PGT (Commerce previous year questions) (HTET) (Part – I)

Total Questions: 100

31. Rectification in the next financial year is done through:

Correct Answer: C. Profit and loss adjustment account

32. White-washing charges of ₹ 50,000 were debited to building account. It is__________.

Correct Answer: C. Error of principle

33. If outstanding wages appears in the trial balance it is shown in ___________.

Correct Answer: A. Balance sheet

34. Rent outstanding account is an example of________account.

Correct Answer: B. Nominal

35. According to the decision in Garner vs. Murray, in the absence of any agreement to the contrary, the deficiency of the insolvent partner must be borne by the solvent partners in the:

Correct Answer: A. Capital ratio

36. Under__________method, the charge for depreciation for an accounting period is calculated in proportion of the remaining life of the asset at the beginning of every accounting period.

Correct Answer: B. Sum of year's digit method

37. Which of the following errors are not disclosed by the trial balance?

Correct Answer: D. Compensating errors

38. A________is given to the customer when he returns the goods.

Correct Answer: A. Credit note

39. An expense on major repairs of machinery purchased second hand has been debited to repairs account; it involves an error of ________.

Correct Answer: C. Error of principle

40. A and B are partners in a firm. During the year 2010, A withdrew ₹ 1,000 p.m. and B withdrew ₹ 500 p.m. on the first day of each month for personal use. Interest on drawing is charged @ 10% p.a. What is the interest on drawings?

Correct Answer: B. ₹ 975