Question 1

If the consignee is allowed del credere commission, then he bears -

Accepted Answer

A) All sales promotion expenses . 
B) Loss due to bad debts . 
C) Loss due shortage of goods . 
D) All routine expenses in connection with the goods 
A) All sales promotion expenses . 
B) Loss due to bad debts . 
C) Loss due shortage of goods . 
D) All routine expenses in connection with the goods B

Question 2

A foreign bill of exchange is generally drawn up in -

Accepted Answer

A) Triplicate . 
B) Duplicate . 
C) Single . 
D) Quadruplicate 
A) Triplicate . 
B) Duplicate . 
C) Single . 
D) Quadruplicate A

Question 3

As per Partnership Act, which of these rights are available to a partner --

Accepted Answer

A) Bonus . 
B) Salary . 
C) Commission . 
D) Equal profit 
A) Bonus . 
B) Salary . 
C) Commission . 
D) Equal profit B

Question 4

Noting charges are ultimately borne by-

Accepted Answer

A) Drawee . 
B) Drawer . 
C) Payee . 
D) None 
A) Drawee . 
B) Drawer . 
C) Payee . 
D) None

Question 5

A consignor is entitled to ------

Accepted Answer

A) Profit on consignment . 
B) Commission on Sales . 
C) Reimbursement of expenses 
D) Interest on capital 
A) Profit on consignment . 
B) Commission on Sales . 
C) Reimbursement of expenses 
D) Interest on capital

Question 6

Which of these is not a part of double entry system

Accepted Answer

A) Joint Bank A/c . 
B) Memorandum A/c . 
C) Joint Venture A/c . 
D) Joint Venture with other co-venturer A/c 
A) Joint Bank A/c . 
B) Memorandum A/c . 
C) Joint Venture A/c . 
D) Joint Venture with other co-venturer A/c

Question 7

Which of these is not an essential feature of a bill of exchange

Accepted Answer

A) Unconditional . 
B) Certainty of amount . 
C) In writing. 
D) Amount to be paid in foreign currency 
A) Unconditional . 
B) Certainty of amount . 
C) In writing. 
D) Amount to be paid in foreign currency

Question 8

Loss of goods in transit is borne by-

Accepted Answer

A) Consignee . 
B) Consignor . 
C) Both (a) and (b) proportionately . 
D) Insurance company 
A) Consignee . 
B) Consignor . 
C) Both (a) and (b) proportionately . 
D) Insurance company

Question 9

Del credere commission is allowed to -

Accepted Answer

A) Consignee . 
B) Consignor . 
C) Agent of consignee . 
D) Debt collection agency 
A) Consignee . 
B) Consignor . 
C) Agent of consignee . 
D) Debt collection agency

Question 10

What does the balance in Memorandum Joint Venture A/c shows-

Accepted Answer

A) Profit or Loss . 
B) Closing Stock . 
C) Balance due from other Co-venturer 
D) Difference in Trial Balance 
A) Profit or Loss . 
B) Closing Stock . 
C) Balance due from other Co-venturer 
D) Difference in Trial Balance

Question 11

Drawee means a person who -

Accepted Answer

A) Makes the order . 
B) Accepts it . 
C) Takes the payment on due date . 
D) Creditor 
A) Makes the order . 
B) Accepts it . 
C) Takes the payment on due date . 
D) Creditor

Question 12

Which of these is a normal loss -

Accepted Answer

A) Loss in weight due to weather conditions . 
B) Shortage during transit . 
C) Breakage during handling . 
D) Loss in value due to market conditions 
A) Loss in weight due to weather conditions . 
B) Shortage during transit . 
C) Breakage during handling . 
D) Loss in value due to market conditions

Question 13

Retirement of a bill of exchange means -

Accepted Answer

A) Cancellation of bill . 
B) Premature payment of bill . 
C) Discounting of bill. 
D) Endorsement of bill 
A) Cancellation of bill . 
B) Premature payment of bill . 
C) Discounting of bill. 
D) Endorsement of bill

Question 14

Accommodation bills are generally for -

Accepted Answer

A) Genuine trade reasons . 
B) For mutual financial accommodation. 
C) To help augment money supply . 
D) All the three 
A) Genuine trade reasons . 
B) For mutual financial accommodation. 
C) To help augment money supply . 
D) All the three

Question 15

Early payment of a Bill of Exchange is known as -

Accepted Answer

A) Retirement . 
B) Renewal . 
C) Discount . 
D) Endorsement 
A) Retirement . 
B) Renewal . 
C) Discount . 
D) Endorsement

Question 16

A consignee is entitled to -------

Accepted Answer

A) Commission on sales . 
B) Reimbursement of the expenses . 
C) Del credere commission. 
D) All of these 
A) Commission on sales . 
B) Reimbursement of the expenses . 
C) Del credere commission. 
D) All of these

Question 17

When a B/R is discounted, what entry is passed by the Drawee-

Accepted Answer

A) Bank A/c Dr. to B/R Cr. . 
B) Drawer A/c Dr. to B/R A/c Cr. 
C) B/R A/c Dr. to B/P A/c Cr. . 
D) No entry 
A) Bank A/c Dr. to B/R Cr. . 
B) Drawer A/c Dr. to B/R A/c Cr. 
C) B/R A/c Dr. to B/P A/c Cr. . 
D) No entry

Question 18

Which of these are not required in a promissory note

Accepted Answer

A) Acceptance . 
B) Unconditional promise to pay . 
C) Properly stamped. 
D) Payment to be made legal currency 
A) Acceptance . 
B) Unconditional promise to pay . 
C) Properly stamped. 
D) Payment to be made legal currency

Question 19

On 1st April 2013 Abhay of Patna consigned goods costing `7500 to Bhola of Ranchi at a proforma invoice price of 25% profit on sales. The Consignment A/c will be credited for stock loading by -

Accepted Answer

A) 2500 . 
B) 1875 . 
C) 2000 . 
D) 1500 
A) 2500 . 
B) 1875 . 
C) 2000 . 
D) 1500

Question 20

On early retirement of a B/E who suffers loss of interest -

Accepted Answer

A) Drawee . 
B) Drawer . 
C) Payee . 
D) None 
A) Drawee . 
B) Drawer . 
C) Payee . 
D) None

Exam 38: Bills of Exchange, Consignment, and Partnership

If the consignee is allowed del credere commission, then he bears -

A foreign bill of exchange is generally drawn up in -

As per Partnership Act, which of these rights are available to a partner --

Noting charges are ultimately borne by-

A consignor is entitled to ------

Which of these is not a part of double entry system

Which of these is not an essential feature of a bill of exchange

Loss of goods in transit is borne by-

Del credere commission is allowed to -

What does the balance in Memorandum Joint Venture A/c shows-

Drawee means a person who -

Which of these is a normal loss -

Retirement of a bill of exchange means -

Accommodation bills are generally for -

Early payment of a Bill of Exchange is known as -

A consignee is entitled to -------

When a B/R is discounted, what entry is passed by the Drawee-

Which of these are not required in a promissory note

On 1st April 2013 Abhay of Patna consigned goods costing `7500 to Bhola of Ranchi at a proforma invoice price of 25% profit on sales. The Consignment A/c will be credited for stock loading by -

On early retirement of a B/E who suffers loss of interest -

Exploring Features and Advantages of Computerized Accounting Systems

Exploring Computerized Accounting Systems and Software

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Not-For-Profit Organizations and Financial Accounts

Goodwill and Intangible Assets

Valuation and Calculation of Goodwill

Understanding the Concepts of Lessor, Lessee, and Minimum Rent

Royalty Accounting and Partnership Firms

Accounting

Accounting and Corporate Finance

Accounting and Finance

Depreciation, Share Capital, and Forfeiture of Shares

Financial Statements and Accounting Principles

Insurance Provision and Accounting Standards

Formation and Capital Structure of Public Companies

Share Forfeiture, Debentures, and Sinking Fund

Financial Accounting and Banking

Insurance and General Insurance Companies: Understanding Terms and Concepts

Single Entry System and Company Ownership

Share Capital and Shareholders in a Company

Debentures, Bonds, and Shares

Accounting Concepts and Principles

Accounting Concepts and Practices

Financial Statements and Accounting for Nonprofit Organizations

Hire Purchase, Sale of Goods, and Bookkeeping

Accounting and Bookkeeping

Allocation of Selling Expenses Among Departments Based on Sales

Accounting Concepts and Systems

Accounting and Financial Transactions

Ac Types, Balances, and Entries

Errors, Adjustments, and Expenditures in Accounting

Capitalization, Errors, Cash Book, and Types of Accounts

Revenue Recognition and Expenditure Classification

Depreciation and Asset Provision

Accounting Adjustments and Financial Statement Treatment

Balance Sheet and Profit Loss Account

Accounting and Financial Management

Accounting Standards and Joint Ventures

Accounting and Financial Management : Part A

Accounting and Financial Management : Part B

Accounting: Interest, Bill, Partnership Agreement,insurance, Contingent Liability, and Business Resources

Fundamentals of Accounting: Objectives, Concepts, and Principles

Depreciation and Reserves: Understanding the Accounting Concepts

Underwriting and Creditor Questions in Company Affairs

Amalgamation, Llp, and Single Entry System

Single Entry System and Profit Calculation

Accounting for Receipts, Payments, Income, and Expenditure in Consignment and Joint Venture Businesses

Accounting for Co-Venturers, Consignments, and Branches

Accounting Arrangements and Operations for Branches

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