Click on CA CPT Mock Test 1

A bill of exchange is drawn by a———-

Premium on issue of shares can  be used for——–

When a new partner brings his share of goodwill in cash, the amount is debited to ——–

Mr. A is a partner in a firm along with Mr. B. Both contributed capitals of  Rs. 40,000 and Rs. 50,000 respectively on the 1st of July, 2016.

Interest on capital is to be charged @ 10% p.a. Books of account are to be closed on31st December, 2016. Interest on capital is

A purchased a computer costing Rs. 10,000. Repairing expenses Rs. 1,000 and
miscellaneous expenses Rs. 500 were incurred by him. He sold the computer at 20%
margin on selling price. The sales value will be

Mohit, the acceptor of the bill has to honour a bill on 31st March 2016. Due to financial
crisis, he is unable to pay the amount of bill of Rs. 20,000. Therefore, he approaches
Rohit on 20th March 2016 for extension of bill for further 3 months. Rohit agrees to extend
the credit period by drawing a new bill for Rs. 20,500 together with interest of Rs. 1,000
in cash. In this case, old bill of Rs. 20,000 will be considered as

E Ltd. had allotted 10,000 shares to the applicants of 14,000 shares on pro rata basis.
The amount payable on application is Rs.2. F applied for 420 shares. Calculate the
number of shares allotted and the amount carried forward for adjustment against
allotment money due from F.

On 31st March 2016, Suraj has to pay to M/s Chandra and Co. Rs. 7,000 on account of
credit purchase from the later. He paid Rs. 1,800 on 30th June 2016 after availing a cash
discount of 10%. On 30th September 2016, he paid Rs. 2,850 after availing 5% cash
discount. On account of final settlement, the amount to be paid by Suraj without any
discount will be

On 1.1.2017, a machine costing Rs. 10,000 and a piece of furniture costing Rs. 20,000
was purchased. Depreciation is provided @ 5% p.a. on furniture and 10% per annum on
machine. The depreciation for the year ended 31st March, 2017 should be:

Mr. A sent 250 units costing Rs. 10,000 each to Mr. B. Mr. B sold 150 units @ Rs. 14,200
per unit on credit and 75 units @ Rs. 14,000 for cash. Mr. B is entitled to a commission
Rs.500 per unit. The amount of commission will be:

Gama Ltd. issued 10,000, 10% debentures of Rs. 100 each at a discount of 10%. The
entire amount is payable on application. Application were received for 12,000
debentures. The allotment of debentures was made on 10th October, 2017. The amount
which should be credited to the debentures account on 10th October, 2017 will be:

51. On January 1, 2017 Victory Ltd., purchased a second hand machinery for Rs. 50,000 and
spend Rs. 2,000 as shipping and forwarding charges, Rs. 1,000 as import duty,
Rs. 1,000 as carriage inwards, Rs. 500 is repair charges, Rs. 200 as installation charges,
Rs. 400 as brokerage of the middle man and Rs. 100 for an iron pad. Total cost of
machinery is———-

3,000 shares of Rs. 10 each of Krishna were forfeited by crediting Rs. 5,000 to share
forfeiture account. Out of these, 1,800 shares were re-issued to Radhe for Rs. 9 per
share. The amount to be transferred to capital reserve account will be—————

He, She and Me are partners in a firm sharing profits and losses in the ratio of 5:3:2.
Firm took Separate Life Policy of Rs. 50,000, Rs.1,00,000 and Rs.1,50,000 for He, She
and Me respectively. The share of Me in the policy will be:

Opening stock of the year is Rs. 20,000, Goods purchased during the year is
Rs. 1,00,000, Carriage Rs. 2,000 and Selling expenses Rs. 2,000. Sales during the year
is Rs. 1,50,000 and closing stock is Rs. 25,000. The gross profit will be:

18% investment of Rs. 1,00,000 and interest received on investment Rs. 15,000 have
been given in the trial balance for the period ended on 31.3.2017. The amount of interest
outstanding in the final accounts will be ———–

A second hand car is purchased for Rs. 15000, the amount of Rs. 1000 is spent on its
repairs, Rs. 500 is incurred to get the car registered in owners name and Rs. 1200 is paid
as dealers commission. The amount debited to car account will be—————-

Harsha started business on 01.01.2017 with a capital of Rs. 20,000 and he borrowed
Rs. 3,000 from a friend. He earned a profit of Rs. 10,000 during the year and withdrew
cash Rs. 5,000 for private use. What is his capital at the end of the year?

Total sales during the year amounted to Rs. 70,000; Cash sales Rs. 10,000; Balance of
trade receivables at the end of the year Rs. 25,000. Cash received from customers
during the year will be——–

A trader purchased furniture on Jan 1, 2017 for Rs. 5,200. Its scrap value is 200 and life
10 years. Depreciate furniture according to fixed instalment method. Balance of furniture
a/c at the end of third year will be———-

The total of debit and credit side of Mr. Hari’s Trial balance as on 31st March, 2017
were Rs. 20,000 and Rs. 10,000 respectively. The difference was transferred to
suspense A/c. On 4th April 2017, it was found that the total of sales book was carried
forward as 5,000 instead of 4,000. The balance of suspense A/c after rectification of this
error will be ———–

Goodwill is to be calculated at one year’s purchase of the average of the last 3 years
profit. The profit of the first year was Rs. 6,000, second year twice the profit of the first
year and the third year one and half times of the profit of the second year goodwill
amount will be———-

Regal  Ltd. issued 25,000 equity shares of Rs.100 each at a premium of Rs. 15 each
payable as Rs. 25 on application, Rs. 40 on allotment and balance in the first call. The
applications were received for 75,000 equity shares but the company issued to them only
25,000 shares. Excess money was refunded to them after adjustment for further calls.
Last call on 500 shares were not received and were forfeited after due notice. The above
is the case of

1,000 kg of oranges are consigned to a wholesaler, the cost being Rs. 8 per kg, plus
Rs. 925 of freight. It is concluded that a loss of 15% is unavoidable. The cost per kg of
orange will be———

Mahalakshmi  Ltd. issued 15,000, 15% debentures of Rs.100 each at a premium of 10%, which
are redeemable after 10 years at a premium of 20%. The amount of loss on redemption
of debentures to be written off every year is————

Karun Ltd. has issued 14% Debentures of Rs. 10,00,000 on April 01, 2014 and the
company pays interest half-yearly on June 30, and December 31, every year. On
March 31, 2016, the amount shown as “interest accrued but not due” in the Balance
Sheet will be:

The plant and machinery account of a firm had a debit balance of Rs. 1,47,390 (before
charging depreciation for the year) as on 31st December, 2016. On 1st Jan., 2013 Co. started
business and has been following the practice of charging full year’s depreciation every year
on Diminishing balance method @ 15%. Cost of machinery on 01.01.2013 will be———

Double column cash book records———-

All of the following have debit balance except———–

Salary and wages is debited to——-

Fluctuating capital account is credited with———–

A manager gets 5% commission on net profit after charging such commission. Gross
profit Rs. 48,000 and expenses of indirect nature other than manager’s commission are
Rs. 6,000.
Commission amount will be

Birbal drew a three month bill on Satyapal for Rs. 5,000. On due date Satyapal
approached Birbal to renew the bill for another month @ 12% p.a. Amount of the new bill
will be———-

A limited company forfeited 100 equity shares of the face value of Rs. 10 each, for non-
payment of first call of Rs. 2 per share. The forfeited shares were subsequently reissued

as fully paid @ 7 each. Amount transferred to capital reserve will be

Net salary paid to employees Rs. 45,000 in cash after deducting income tax Rs. 1,000,
professional tax Rs. 200, employees provident fund Rs. 2,000, staff welfare fund Rs. 100
and recovery of loan Rs. 1,700. Salary A/c will be debited with ——–

A manager gets 5% commission on sales. Cost price of goods sold is Rs. 40,000 which
he sells at a margin of 20% on sale. Commission will be——-

Compensation paid to retrenched employee is:

Unexpired portion of Capital expenditure is shown in——–

If the firm pays Income Tax on behalf of partners, such payment of personal income tax
should be treated as———

Rent paid on 1st October, 2015 for the year to 30th September, 2016 was
Rs. 1,200 and rent paid on 1st October, 2016 for the year to 30th September, 2017 was
Rs. 1,600. Rent paid, as shown in the profit and loss account for the year ended 31st
December 2016, would be:

A company forfeited 1,000 shares of Rs. 20 each (which were issued at par) held by
Mr. Mohan for non-payment of allotment money of Rs. 8 per share and further call
money. The called-up value per share was Rs. 18. On forfeiture, the amount debited to
share capital will be———–

G Ltd. acquired assets worth Rs. 7,50,000 from H Ltd. by issue of shares of Rs. 100 each
at a premium of 25%. The number of shares to be issued by G Ltd. to settle the
purchase consideration of assets will be_________

The subscribed share capital of S Ltd. is Rs. 80,00,000 of Rs. 100 each. There were no
calls in arrear till the final call was made. The final call made was paid on 77,500 shares.
The calls in arrear amounted to Rs. 62,500. The final call on each share will
be———-

Raghu’s acceptance to Maruthi  for Rs 8,000 renewed for 3 months on the condition that
Rs. 4,000 be paid in cash immediately and the remaining amount will carry interest @
12% p.a. The amount of interest will be———–

Sumith Ltd. purchased a machine on 1.1.2016 for Rs 1,20,000. Installation expenses were
Rs. 10,000. Residual value after 10 years Rs. 5,000. On 01.07.2016, expenses for
repairs were incurred to the extent of Rs. 2,000. Depreciation is provided under straight
line method. Annual Depreciation will be ________

Sundry debtors on 31st March 2016 are Rs. 55,200. Further bad debts are Rs.200.
Provision for doubtful debts are to be made on debtors @ 5% and also provision of
discount is to be made on debtors @ 2%. The amount of provision of doubtful debts will be———

The balance of machine on 31st March 2016 is Rs. 72,900 (after charging depreciation of
the year). The machine was purchased on 1st April 2013 charging depreciation @ 10%
p.a. by diminishing balance method. The cost price of the machine as on 1st April 2013
would be————

Estimated life of an asset is 10 years and estimated scrap value is Rs. 3,200.  Depreciation as per SLM is charged

at Rs. 2,500 every year on the asset. Find the cost of the asset.

Mr. A is a partner in a firm along with Mr. B. Both contributed capitals of
Rs. 40,000 and Rs. 50,000 respectively on the 1st of July, 2016. Interest on capital is to
be charged @ 10% p.a. Books of account are to be closed on
31st December, 2016. Interest on capital is——–

When the shares are issued at premium and the premium has already received by the
company later on, if such shares are forfeited———

A sent some goods costing Rs. 3,500 at a profit of 25% on sale to B on sale or return
basis. B returned goods costing to A Rs. 800. At the end of the accounting period i.e. on
31st December, 2016, the remaining goods were neither returned nor were approved by
him. The stock on approval will be shown in the balance sheet at——-

Unintentional omission or commission of amounts and accounts in the process of
recording transactions are known as——–

In the bank reconciliation statement, when balance as per the cash book is taken as the
starting point, then direct deposits from the customer of Rs. 2,500 in the bank will be—-

The total cost of goods available for sale with a company during the current year is
Rs. 12,00,000 and total sales during the period is Rs. 13,00,000. If the gross profit
margin of the company is 331/3% on cost, the closing inventory during the current year is——-

On January 1, 2016 Victory Ltd., purchased a second hand machinery for Rs. 50,000 and
spend Rs. 2,000 as shipping and forwarding charges, Rs. 1,000 as import duty,
Rs. 1,000 as carriage inwards, Rs. 500 is repair charges, Rs. 200 as installation charges,
Rs. 400 as brokerage of the middle man and Rs. 100 for an iron pad. Total cost of
machinery is———-

If bank balance as per cash book differs from that appearing in the current account
statement, then the balance considered for finalizing the accounts is of——–

A company issued 1,00,000 equity shares of Rs.10 each at a premium of Rs. 2 and 5,000
10% Debentures of Rs. 100 each at 10% discount. All the shares and debentures were
subscribed and allotted by crediting 10% Debentures account with——–

3,000 shares of Rs. 10 each of Krishna were forfeited by crediting Rs. 5,000 to share
forfeiture account. Out of these, 1,800 shares were re-issued to Radhe for Rs. 9 per
share. The amount to be transferred to capital reserve account will be——–

Opening stock of the year is Rs. 20,000, Goods purchased during the year is
Rs. 1,00,000, Carriage Rs. 2,000 and Selling expenses Rs. 2,000. Sales during the year
is Rs. 1,50,000 and closing stock is Rs. 25,000. The gross profit will be:

The equality of debits and credits can be tested periodically by preparing a ——

Goods which are in existence at the time of the Contract of Sale is known as———-

The doctrine of Caveat Emptor does not apply, when———-

Where the goods are delivered to a carrier or wharfinger for the purpose of transmission
to the buyer, the delivery is——

A agrees to pay Rs. One Lakh to B if he brings on earth a star from sky. This is a
contingent contract and———-

A minor’s liability for necessaries supplied to him——

Which of the following is not the right of a partner i.e., which he cannot claim as a matter of right?

In case of illegal agreements, the collateral agreements are:

A partner may be expelled from the firm on the fulfillment of the condition that the
expulsion power is exercised.

On which of the following grounds, a partner may apply to the court for dissolution of the firm?

Which of the following is not an exception to the rule- No Consideration, No contract?

The term “goods” under Sale of Goods Act, 1930 does not include——–

A contingent contract dependent on the non-happening of a future uncertain event
becomes void when such event

A, B and C jointly promised to pay Rs. 60,000 to D. A was compelled by D to pay the
entire amount of Rs. 60,000. Here———–

A threatens to kill B if he does not agree to sell his scooter to him for Rs. 5,000. Here, B’s consent is obtained by:

Suppose you have entered into a partnership agreement and the partnership deed
provides neither for the duration nor for the determination of our partnership. What is the
technical expression for this kind of partnership?

A agrees to deliver his old car valued at Rs. 80,000 to B, a car dealer, in exchange for a
new car, and agrees to pay the difference in cash it is———

When offer is made to a definite person, it is known as———-

Selection of goods with the intention of using them in performance of the contract and
with the mutual consent of the seller and the buyer is known as————-

In case of illegal agreements, the collateral agreements are:

On dissolution the partners remain liable till:

Which one of the following is/are document of title to goods?

A partner can retire on:

Which of the following is not an implied condition in a contract of sale?

The special damages, i.e., the damages which arise due to some special or unusual
circumstances——-

Sometimes, a party is entitled to claim compensation in proportion to the work done by
him. It is possible by a suit for———-

A stipulation in a contract of sale of goods whose violation by seller gives a right of
rescission to buyer, is called———-

Suppose the time fixed for performance of the contract has expired but the time is not essential.
What is the remedy to the promisee in the circumstances?

What is legal terminology for the doing or not doing of something which the promisor desires
to be done or not done?

Goods must be the same as wanted by the buyer. This is——-

Which of the following is a not document of title to goods?

X and Y agree to work together as carpenters but X shall receive all profit and shall pay
wages to Y. The relation between X and Y is that———-

R, an optical surgeon, employs S as the assistant for a term of three years and S agrees not to
practice as a surgeon during this period. This contract is _________

A agrees to pay Rs. 500 to B if it rains, and B promises to pay a like amount to A if it does not
rain, this agreement is called ___________.

When the offeree offers to qualified acceptance of the offer subject to modifications and
variations he is said to have made a ___________.

A agrees to pay Rs. 1000 to B if a certain ship returns within a year. However, the ship sinks
within the year. In this case, the contract becomes———-

The Sale of Goods Act, 1930 came into force on __________.

Where the goods are delivered to a carrier or wharfinger for the purpose of transmission to
the buyer, the delivery is __________.

A enquires from B, “Will you purchase my cow for Rs. 100?” B replies, “I shall purchase your
cow for Rs. 100 provided you purchase my parrot for Rs. 120.” In this case ——–

A sold 1000 tins of oil to B without appropriating any particular oil to the contract. B sold
600 tins out it to C and gave delivery order addressed to A. C lodged the delivery order with
A requesting him to “await” his orders. Meanwhile, B became insolvent and thus A became
the unpaid seller.

X fraudulently induced Y to enter into partnership with him and Y pays a premium of
Rs.5,000/- to A. Within three months the firm incurs liabilities to the extent of Rs.10,000/-.
On discovering the fraud, Y files a suit for the rescission of the contract creating partnership
and contract is rescinded. The creditors of the firm also levy attachment on Y who pays
Rs.3,000/- to them as well. Which of the following is correct?

Who said “Economics is a science of dynamic growth and development”?

If marginal opportunity cost is falling, the PPF would be———–

Calculate Income-elasticity for a household when the income of this household rises by
5% and the demand for buttons does not change at all.

If the goods are perfect substitutes for each other then cross elasticity is———

Indifference curve is convex to the origin due to———

Which of the following is not included in the stages of capital formation?

FDI permitted in defense sector in India under automatic route ———-

Economic Reforms in India were started in the year———-

DFEC stands far——-

If any country needs funds for long term development of the nation, then the country
should approach————-

In a typical demand schedule, quantity demanded———–

When the perfectly competitive firm and industry are in long run equilibrium then—————-

In monopoly, the relationship between average and marginal revenue curves is as follows—————

All of the following are U shaped curves except the———-

From the national point of view which of the following indicates micro approach?

The total effect of a price change of a commodity is————–

Which of the following is not a part of Fiscal policy?

The following are some of the costs of a clothing manufacturer. State which among them will you consider as fixed cost?

The difference between GNP and NNP equals————

National income at market prices, plus subsidies, but less indirect taxes is equal to which
one of the following?

All but one of the following statements are incorrect. Find the correct statement.

In which state is the sex ratio most favourable to women?

An underdeveloped economy is generally characterized by a———–

Which institution is known as the “soft loan window” of World Bank?

In order to encourage investment in the country, the RBI may————-

A strategy of heavy industry is sometimes preferred for a developing economy because it can————

The branch of economic theory that deals with the problem of allocation of resources is———

Production may be defined as an act of———-

The sale of branded articles is common in a situation of———-

———-   concept of Budget deficit has become practically redundant in India.

Demand for electricity is elastic because————

The cost that firm incurs in hiring or purchasing any factor of production is referred to as———-

The main security guard for International Trade is———

Population density means———–

NABARD is a—————

If two goods were perfect substitutes of each other, it necessarily follows that

The MC curve cuts the AVC and ATC curves———–

In general, most of the production functions measure———–

Which of the following market situations explains marginal cost equal to price for attaining
equilibrium?

The period of time in which the plant capacity can be varied is known as————-

A monopolist who is selling in two markets in which demand is not identical will be
unable to maximize his profits unless he———–

Which of the following is not microeconomic subject matter?

Which of the following is a reason for the negative slope of the PPF?

Oil and Natural Gas Corporation Indian Oil Corporation, Steel Authority of India, and
Bharat Heavy Electricals are all examples of———–