PGT Commerce Level-3 (HTEТ), Exam 2016Total Questions: 150111. Which business unit generates substantial cash surpluses due to low industrial growth rate and high market share?A. DogB. Cash cowC. Question markD. StarCorrect Answer: B. Cash cow112. Which of the following will not affect the funds flow statement?A. Purchase of personal computerB. Sale of machineryуC. Redemption of debentures at premiumD. Depreciation provided on plant and machineryCorrect Answer: A. Purchase of personal computer113. Match List-I with List-II and select the correct answer using the Codes given below the lists:List-I List-II (a) Goodwill of a companyI. Current liability(b) OverdraftII. Intangible Assets(c) Preliminary ExpensesIII. Reserves and Surplus(d) Premium on issues of sharesIV. Fictitious AssetsChoose the correct answer from the options given below:(a)(b)(c)(d)A.IIIIVIIIB.IIIIVIIIC.IIIIIIIVD.IIIIIIIV(A)(B)(C)(D)Correct Answer: (A)114. Controlling function of an organization is:A. Forward lookingB. Backward lookingC. Forward as well as backward lookingD. Neither forward looking nor backward lookingCorrect Answer: C. Forward as well as backward looking115. Debtors are ₹ 80,000; bad debts ₹ 2,000 & provision for bad debts is ₹ 4,000. It is desired to maintain a provision for bad debts of ₹ 1,000. State the amount to be debited/credited in profit and loss account:A. ₹ 5,000 (debit)B. ₹ 3,000 (debit)C. ₹ 1,000 (credit)D. ₹ 5,000 (credit)Correct Answer: C. ₹ 1,000 (credit)116. ______days grace are added in terms of the bills to calculate the date of maturity.A. 1B. 2C. 3D. 4Correct Answer: C. 3117. The goal of financial management is to:A. Maximise the wealth of preference shareholderB. Maximise the wealth of Debenture holderC. Maximise the wealth of equity shareholderD. Maximize the profit of equity shareholderCorrect Answer: C. Maximise the wealth of equity shareholder118. On admission of a new partner increase in the values of assets is debited to:A. Profit and Loss adjustment accountB. Assets accountC. Old partner's capital accountD. New partner's capital accountCorrect Answer: B. Assets account119. ________is a process of entering in the ledger the information given in the journal.A. JournalizingB. Double entryC. PostingD. NarrationCorrect Answer: C. Posting120. Grouping of activities on the basis of product lines is a part ofA. Delegated organizationB. Product departmentalizationC. Functional organizationD. Autonomous organizationCorrect Answer: B. Product departmentalizationSubmit Quiz« Previous123456789101112131415Next »