JAIIB Accounting and Finance for Bankers Mock Tests Set 3

The relationship between the Consignor and Consignee is that of...


Options are :

  • Principal and agent
  • Seller and buyer
  • Bailor and bailee
  • Creditor and debtor

Answer :Principal and agent

JAIIB Accounting and Finance for Bankers Mock Tests Set 4

When an entry is passed on credit side of passbook or on debit side of Cash book, the bank balance


Options are :

  • increase
  • decrease
  • has no effect
  • can decrease or increase

Answer :increase

Cross Boarder Wire Transfer Report(CBWT) is submitted -


Options are :

  • Within 15 days of close of each month
  • Within 7 days of close of each month
  • Within 14 days of close of each month
  • Within 9 days of close of each month

Answer :Within 15 days of close of each month

Loss of goods due to fire, ? 25,000 - Revenue expenditure as


Options are :

  • It is recurring
  • Amount involved is small
  • It is revenue loss arising out of business operation
  • None of the above

Answer :Amount involved is small

JAIIB Accounting and Finance for Bankers Mock Tests Set 5

Wages paid for installation of machinery ? 500 - Capital expenditure as


Options are :

  • It is non-recurring
  • It is necessary to put the asset in working condition
  • It is incidental of acquiring a new asset
  • None of the above

Answer :It is necessary to put the asset in working condition

Payment for purchase of car, ? 4,00,000 - Capital expenditure as


Options are :

  • It is non-recurring
  • Benefit is of long duration
  • Increases earning capital
  • None of the above

Answer :Benefit is of long duration

In retail business, widely followed method of inventory valuation is


Options are :

  • FIFO
  • weighted average
  • adjusted selling price
  • None of the above

Answer :adjusted selling price

JAIIB Accounting and Finance for Bankers Mock Tests Set 6

The benefit of an expenditure incurred is of long duration and its purpose is to increase the earning capacity of the business, it is


Options are :

  • Revenue expenditure
  • Capital expenditure
  • Deferred capital expenditure
  • None of the above

Answer :Capital expenditure

While making the positing, the staff of a firm credited the personal account of the partner instead of the account of the firm. This would be called:


Options are :

  • Error of principle
  • Error of omission
  • Compensating error and error of commission
  • None of the above

Answer :Compensating error and error of commission

Which of the following is a Characteristics of Balance Sheet?  I. A Balance Sheet is a part of the Final Account.  II. A Balance Sheet is a summary of the Personal and Real Accounts, which are still open and have not been closed by transfer to the Trading and Profit & Loss Account.  III. The totals of the two sides of the Balance Sheet must be equal.  IV. Balance sheet is prepared on a particular date and not for a fixed period. 


Options are :

  • Only I, III, IV
  • Only III, IV
  • Only I, II
  • All I, II, III, IV

Answer :All I, II, III, IV

JAIIB Accounting and Finance for Bankers Mock Tests Set 1

Professional fees paid in connection with acquisition of lease hold premises is a


Options are :

  • Capital expenditure
  • Deferred revenue expenditure
  • Revenue expenditure
  • Current expenditure

Answer :Capital expenditure

Which of the following statement is true w.r.t Non-Cash Transactions -


Options are :

  • Non cash transactions are also called ‘Transfer Transactions’
  • In transfer transactions, one or both of the accounts concerned may be of the customers or the internal accounts of the bank
  • Both a and b
  • None

Answer :Both a and b

The ascertainment of value of stock from accounting record is known as...


Options are :

  • continuous stock taking
  • periodic inventory
  • perpetual inventory
  • None of the above

Answer :perpetual inventory

JAIIB Accounting and Finance for Bankers Mock Tests Set 10

The Debit Voucher will be created out of which of the following transactions I) Cheques issued by the customers II) Cheques/pay orders issued by the bank III) Withdrawal forms received from the savings bank account holders IV) Pay-in-slips filled up the customers 


Options are :

  • Only I and III
  • Only I,II,III
  • All of the above viz. I,II,III,IV
  • Only II,III,IV

Answer :Only I,II,III

Mr. X purchased a computer for ? 60,000 by making a down payment of ? 10,000 and balance ? 50,000 signing the agreement of bills payable due in 50 days. As a result of these transactions.


Options are :

  • Total assets increased by ? 50,000 with the corresponding increase in liability ? 50,000
  • Total assets increased by ? 50,000
  • Total assets increased by ? 60,000 with the corresponding increase in liability ? 50,000
  • Total assets increased by ? 60,000 with the corresponding increase in liability ? 60,000

Answer :Total assets increased by ? 50,000 with the corresponding increase in liability ? 50,000

Rights shares mean the shares which are...


Options are :

  • Issued to directors of the company
  • Issued for a consideration other than cash
  • Offered to the existing shareholders
  • Issued to promoters of the company for their services.

Answer :Offered to the existing shareholders

JAIIB Accounting and Finance for Bankers Mock Tests Set 11

...... is called the Charter of the company.


Options are :

  • Memorandum of Association
  • Articles of Association
  • Prospectus
  • All of the above.

Answer :Memorandum of Association

A company comes into existence when it gets the certificate of......


Options are :

  • Incorporation
  • Commencing the business
  • Income-tax department
  • None of the above

Answer :Incorporation

The main object of permitting the company to issue non-voting equity shares is   


Options are :

  • To give higher dividend
  • To give preference on re-payment
  • To raise resources without losing management control
  • All of the above.

Answer :To raise resources without losing management control

JAIIB Accounting and Finance for Bankers Mock Tests Set 12

Difference between income and expenses, if income is more is called


Options are :

  • Net Revenue
  • Profit
  • Surplus
  • All of the above.

Answer :All of the above.

Active Partners are also called as


Options are :

  • Nominal Partners
  • Quasi Partners
  • Sleeping Partners
  • Working Partners

Answer :Working Partners

Premium received on issue of shares is shown in ...


Options are :

  • Assets side of Balance Sheet
  • Liabilities side of balance sheet
  • Debit side of P & L a/c
  • Credit side of P & L a/c

Answer :Liabilities side of balance sheet

JAIIB Accounting and Finance for Bankers Mock Tests Set 13

Consider the following statements and identify the wrong statement.


Options are :

  • All personal and real accounts ultimately show balance.
  • The balances of nominal accounts are transferred to Profit and Loss Account.
  • Separate account is opened in ledger book for each account.
  • Rent is a personal account but outstanding rent is a nominal account.

Answer :Rent is a personal account but outstanding rent is a nominal account.

Shareholders get ...


Options are :

  • Fees
  • Commission
  • Interest
  • Dividend

Answer :Dividend

For a bank, Rebate on bills discounted is an item of ...


Options are :

  • an income
  • an expenditure
  • an accrued income
  • an income received in Advance

Answer :an income received in Advance

JAIIB Accounting and Finance for Bankers Mock Tests Set 14

Decrease in amount of trade receivables results in________.


Options are :

  • increase in cash
  • increase in liabilities
  • increase in capital
  • increase in loan.

Answer :increase in cash

In the event of death of a partner, the accumulated profits and losses are shared by the partner in


Options are :

  • new ratio
  • old ratio
  • sacrifice ratio
  • gaining ratio

Answer :old ratio

The process of transferring the transactions relating to changes in a particular item at one place in the form of an account is called_______.


Options are :

  • balancing
  • casting
  • journalizing
  • posting

Answer :posting

JAIIB Accounting and Finance for Bankers Mock Tests Set 15

Application software is concerned with ...


Options are :

  • the programming used to control input unit
  • the programming used to control output unit
  • the programming to execute specific functions
  • the programming used to control the operations of the control unit

Answer :the programming to execute specific functions

Which of the following is known as “Principal Books of Accounts”?


Options are :

  • Ledger
  • Journal
  • Trial Balance
  • Balance sheet

Answer :Ledger

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