Q#1: Which of the following is NOT the classification of current assets with respect to the Companies Ordinance 1984?
(A) Cash Balance
(B) Bank Balance
(C) Premises
(D) Marketable Securities
Answer: (C) Premises
Q#2: Written down value of an asset =
(A) Original cost – Accumulated depreciation
(B) Original cost – Appreciation
(C) Book value – Accumulated depreciation
(D) Original cost – Salvage value
Answer: (A) Original cost – Accumulated depreciation
Q#3: Which of the following entities is not profit oriented?
(A) Sole proprietorship
(B) Partnership
(C) Companies
(D) Foundations
Answer: (D) Foundations
Q#4: All of the following are fixed assets EXCEPT:
(A) Machinery
(B) Freehold land
(C) Leasehold land
(D) Marketable securities
Answer: (D) Marketable securities
Q#5: A partnership firm has a maximum ____ number of partners.
(A) 20
(B) 15
(C) 10
(D) 02
Answer: (A) 20
Q#6: Which of the following is NOT the classification of current assets?
(A) Stock
(B) General Stores
(C) Spare parts
(D) Bank overdraft
Answer: (D) Bank overdraft
Q#7: Which IAS deals with Inventories?
(A) IAS 38
(B) IAS 23
(C) IAS 02
(D) IAS 16
Answer: (C) IAS 02
Q#8: IAS 32 & 39 are related to:
(A) Property, Plant & Equipment
(B) Inventory
(C) Financial Statements
(D) Financial Instruments
Answer: (D) Financial Instruments
Q#9: IAS-16 deals with:
(A) Property, Plant and Equipment
(B) Cash Flow Statement
(C) Presentation of Financial Statements
(D) Earnings per share
Answer: (A) Property, Plant and Equipment
Q#10: Which meeting is held once in the life of a company?
(A) Statutory Meeting
(B) Annual General Meeting
(C) Extraordinary Meeting
(D) Board Meeting
Answer: (A) Statutory Meeting
Q#11: Which of the following is NOT a qualifying asset?
(A) Power plant under construction
(B) Inventories requiring long production
(C) Special order inventory (5 months)
(D) Asset ready for use
Answer: (D) Asset ready for use
Q#12: Original planned investigation for new knowledge is called:
(A) Research
(B) Development
(C) Audit
(D) Accounting
Answer: (A) Research
Q#13: Which IAS deals with Intangible Assets?
(A) IAS 38
(B) IAS 23
(C) IAS 01
(D) IAS 16
Answer: (A) IAS 38
Q#14: Types of stock for manufacturing concerns include:
(A) Raw Material
(B) Work in Process
(C) Finished Goods
(D) All of the given options
Answer: (D) All of the given options
Q#15: Which one is a method of stock valuation?
(A) Diminishing Balance Method
(B) Written Down Value Method
(C) Specific Identification Method
(D) Sum of Year Digit Method
Answer: (C) Specific Identification Method
Quiz 2
Q#16: All of the following are fixed assets EXCEPT:
(A) Machinery
(B) Freehold land
(C) Leasehold land
(D) Marketable securities
Answer: (D) Marketable securities
Q#17: Which schedule provides disclosure requirements for listed companies?
(A) 4th Schedule
(B) 5th Schedule
(C) 6th Schedule
(D) 2nd Schedule
Answer: (A) 4th Schedule
Q#18: Which investments are recorded using Cost Method?
(A) Long-term investments
(B) Short-term investments
(C) Both
(D) None
Answer: (A) Long-term investments
Q#19: If one company controls another, it is called:
(A) Subsidiary Company
(B) Holding Company
(C) Public Limited Company
(D) Private Limited Company
Answer: (B) Holding Company
Q#20: Which is NOT a stock valuation method?
(A) FIFO
(B) Weighted Average
(C) Specific Identification
(D) Straight Line
Answer: (D) Straight Line
Q#21: IAS related to Consolidated Financial Statements:
(A) IAS 27
(B) IAS 28
(C) IAS 31
(D) IAS 32
Answer: (A) IAS 27
Q#22: Application of research findings is called:
(A) Applied research
(B) Development
(C) Business research
(D) Accounting
Answer: (B) Development
Q#23: Depreciation is treated as:
(A) Reserve
(B) Expense
(C) Surplus
(D) Liability
Answer: (B) Expense
Q#24: Examples of development activities include:
(A) Designing tools
(B) Testing prototypes
(C) Pilot plant operations
(D) All of the given options
Answer: (D) All of the given options
Q#25: Methods for calculating inventory cost include:
(A) FIFO
(B) Weighted Average
(C) Specific Identification
(D) All of the given options
Answer: (D) All of the given options
Q#26: IAS 23 relates to:
(A) Qualifying assets
(B) Borrowing cost capitalization
(C) Capitalization period
(D) All of the given options
Answer: (D) All of the given options
Q#27: Partnership firm maximum partners:
(A) 20
(B) 15
(C) 10
(D) 02
Answer: (A) 20
Q#28: Section related to AGM:
(A) Section 157
(B) Section 158
(C) Section 159
(D) Section 160
Answer: (B) Section 158
Q#29: Firms exceeding 20 partners allowed in:
(A) Lawyers
(B) Doctors
(C) Associates
(D) All of the given options
Answer: (D) All of the given options
Q#30: Allowed alternative method for joint ventures:
(A) Proportionate Consolidation
(B) Equity Method
(C) Weighted Average
(D) SYD
Answer: (A) Proportionate Consolidation
Q#31: Companies are registered under:
(A) Partnership Act 1932
(B) Companies Ordinance 1984
(C) Partnership Agreement
(D) Income Tax Ordinance
Answer: (B) Companies Ordinance 1984
Q#32: Business formed with Stock Exchange approval:
(A) Money Exchange
(B) NBFC
(C) Trade Organization
(D) Corporate Brokerage House
Answer: (D) Corporate Brokerage House
Q#33: Allowed alternative stock valuation method:
(A) FIFO
(B) LIFO
(C) Weighted Average
(D) Specific Identification
Answer: (B) LIFO
Q#34: IAS for Borrowing Costs:
(A) IAS 23
(B) IAS 07
(C) IAS 01
(D) IAS 16
Answer: (A) IAS 23
Q#35: Stock type for trading concern:
(A) Raw Material
(B) Work in Process
(C) Finished Goods
(D) Stock in Trade
Answer: (D) Stock in Trade
Q#36: Directors meeting requirement:
(A) Quarterly
(B) Monthly
(C) Yearly
(D) Weekly
Answer: (A) Quarterly
Q#37: Prime cost includes:
(A) Direct Material + Direct Labour
(B) Factory Cost – Overheads
(C) Conversion Cost – Overheads
(D) All of the given options
Answer: (A) Direct Material + Direct Labour
Q#38: IAS for Intangible Assets:
(A) IAS 38
(B) IAS 23
(C) IAS 01
(D) IAS 16
Answer: (A) IAS 38
Q#39: Classification of current assets includes:
(A) Building
(B) Land
(C) Premises
(D) Marketable Securities
Answer: (D) Marketable Securities
Q#40: Examples of research activities:
(A) New knowledge search
(B) Evaluation of findings
(C) Search for alternatives
(D) All of the given options
Answer: (D) All of the given options
Q#41: IAS related to Joint Venture:
(A) IAS 27
(B) IAS 28
(C) IAS 31
(D) IAS 32
Answer: (C) IAS 31
Q#42: Which fixed asset is shown at cost?
(A) Machinery
(B) Furniture
(C) Vehicles
(D) Land
Answer: (D) Land