Consider the following statements.<br>1. Realisation account and revaluation account are the same.<br>2. While preparing cash account or bank account (dissolution), the debit and credit side are same.<br>3. Items appearing in the balance sheet are posted at one place only.<br>Which of the statements given above is/ are correct?

Assertion (A): In preparing final accounts, if closing stock is given in the trial balance, it is shown only in the Balance Sheet.
Reason (R): Any item appearing in the trial balance is treated only at one place i.e. either in the trading and profit & loss a/c or in the balance sheet.
Now, select the correct answer:

A

Both (A) and (R) are true and (R) is the correct explanation of (A)

B

Both (A) and (R) are true, but (R) is not correct explanation of (A)

C

(A) is true but (R) is false

D

(A) is false but (R) is true

Re-arrange the following sentences into a meaningful paragraph. (A) comes into effect from today. The bank's savings account rate was 3.5 per cent during March 2003 to May 2011 for all savings bank account customers (B) The bank's decision comes two days ahead of RBI's monetary policy meet and is likely to trigger (C) with deposits of above Rs 1 crore, it said in a statement. The two-tier savings bank account interest rate (D) to 3.5 per cent, lowest in six years, a decision that will impact 90 per cent of its customers (E) The country's largest lender however will continue to pay 4 per cent interest on savings bank accounts (F) SBI today cut interest rate on savings bank account deposits up to Rs 1 crore by 0.5 per cent (G) rate war among peers. SBI's savings bank account base is of around Rs 9 lakh crore.

A

BDFACEG

B

BFDCAGE

C

EGACDFB

D

FDBGECA

Which of the following are examples of cash flow from operating activities as per AS-7?
1. Cash receipts from the sale of goods and the rendering of services.
2. Cash receipts from disposal of intangible assets.
3. Cash receipts from royalties, fees, commissions and other revenue.
4. Cash payments to suppliers for goods and services.
5. Cash proceeds from issuing shares or other similar instruments.
6. Cash payments to and on behalf of employees.
Select the correct answer:

A

1, 3, 4 and 6

B

2, 5 and 6

C

1, 2, 3 and 4

D

2, 3, 4 and 6

Consider the following for the dissolution of trade unions under the Trade Union Act, 1926. Which of the following statement(s) is/are correct?
1. When a registered Trade Union is dissolved, notice of the dissolution is signed by nine members and by the Secretary of the Trade Union.
2. The notice of dissolution must be sent within ten days to the Registrar.
3. Where the dissolution of a registered Trade Union has been registered and the rules of the Trade Union donot provide forthe distribution of funds of the Trade Union on dissolution, the registrar shall divide the funds amongst the members in such manner as may be prescribed.

A

Only 2

B

Only 3

C

Both 1 and 3

D

All of the above

A complete set of financial statements under Ind AS includes the following.
1. Balance sheet at the end of the period.
2. Statement of profit and loss for the period.
3. Statement of changes in equity for the period.
4. Statement of cash flow for the period.
5. Balance sheet at the beginning of the preceding period.
Which statements given above are correct?

A

1, 2 and 4

B

Both 3 and 5

C

2, 3 and 5

D

All of the above

On dissolution of a firm while transferring the assets to realisation account. The realisation account is:

A

Debit

B

Credit

C

Debit or Credit

D

None of the above

Rashna Company collected the following data in its accounting records in 2014 : From the income statement : Depreciation expense Tk. 1,000 Loss on sale of equipment 3,000 From the comparative balance sheet : Beginning balance , equipment Tk. 12,500 Ending balance , equipment 8,000 Beginning balance , accumulated depreciation 2,000 Ending balance , accumulated depreciation 2,400 No new equipment was purchased during the year. The equipment was sold at the end of the year. What was the cash in -flow from the sale of equipment in 2014?

A

Tk, 3,900

B

Tk. 1,000

C

Tk. 900

D

Tk. 600

Wages Outstanding' is appearing in the Trial Balance of a company. While preparing the Income Statement and Balance Sheet, 'Wages Outstanding' should appear in-

A

the Balance Sheet only

B

the Income Statement only

C

both Income Statement and Balance Sheet

D

neither Income Statement nor Balance Sheet

The Balance sheet reported a beginning balance TK. 20,000 in Account Receivable and an ending balance of TK. 15,000. Credit sale of TK. 2,00,000 were made during the year. Using the information computer cash collection from customers .

A

TK. 2,05,000

B

TK. 1,95,000

C

TK. 2,00,000

D

TK. 2,15,000

Milo has the year-end balances as follows: Account receivables TA. 5000; Supplies TA. 12,000; Equipment's TA. TA. 18,000; Accounts payable TA. 17,000 and Owner's equity TA. 43,000. The cash account balance was not available at year-end, Given the account balances listed, the balance in the cash account should be:

A

TA. 25,000

B

TA. 95,000

C

TA. 43,000

D

Can't be determined