ACCOUNTANT – KERALA ARTISANS DEVELOPMENT CORPORATION LIMITED

PROVISIONAL ANSWER KEY
Question Paper Code: 11/2017/OL
Category Code: 650/2014
Exam: Accountant
Medium of Question: English
Date of Test 06-03-2017
Alphacode A
Question1:-The constitution of India adopted the idea of Directive Principles of State Policy from the constitution of
A:-Canada
B:-U.K
C:-U.S.A
D:-Ireland
Correct Answer:- Option-D
Question2:-Which is not among the Fundamental Rights?
A:-Right against Exploitation
B:-Right to property
C:-Right to constitutional remedies
D:-Right to equality
Correct Answer:- Option-B
Question3:-Who is the highest law officer of India?
A:-Attorney General
B:-Advocate General
C:-President of India
D:-Chief Justice
Correct Answer:- Option-A
Question4:-Expand KELSA
A:-Kerala Legal Service Authority
B:-Kerala State Legal Services Authority
C:-Kerala’s Legal Service Association
D:-Kerala Legal Studies Authority
Correct Answer:- Option-B
Question5:-First Digital State in India is
A:-Haryana
B:-Sikkim
C:-Kerala
D:-Uthar Pradesh
Correct Answer:- Option-C
Question6:-The International Day for the Elimination of violence against women is
A:-November 10
B:-November 15
C:-November 20
D:-November 25
Correct Answer:- Option-D
Question7:-Litho printing in Kerala was introduced by the protestant missionary
A:-Johan Guttenberg
B:-W.J. Ringletaube
C:-Father Mateer
D:-Herman Gundert
Correct Answer:- Option-D
Question8:-Name the Social Reformer who has founded Jathinashini Sabha through which he promoted inter-caste marriage
in kerala
A:-Swami Ananda Theerthan
B:-K. Ayyappan
C:-Sree Narayana Guru
D:-Brahmananda Siva Yogi
Correct Answer:- Option-A
Question9:-The Temple Entry Proclamation was issued in the year
A:-1931
B:-1932
C:-1936
D:-1939
Correct Answer:- Option-C
Question10:-The Founder of Swadeshabhimani Newspaper was
A:-C. Krishnan
B:-Vakkom Abdulkhadar Maulavi
C:-K. Ramakrishna Pillai
D:-C. Krishna Pillai
Correct Answer:- Option-B
Question11:-The novel written by C.V. Raman Pillai
A:-Marthandavarma
B:-Bhutarayar
C:-Kerala Simham
D:-Vishakanyaka
Correct Answer:- Option-A
Question12:-The woman, who is famous through the ‘Rajadhani March’ to Kaudiyar Palace
A:-Akkamma Cheriyan
B:-Anna Chandi
C:-Arya Pallam
D:-A.V. Kuttimalu Amma
Correct Answer:- Option-A
Question13:-Who founded common wells called ” Munthi Rikkinar” for people from all castes?
A:-Sahodharan Ayyappan
B:-S.N. Guru
C:-Vaikunda Swamikal
D:-Kumara Gurudevan
Correct Answer:- Option-C
Question14:-Kallumala Agitation associated with
A:-K.P. Karuppan
B:-Ayyankali
C:-Lalitha Prabhu
D:-Parvathi Nenmenimangalam
Correct Answer:- Option-B
Question15:-Who is known as “Kerala Vyasa”?
A:-Kodungallur Kunhikkuttan Thampuran
B:-A.R. Raja Raja Varma
C:-Kerala Varma Valiya Koil Thampuran
D:-Rama Varma Thampuran
Correct Answer:- Option-A
Question16:-‘Beti Bachao’ ‘Beti Padhao’ scheme has been launched in India in
A:-April 2015
B:-March 2015
C:-January 2015
D:-February 2015
Correct Answer:- Option-C
Question17:-The master gland of human body is
A:-Adrenal gland
B:-Thyroid gland
C:-Thymus gland
D:-Pituitary gland
Correct Answer:- Option-D
Question18:-The European country associated with BREXIT
A:-Belgium
B:-Britain
C:-France
D:-Brazil
Correct Answer:- Option-B
Question19:-The Malayalam poet who bagged Asan Smaraka Award 2016 is
A:-Akkitham
B:-O.N.V. Kurup
C:-Kavalam Narayana Kurup
D:-Chemmanam Chacko
Correct Answer:- Option-D
Question20:-The 12th person among the Chief Ministers of Kerala is
A:-Sri Ummen Chandy
B:-V.S. Achuthanandan
C:-Pinarayi Vijayan
D:-A.K. Antony
Correct Answer:- Option-C
Question21:-___________ are the cost of either a single process or a series of processes that simultaneously produce two or
more products of significant relative sales value.
A:-Common costs
B:-Joint costs
C:-Product cost
D:-Period cost
Correct Answer:- Option-B
Question22:-____________ costs are not traceable to any plant, department, and operation or to any individual final product.
A:-Common costs
B:-Indirect costs
C:-Both (1) and (2)
D:-None of these
Correct Answer:- Option-C
Question23:-___________ is the production that fails to meet quality or dimensional requirements and hence has to be
disposed of without further processing.
A:-Spoilage
B:-Waste
C:-Scrap
D:-All are correct
Correct Answer:- Option-A
Question24:-If normal usage of raw material is 110 per day, minimum usage is 50 per day, maximum usage is 140 per day,
and lead time is 25 to 35 days, the minimum stock level is ________.
A:-4200
B:-1175
C:-7950
D:-None of these
Correct Answer:- Option-B
Question25:-____________ is a form of specific order costing which applies where work is undertaken to customer’s special
requirements and each order is of short term duration.
A:-Batch costing
B:-Job costing
C:-Both (1) and (2)
D:-None of the above
Correct Answer:- Option-B
Question26:-In contract costing retention money is the difference between work certified and _________.
A:-Contract prices
B:-Cash received
C:-Work uncertified
D:-None of these
Correct Answer:- Option-B
Question27:-Process account is credited with the scrap value of __________.
A:-Abnormal gain
B:-Abnormal loss
C:-Normal loss
D:-Normal gain
Correct Answer:- Option-C
Question28:-Under marginal costing, contribution is
A:-Sales – Variable cost
B:-Fixed cost + Profit
C:-Both (1) and (2)
D:-None of these
Correct Answer:- Option-C
Question29:-Material usage variance is a combination of ____________.
A:-Mix variance and Yield variance
B:-Mix variance and Price variance
C:-Material cost variance and Yield variance
D:-None of these
Correct Answer:- Option-A
Question30:-_____________ is a method of budgeting where no reference is made to previous level of expenditure.
A:-PPBS
B:-Flexible Budget
C:-ZBB
D:-Fixed Budget
Correct Answer:- Option-C
Question31:-____________ is a subsidiary objective of Auditing.
A:-Assess the system of internal control
B:-Detection and prevention of fraud
C:-Confirm existence of assets and liabilities
D:-Ascertain whether distinction has been made between capital and revenue items
Correct Answer:- Option-B
Question32:-Goods purchased for Rs. 10,000 is recorded in purchases day book as Rs. 1,000 is a ___________ type of error.
A:-Omission
B:-Commission
C:-Principle
D:-Compensating
Correct Answer:- Option-B
Question33:-Scheduling dates for interim and year end audit procedures is a goal of ____________.
A:-Audit Programme
B:-Audit Procedure
C:-Audit Planning
D:-All of these
Correct Answer:- Option-C
Question34:-Mistakes and Errors detected are recorded in ____________.
A:-Audit Note Book
B:-Audit Working Papers
C:-Audit evidence papers
D:-None of these
Correct Answer:- Option-A
Question35:-____________ is an arrangement of duties allocated in such a way that the work of one person is automatically
checked by another.
A:-Internal audit
B:-Internal control
C:-Internal check
D:-Both (1) and (3)
Correct Answer:- Option-C
Question36:-____________ is an investigation of business from the highest level downward in order to ascertain whether
sound management prevails throughout the company.
A:-Statutory audit
B:-Performance audit
C:-Propriety audit
D:-Management audit
Correct Answer:- Option-D
Question37:-When the auditor is satisfied with the fairness of the balance sheet and profit and loss account, he will give a
______________ report.
A:-Qualified report
B:-Unqualified report
C:-Adverse report
D:-None of these
Correct Answer:- Option-B
Question38:-On completion of Annual Audit the auditor’s report is issued on ___________.
A:-31st March
B:-31st December
C:-Any date later than the end of the period
D:-All of these correct
Correct Answer:- Option-C
Question39:-_____________ is the owner of Working Papers in a company audit.
A:-Company
B:-Board of Directors
C:-Auditor
D:-None of these
Correct Answer:- Option-C
Question40:-___________ audits the books of accounts of government companies as per the Companies Act.
A:-CAG
B:-Auditor appointed by the BOD
C:-Chartered Accountant
D:-Government
Correct Answer:- Option-A
Question41:-The job of figuring out the ways and means of financing investment projects is __________ decision.
A:-Capital Budgeting
B:-Capital Structure
C:-Working Capital Management
D:-All of these
Correct Answer:- Option-B
Question42:-The process of ____________ is used for calculating the Present Value of a cash flow.
A:-Compounding
B:-Annuity
C:-Reducing
D:-Discounting
Correct Answer:- Option-D
Question43:-____________ investors have a claim on residual cash flows of the firm.
A:-Debt
B:-Equity
C:-Preference
D:-All of these
Correct Answer:- Option-B
Question44:-____________ leverage arises from the firm’s fixed costs such as salaries, depreciation, insurance etc.
A:-Operating
B:-Financial
C:-Both (1) and (2)
D:-None of these
Correct Answer:- Option-A
Question45:-When inventories and receivables are supported by credit provided by suppliers and the customers pay in
advance then a firm cash have a ____________ Working Capital.
A:-Zero
B:-Negative
C:-Positive
D:-Either (1) or (2)
Correct Answer:- Option-D
Question46:-______________ is a non-discounting criteria to judge the worthwhileness of investment projects.
A:-IRR
B:-NPV
C:-ARR
D:-None of these
Correct Answer:- Option-C
Question47:-When ‘Profit after tax’ is divided by ‘book value of assets’, we get ____________.
A:-ARR
B:-IRR
C:-Pay back period
D:-None of these
Correct Answer:- Option-A
Question48:-A rights issue of capital to the existing shareholders through a Letter of Offer is made in the first instance to the
existing shareholders on a _____________ basis.
A:-Equal
B:-Allotment
C:-Pro rata
D:-All of these
Correct Answer:- Option-C
Question49:-The reason for Equity Buy Back can be ____________.
A:-To boost stock price
B:-To substitute for cash dividends
C:-To rationalize company’s capital structure
D:-All of the above
Correct Answer:- Option-D
Question50:-Bonds that have a credit rating of BB or lower by Standard and Poor’s and Ba or lower by Moody’s are referred
to as _____________ Bonds.
A:-Inverse
B:-Junk
C:-Discount
D:-Both (2) and (3)
Correct Answer:- Option-B
Question51:-As per Section 5, incidence of tax on a taxpayer depends on :
I. His residential status.
II. The place and time of accrual or receipt of income.
A:-Both I and II
B:-Either I or II
C:-Only I
D:-Only II
Correct Answer:- Option-A
Question52:-For an NRI, Foreign Income is
A:-Taxable in India
B:-Not taxable in India
C:-Partially taxable in India
D:-Taxable in India on stipulations
Correct Answer:- Option-B
Question53:-Loss under the head of “Capital Gains”
A:-Can be set off against any other income
B:-Cannot be set off against any other income and shall be carried forward
C:-Cannot be set off against any other income and shall not be carried forward
D:-Either (1) or (2)
Correct Answer:- Option-B
Question54:-GST stands for
A:-General Sales Tax
B:-Goods and Services Tax
C:-Grouped Sales Tax
D:-None of these
Correct Answer:- Option-B
Question55:-The remuneration received by people like doctors, architects, lawyers etc from their clients is treated under the
head
A:-Salaries
B:-Income from business or profession
C:-Income from other sources
D:-Any of the above
Correct Answer:- Option-B
Question56:-______________ is any casual emolument fee or profit attached to an office or position in addition to salary or
wages.
A:-Annuity
B:-Tax free benefits
C:-Gift
D:-Perquisites
Correct Answer:- Option-D
Question57:-If an asset transferred without consideration is again transferred by the transferee, the resultant gain or loss is
clubbed with the income of
A:-Former transferee
B:-Later transferee
C:-Former transferor
D:-Any of the above
Correct Answer:- Option-C
Question58:-Business losses cannot be set off against any income except
A:-Income from house property
B:-Capital gains
C:-Income from salary
D:-None of the above
Correct Answer:- Option-C
Question59:-Voluntary return is filled under section
A:-139(1)
B:-142(1)
C:-145(1)
D:-None of these
Correct Answer:- Option-A
Question60:-Ex-parte assessment is also called
A:-Precautionary assessment
B:-Best Judgement assessment
C:-Income escaping assessment
D:-None of these
Correct Answer:- Option-B
Question61:-The balance in the Shares Forfeited Account is transferred to ____________.
A:-Capital reserve
B:-General reserve
C:-Securities premium
D:-Free reserves
Correct Answer:- Option-A
Question62:-The Sinking Fund Account is finally closed by transferring the balance to ____________.
A:-Capital Reserve
B:-Debentures
C:-Sinking Fund Investment Account
D:-General Reserve Account
Correct Answer:- Option-D
Question63:-Which of the following do not amount to appropriation of profit?
A:-Proposed Dividend
B:-General Reserve
C:-Interim Dividend
D:-Provision for taxation
Correct Answer:- Option-D
Question64:-Any profit on realization of assets at the time of amalgamation is transferred to _________.
A:-Transferee Company
B:-Creditors
C:-Debenture holders
D:-Equity shareholders
Correct Answer:- Option-D
Question65:-Depreciation account is given in ____________.
A:-AS 10
B:-AS 14
C:-AS 6
D:-AS 5
Correct Answer:- Option-C
Question66:-The amount set aside for unrealized profit on stock is called ____________.
A:-Stock Reserve
B:-General Reserve
C:-Capital Reserve
D:-None of these
Correct Answer:- Option-A
Question67:-If the goods are invoiced at 25% on cost price, it means ____________ on selling price.
A:-20%
B:-25%
C:-33 and 1/3%
D:-50%
Correct Answer:- Option-A
Question68:-The creditors turnover ratio is obtained by dividing the Net Credit Annual Purchases by
A:-Average Trade Debtors
B:-Total Creditors
C:-Average Trade Creditors
D:-None of these
Correct Answer:- Option-C
Question69:-An increase in current liabilities _____________ the working capital.
A:-Decreases
B:-Increases
C:-Equates
D:-None of these
Correct Answer:- Option-A
Question70:-The Accounting Standards Board (ASB) came to existence in the year
A:-1967
B:-1977
C:-1961
D:-1957
Correct Answer:- Option-B
Question71:-RTGS stands for _____________.
A:-Real Time Gross Services
B:-Rational Time Gross Settlement
C:-Real Time Group Settlement
D:-Real Time Gross Settlement
Correct Answer:- Option-D
Question72:-The right of the banker to retain all the properties of the debtor is called ___________.
A:-Particular Lien
B:-General Lien
C:-Gross Lien
D:-All of these
Correct Answer:- Option-B
Question73:-Which of the following is not a Nationalised bank?
A:-Bank of Baroda
B:-Canara Bank
C:-Federal Bank
D:-Syndicate Bank
Correct Answer:- Option-C
Question74:-CRR stands for ____________.
A:-Credit Reserve Ratio
B:-Cash Reserve Ratio
C:-Credit Reversal Ratio
D:-None of these
Correct Answer:- Option-B
Question75:-RBI Act came into force in
A:-1930
B:-1936
C:-1934
D:-1956
Correct Answer:- Option-C
Question76:-SPNS stands for ______________.
A:-Systematic Payment Network System
B:-Small Payment Network System
C:-Shared Payment Network System
D:-Secured Payment Network System
Correct Answer:- Option-C
Question77:-Which of the following is not a property insurance?
A:-Fire Insurance
B:-Agricultural Insurance
C:-Health Insurance
D:-Livestock Insurance
Correct Answer:- Option-C
Question78:-The principle of ‘Causa Proxima’ in insurance business means
A:-The nearest cause
B:-The proximate cause
C:-The immediate cause
D:-All of these
Correct Answer:- Option-D
Question79:-The Life Insurance Corporation Act came into effect in the year
A:-1956
B:-1972
C:-1934
D:-1961
Correct Answer:- Option-A
Question80:-Which of the following is not a fundamental principle of insurance contract?
A:-Utmost good faith
B:-Insurable interest
C:-Indemnity
D:-Assignment
Correct Answer:- Option-D
Question81:-DDB stands for _____________.
A:-Debit Discount Bonds
B:-Deep Discount Bonds
C:-Derived Debt Bonds
D:-All of these
Correct Answer:- Option-B
Question82:-In the call money market, the period for which a loan is granted shall not exceed
A:-7 days
B:-15 days
C:-30 days
D:-60 days
Correct Answer:- Option-A
Question83:-Which of the following is not a Money market instrument?
A:-Commercial Bills
B:-Treasury Bills
C:-Collateral loans
D:-Commercial Paper
Correct Answer:- Option-C
Question84:-Equity shares issued by a company to its employees or directors, at a discount, for providing know-how is
called ____________.
A:-Right shares
B:-Bonus shares
C:-Preference shares
D:-Sweat equity shares
Correct Answer:- Option-D
Question85:-Security merchants dealing in shares and debentures as independent operators are called
A:-Brokers
B:-Jobbers
C:-Sub-brokers
D:-Consultants
Correct Answer:- Option-B
Question86:-Bombay Stock Exchange was established in the year ___________.
A:-1975
B:-1925
C:-1856
D:-1875
Correct Answer:- Option-D
Question87:-SEBI Act came into force in the year ______________.
A:-1991
B:-2002
C:-1992
D:-1947
Correct Answer:- Option-C
Question88:-The first stock exchange in India was set up in _____________.
A:-Ahmadabad
B:-Bombay
C:-Calcutta
D:-Delhi
Correct Answer:- Option-B
Question89:-Regulations governing Mutual Funds are being issued by ____________.
A:-SEBI
B:-RBI
C:-CRISIL
D:-AMFI
Correct Answer:- Option-A
Question90:-Mutual funds attracting foreign savings for investment in India is called
A:-Foreign funds
B:-Domestic funds
C:-Off-shore funds
D:-Fund of funds
Correct Answer:- Option-C
Question91:-TCP stands for ____________.
A:-Transmission Control Protocol
B:-Transaction Control Protocol
C:-Trade Control Protocol
D:-All of these
Correct Answer:- Option-A
Question92:-Which of the following is not an electronic fund transfer method?
A:-RTGS
B:-ATMs
C:-NEFT
D:-ETTPOS
Correct Answer:- Option-B
Question93:-Use of computers and communication technology for management of information is called
A:-MIS
B:-Office Automation
C:-Office Management
D:-All of these
Correct Answer:- Option-B
Question94:-Which of the following is not a component of DSS?
A:-Database
B:-Model base
C:-DSS software
D:-None of these
Correct Answer:- Option-D
Question95:-The technique of Group Decision Making in which there is no formal meeting of participants is called __________.
A:-Brainstorming
B:-Nominal Group Technique
C:-Delphi Method
D:-None of these
Correct Answer:- Option-C
Question96:-A group of cells in an Excel workbook is called ___________.
A:-Range
B:-Row
C:-Column
D:-None of these
Correct Answer:- Option-A
Question97:-Which of the following is a Database function in Excel?
A:-SLN
B:-DMAX
C:-NPV
D:-PMT
Correct Answer:- Option-B
Question98:-DDL stands for ______________.
A:-Data Definition Language
B:-Data Decoding Language
C:-Data Describing Language
D:-All of these
Correct Answer:- Option-A
Question99:-Which of the following is not a Data Mining technology?
A:-Artificial Neural Networks
B:-Decision Trees
C:-Genetic Algorithms
D:-None of these
Correct Answer:- Option-D
Question100:-Which of the following is a tool used for arranging and storing information about data maintained in the
database?
A:-Database files
B:-Data Dictionary
C:-Report Generator
D:-Interface System
Correct Answer:- Option-B