch purchases fixed assets and the assets account is to be kept in the books of the head office, the branch makes the following entry

A. debits head office credits bank
B. debits branch credits head office
C. debits head office credits branch asset
D. debit branch assets credit banks
Answer» B. debits branch credits head office
Discussion