Accountancy : Company Accounts and Analysis of Financial Statements 2010 CBSE [ Delhi ] Set II
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Q1
What is meant by partnership deed?
Marks:1View AnswerAnswer:
An agreement in writing among partners.
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Q2
State the basis of accounting on which Income and Expenditure Account is prepared by a not for profit organisation.
Marks:1View AnswerAnswer:
Accrual basis.
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Q3
A, B and C decided that interest on capitals will be provided to each partner @ 5% p.a. But after one year C wants that no interest on capital is to be provided to any partner. State how C can do this?
Marks:1View AnswerAnswer:
He can do this if it is consented in partnership deed, otherwise he cannot.
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Q4
How does the factor “Efficiency of Management” affect the goodwill of a firm?
Marks:1View AnswerAnswer:
If the manager is capable and competent, the firm will earn high profits which will increase the value of goodwill.
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Q5
What are ‘calls in Arrears’?
Marks:1View AnswerAnswer:
Default in depositing the call amount due on call or unpaid amount by shareholders.
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Q6
How the solvency of a business is assessed by ‘Financial Statement Analysis’?
Marks:1View AnswerAnswer:
Through Solvency Ratios
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Q7
Under which type of activity will you classify ‘Furniture purchased for cash’ while preparing cash flow statement?
Marks:1View AnswerAnswer:
It will be classified under Investing Activity.
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Q8
‘Sale of marketable securities at par’ would result in inflow, outflow or no flow of cash. Give your answer with reason.
Marks:1View AnswerAnswer:
No flow of cash as marketable securities are cash equivalent.
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Q9
What is meant by computerised accounting system?
Marks:1View AnswerAnswer:
Computerised accounting system refers to a system that consists of human and computer resources for recording, processing and reporting the accounting events of an organisation.
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Q10
List any two specific areas of accounting the spreadsheet lends the support to.
Marks:1View AnswerAnswer:
It lends support to pay roll accounting, depreciation schedules and loan payment details.
