LABORATORY TECHNICAL ASSISTANT-ACCOUNTING AND AUDITING -VHSE
FINAL ANSWER KEY
Question Paper Code: 99/2017/OL
Category Code: 134/2017
Exam: Laboratory Technical Assistant (Accounting and
Auditing)
Medium of Question: English
Date of Test 28-12-2017
Department Vocational Higher Secondary Education
Alphacode A
Question1:-How many Articles are there in the original Indian Constitution ?
A:-385
B:-390
C:-395
D:-405
Correct Answer:- Option-C
Question2:-Which constitutional amendment omitted the right to property from fundamental rights in India ?
A:-`42^(nd)`
B:-`43^(rd)`
C:-`44^(th)`
D:-`45^(th)`
Correct Answer:- Option-C
Question3:-In which part of Indian Constitution the Fundamental Rights are included ?
A:-`1^(st)`
B:-`2^(nd)`
C:-`3^(rd)`
D:-`4^(th)`
Correct Answer:- Option-C
Question4:-Kerala government’s Sukrutham programme is related to ___________
A:-Free cancer treatment
B:-Prevent epidemics among migrant labourers
C:-Free dialysis for poor
D:-Welfare of differently abled
Correct Answer:- Option-A
Question5:-Which Indian Prime Minister started the Indira Gandhi Awas Yojana (IGAY) ?
A:-Indira Gandhi
B:-Narasimha Rao
C:-Manmohan Singh
D:-Rajiv Gandhi
Correct Answer:- Option-D
Question6:-Antyodaya Anna Yojana (AAY) was started in __________
A:-A. D. 1995
B:-A. D. 2000
C:-A. D. 2005
D:-A. D. 2010
Correct Answer:- Option-B
Question7:-In which Ashram Swami Agamananda belonged ?
A:-Siddha Ashram
B:-Ramakrishna Advaita Ashram
C:-Ananda Ashram
D:-None of these
Correct Answer:- Option-B
Question8:-Where did Chattampi Swamikal attain Samadhi ?
A:-Kannamula
B:-Alathur
C:-Kottayam
D:-Panmana
Correct Answer:- Option-D
Question9:-The first annual session of S.N.D.P. was held at _____________
A:-Aruvippuram
B:-Kaladi
C:-Aluva
D:-Varkala
Correct Answer:- Option-A
Question10:-What was the main slogan of Yogakshema Sabha in its early days ?
A:-Make Namboodiri a human being
B:-Modernise Namboodiri women
C:-Eradicate untouchability
D:-Open up temples to lower castes
Correct Answer:- Option-A
Question11:-Who was the leader of Savarna Jatha organized in connection with Vaikkam Satyagraha ?
A:-K. P. Kesava Menon
B:-K. Kelappan
C:-Parameswaran Pillai
D:-Mannathu Padmanabhan
Correct Answer:- Option-D
Question12:-Which among the following work is not written by Kumaran Asan ?
A:-Prarodanam
B:-Vilapam
C:-Karuna
D:-Sribuddhacharitam
Correct Answer:- Option-B
Question13:-In which year T. M. Appu Nedungadi’s Kundalatha published ?
A:-1885
B:-1886
C:-1887
D:-1888
Correct Answer:- Option-C
Question14:-Who wrote the book Treatment of Tiyyas in Travancore ?
A:-Dr. Palpu
B:-Kumaran Asan
C:-T. K. Madhavan
D:-Sree Narayana Guru
Correct Answer:- Option-A
Question15:-Who is the only Malayali mentioned in Gandhi’s autobiography ?
A:-K. Kelappan
B:-G. P. Pillai
C:-Sree Narayana Guru
D:-T. K. Madhavan
Correct Answer:- Option-B
Question16:-Who was the founder editor of the magazine Yukthivadi ?
A:-C. Krishnan
B:-Ayyankali
C:-Swadeshabhimani Ramakrishna Pillai
D:-Sahodaran Ayyappan
Correct Answer:- Option-D
Question17:-Who wrote the novel Vishakanyaka ?
A:-S. K. Pottakkad
B:-Vaikkam Muhammed Basheer
C:-Takazhi Sivasankara Pillai
D:-Kesava Dev
Correct Answer:- Option-A
Question18:-Which country won the FIFA World Cup-2014 ?
A:-Argentina
B:-Brazil
C:-France
D:-Germany
Correct Answer:- Option-D
Question19:-The `9^(th)` Indian Premier League (IPL) was won by __________
A:-Chennai Super Kings
B:-Banglore Royal Challengers
C:-Sunrisers Hyderabad
D:-Kolkata Knight Rider
Correct Answer:- Option-C
Question20:-Which Chundan won the `65^(th)` Nehru Trophy Boat race in 2017 ?
A:-Payippadan
B:-Gabriel
C:-Karichal
D:-Mahadevikkad Kttilthekkethil
Correct Answer:- Option-B
Question21:-The financial statement that reports the assets, liabilities and stockholder’s (owner’s) equity at a specific date is
the
A:-Balance Sheet
B:-Income Statement
C:-Statement of Cash Flows
D:-Trading Account
Correct Answer:- Option-A
Question22:-Under the accrual basis of accounting, revenues are reported in the accounting period when the
A:-Cash is received
B:-Service or goods have been delivered
C:-Cash paid
D:-Stock is reduced
Correct Answer:- Option-B
Question23:-Accounting begins where ________________ ends.
A:-Book keeping
B:-Balance sheet
C:-Journal
D:-Trial balance
Correct Answer:- Option-A
Question24:-Creditors are shown on the ____________ side of balance sheet.
A:-Asset
B:-Liability
C:-Debit
D:-Credit
Correct Answer:- Option-B
Question25:-Revenue – Expense =
A:-Asset
B:-Income
C:-Liability
D:-None of the above
Correct Answer:- Option-B
Question26:-_____________ is a brief history of financial transaction of a particular person or item.
A:-Account
B:-Balance Sheet
C:-Journal
D:-Source document
Correct Answer:- Option-A
Question27:-If both the aspects of the same transaction are appearing in one account it is ________.
A:-Contra entry
B:-Compound entry
C:-Simple entry
D:-One sided error
Correct Answer:- Option-A
Question28:-Asset minus liability is ______________
A:-Capital
B:-Drawings
C:-Credit
D:-Debit
Correct Answer:- Option-A
Question29:-Amount spend in order to produce and sell goods and service is called ___________
A:-Expense
B:-Income
C:-Revenue
D:-Asset
Correct Answer:- Option-A
Question30:-Going concern assumption tell us the life of business is __________
A:-Very long
B:-Very short
C:-Less than one year
D:-For one year
Correct Answer:- Option-A
Question31:-Goodwill is an example of
A:-Tangible asset
B:-Intangible asset
C:-Wasting asset
D:-Fictitious asset
Correct Answer:- Option-A
Question32:-L. F. column in the journals is filled at the time of __________
A:-Journalising
B:-Posting
C:-Balancing
D:-Trial balance
Correct Answer:- Option-B
Question33:-The double entry system of book keeping was developed by
A:-Stevenson
B:-Wilson
C:-Luca Paciolo
D:-Churchil
Correct Answer:- Option-C
Question34:-Purchase of machinery on credit is recorded in
A:-Sales day book
B:-Journal proper
C:-Purchase day book
D:-Purchase return book
Correct Answer:- Option-B
Question35:-Goods returned by customers are recorded in
A:-Sales book
B:-Purchase book
C:-Purchases return book
D:-Sales return book
Correct Answer:- Option-D
Question36:-On `1^(st)` January 2003, Chandran draws a bill on Sundar for 3 months, its due date is
A:-`31^(st)` March 2003
B:-`1^(st)` April 2003
C:-`4^(th)` April 2003
D:-`10^(th)` April 2003
Correct Answer:- Option-C
Question37:-The balance of cash book indicates
A:-Net income
B:-Cash in hand
C:-Difference between debtors and creditors
D:-None of the above
Correct Answer:- Option-B
Question38:-Goods taken by the proprietor for domestic use should be credited to
A:-Proprietor’s drawings account
B:-Sales account
C:-Purchase account
D:-None of the above
Correct Answer:- Option-C
Question39:-Source document for material transfer from one department to another is
A:-Invoice
B:-Credit note
C:-Material transfer note
D:-Debit note
Correct Answer:- Option-C
Question40:-In which year the audit of companies in India was made compulsory ?
A:-1911
B:-1931
C:-1913
D:-1948
Correct Answer:- Option-C
Question41:-Which of the following highlights the correct order of the stages in the accounting cycle ?
A:-Journalizing, final accounts, posting to the ledger and trial balance
B:-Journalizing, posting to the ledger, trial balance and final accounts
C:-Posting to the ledger, trial balance, final accounts and journalizing
D:-Posting to the ledger, journalizing, final accounts and trial balance
Correct Answer:- Option-B
Question42:-Unearned Revenues is what type of account ?
A:-Liability
B:-Owners equity
C:-Asset
D:-None of the above
Correct Answer:- Option-C
Question43:-Accounting entries involve a minimum _________ accounts.
A:-One
B:-Three
C:-Two
D:-Five
Correct Answer:- Option-C
Question44:-Stock in trade are to be recorded at cost or market price whichever is less is based on __________ principle.
A:-Going concern
B:-Money measurement
C:-Cost concept
D:-Conservatism
Correct Answer:- Option-D
Question45:-Accounting is the process of matching.
A:-Revenue and costs
B:-Benefits and cost
C:-Cash inflow and out flow
D:-Potential and real performance
Correct Answer:- Option-B
Question46:-Which of the following event is subject matter of accounting ?
A:-Death of the manager of the company
B:-Strike of employees
C:-Marriage of daughter of MD of the company
D:-Payment of Salary Rs. 5,000
Correct Answer:- Option-D
Question47:-Any expense that gives benefit for a period of less than twelve months is called ______
A:-Deferred expense
B:-Revenue expense
C:-Revenue receipt
D:-Capital expense
Correct Answer:- Option-C
Question48:-Prepaid rent given in the Trial Balance will be treated as a
A:-Liability
B:-Asset
C:-Income
D:-Expense
Correct Answer:- Option-B
Question49:-If asset is 1,50,000 and owners equity is 45,000 then liability is
A:-50,000
B:-1,95,000
C:-1,05,000
D:-50,000
Correct Answer:- Option-C
Question50:-Sale of goods to Manoj is wrongly debited to Madhu A/c instead of Manoj A/c. Both are debtors of business, this
is an example of
A:-Error of omission
B:-Error of commission
C:-Error of principle
D:-Compensating error
Correct Answer:- Option-B
Question51:-Money spent to upgrade machinery is known as
A:-Revenue expense
B:-Capital expense
C:-Deferred revenue expenditure
D:-Administrative expense
Correct Answer:- Option-B
Question52:-Goods of Rs. 1,000 purchased from Mr. “A” were recorded in sales book. The rectification of this error will
A:-Increase the gross profit
B:-Reduce the gross profit
C:-Have no effect on gross profit
D:-None of the given options
Correct Answer:- Option-B
Question53:-An amount of Rs. 5,000 received from Mr. “A” but credited to Mr. “B” would affect
A:-Only B’s account
B:-Only cash account
C:-Only A’s account
D:-Accounts of A and B
Correct Answer:- Option-D
Question54:-What will be debited, if Anup commenced business with cash ?
A:-Capital account
B:-Cash account
C:-Proprietors account
D:-Drawings account
Correct Answer:- Option-B
Question55:-Which among the following is not an element of computer system ?
A:-Hardware
B:-Software
C:-People
D:-Malware
Correct Answer:- Option-D
Question56:-Withdrawal by proprietor would
A:-Reduces assets and increases liabilities
B:-Have no effect on the Balance Sheet
C:-Reduces owners equity and increases assets
D:-Reduces both assets and owners equity
Correct Answer:- Option-D
Question57:-Which of the following cannot be a cause for debiting bank account ?
A:-Cheques deposited for collection
B:-Cheque sent to bank dishonoured
C:-Paid into bank
D:-Cheque given to suppliers dishonoured
Correct Answer:- Option-B
Question58:-The word ‘audit’ is derived from the Latin word audire which means
A:-To check
B:-Verify
C:-Watch dog
D:-To hear
Correct Answer:- Option-D
Question59:-_____________ audit is conducted by the employees of the business itself.
A:-Independent audit
B:-Statutory audit
C:-Internal audit
D:-Government audit
Correct Answer:- Option-C
Question60:-_____________ is auditors plan of action.
A:-Audit note book
B:-Audit working papers
C:-Audit programme
D:-Audit files
Correct Answer:- Option-C
Question61:-Which of the following is illegal ?
A:-Tax planning
B:-Tax avoidance
C:-Tax evasion
D:-All of them
Correct Answer:- Option-C
Question62:-Some times a person deducts tax at source but does not deposit it in government treasury, such person is
called
A:-Ordinary assessee
B:-Deemed assessee
C:-Assessee in default
D:-None of these
Correct Answer:- Option-C
Question63:-What will be the previous year in the case of assesse who closes his accounts on 31-3-2006 ?
A:-2004-2005
B:-2005-2006
C:-2006-2007
D:-2003-2005
Correct Answer:- Option-B
Question64:-An individual is considered as Resident u/s 6(1) if he was India for a period ________ days or more in the
previous year.
A:-60 days
B:-180 days
C:-365 days
D:-182 days
Correct Answer:- Option-D
Question65:-Which type of audit is conducted throughout the year ?
A:-Annual audit
B:-Interim audit
C:-Complete audit
D:-Continuous audit
Correct Answer:- Option-D
Question66:-__________ is the examination by the auditor documentary evidences relating to the recording of transactions in
support and thus cheeks the authenticity of such records.
A:-Vouching
B:-Confirming
C:-Footing
D:-Physical examination
Correct Answer:- Option-A
Question67:-The method of costing used in a refinery is
A:-Process costing
B:-Job costing
C:-Service costing
D:-Batch costing
Correct Answer:- Option-A
Question68:-In automobile industry, cost unit is
A:-Batch
B:-Tonne
C:-Number
D:-None of these
Correct Answer:- Option-C
Question69:-Under ____________ costing it is the practice of charging all costs, both variable and fixed to operations, process
or products.
A:-Absorption costing
B:-Direct costing
C:-Standard costing
D:-Marginal costing
Correct Answer:- Option-A
Question70:-_______ is an irrecoverable cost and is caused by complete abandonment of a plant.
A:-Sunk cost
B:-Imputed cost
C:-Differential cost
D:-Marginal cost
Correct Answer:- Option-A
Question71:-The total of all direct expenses is known as
A:-Over head
B:-Prime cost
C:-Work cost
D:-Cost of production
Correct Answer:- Option-B
Question72:-__________ is that segment of activity of a business which is responsible for both revenue and expenses.
A:-Cost centre
B:-Profit centre
C:-Work centre
D:-Development centre
Correct Answer:- Option-B
Question73:-Work cost = __________ + factory overhead.
A:-Prime cost
B:-Administration overheads
C:-Selling overhead
D:-Distribution overhead
Correct Answer:- Option-A
Question74:-__________ type of costing is used to ascertain the effect of changes in volume or type of out put on profit.
A:-Marginal costing
B:-Uniform costing
C:-Direct costing
D:-Standard costing
Correct Answer:- Option-A
Question75:-________ is the advantage, in measurable terms, which has been forgone due to not using the facility in the
manner originally planned.
A:-Notional cost
B:-Differential cost
C:-Opportunity cost
D:-Replacement cost
Correct Answer:- Option-C
Question76:-Under cost accounting stocks are valued at
A:-Cost price or market price whichever is less
B:-Market price
C:-Replacement price
D:-Cost price
Correct Answer:- Option-D
Question77:-A set of programmes designed in such a way that they perform certain supporting operations in computer like
format a disk, duplicate a disk, physically recognise stored data and programmes is called
A:-Application software
B:-System software
C:-Connecting software
D:-Utility software
Correct Answer:- Option-D
Question78:-Contingent liabilities are shown as foot note in the balance sheet as per ______ accounting principle.
A:-Full disclosure
B:-Objectivity
C:-Materiality
D:-Consistency
Correct Answer:- Option-A
Question79:-Depreciation accounting is __________ as per accounting standard issued by ICAI.
A:-Accounting standard 1
B:-Accounting standard 10
C:-Accounting standard 20
D:-Accounting standard 6
Correct Answer:- Option-D
Question80:-__________ is a fictitious asset.
A:-Under writing commission
B:-Oil field
C:-Plant and machinery
D:-Patent
Correct Answer:- Option-A
Question81:-__________ is the feature of Value Added tax which prevents cascading effect of tax.
A:-Input tax credit
B:-Different tax slabs
C:-Cash credit
D:-None of these
Correct Answer:- Option-A
Question82:-A ____________ report is prepared by the auditory when he finds the accounts exhibiting a true and fair view of
the state of company’s financial affairs.
A:-Unqualified report
B:-Qualified report
C:-Specific report
D:-None of these
Correct Answer:- Option-A
Question83:-In India Value Added tax is first introduced in __________ state.
A:-Haryana
B:-Bihar
C:-Rajasthan
D:-Delhi
Correct Answer:- Option-A
Question84:-The following error affects trial balance is
A:-Compensating error
B:-Error of principle
C:-Error of complete omission
D:-Error of commission
Correct Answer:- Option-D
Question85:-_______________ is a technique with an auditor to contact responsible officials through interview and open
communication with the outside parties for ensuring that the transactions are authentic, valid and accurate.
A:-Confirming
B:-Vouching
C:-Reconciling
D:-Testing
Correct Answer:- Option-A
Question86:-Company audit is an example of __________ audit.
A:-Government audit
B:-Internal audit
C:-Statutory audit
D:-Private audit
Correct Answer:- Option-C
Question87:-Any person who is responsible to pay tax on behalf of a minor, lunatic or a non-resident is known as
A:-Assessee in default
B:-Ordinary assessee
C:-Deemed assessee
D:-None of these
Correct Answer:- Option-C
Question88:-Assessee includes
A:-Individual
B:-HUF
C:-Company
D:-All of the above
Correct Answer:- Option-D
Question89:-Income tax department works under
A:-State govt.
B:-President
C:-Income tax commission
D:-CBDT
Correct Answer:- Option-D
Question90:-Exempted income is
A:-Not taxable under income tax
B:-Not included in total income
C:-Agricultural income
D:-All of the above
Correct Answer:- Option-D
Question91:-Types of assesses in income tax from residential point of view
A:-2
B:-3
C:-4
D:-Many
Correct Answer:- Option-B
Question92:-Company may be
A:-Resident
B:-Non-resident
C:-Not ordinarily resident
D:-Resident or non-resident
Correct Answer:- Option-D
Question93:-Previous year is
A:-Preceding year
B:-Income earning year
C:-Tax calculating year
D:-Income computation year
Correct Answer:- Option-B
Question94:-The value added tax is an expense to be suffered by
A:-Suppliers
B:-Traders
C:-Companies
D:-Final consumer
Correct Answer:- Option-D
Question95:-The responsibility for the preparation of the financial statements and the accompanying foot notes belongs to
A:-Both management and the auditor equally
B:-Management for the statements and the auditor for the notes
C:-The auditor
D:-Management
Correct Answer:- Option-D
Question96:-Debit note is associated with
A:-Sales return
B:-Purchase return
C:-Purchase
D:-Sales
Correct Answer:- Option-B
Question97:-Cash book is
A:-Journal
B:-Ledger
C:-Both journal and ledger
D:-None of these
Correct Answer:- Option-C
Question98:-Bank reconciliation statement is prepared by
A:-Bank
B:-Auditor
C:-Account holder
D:-Government
Correct Answer:- Option-C
Question99:-Identify one sided error from the following.
A:-Machinery purchase treated as purchase
B:-Cash received from Rajan credited to Rajesh
C:-Withdrawal by proprietor debited to establishment charge
D:-Purchase book is under cast
Correct Answer:- Option-D
Question100:-____________ is a temporary account opened to make trial balacne agree.
A:-P and L account
B:-Discount account
C:-Suspense account
D:-None of these
Correct Answer:- Option-C
