CA CPT Question Papers by ICAI

Hi I would like to have the question paper of Fundamentals of Accounting for Common Proficiency Test conducted by The Institute of Chartered Accountants of India (ICAI)?

The question paper of Fundamentals of Accounting for Common Proficiency Test conducted by The Institute of Chartered Accountants of India (ICAI) is as given below:

Common Proficiency Test
Time Allowed – 2 Hours Maximum Marks – 100

Section A: Fundamentals of Accounting

1. Gopal was holding 100 shares of Rs. 10 each of a company on which he had paid Rs. 3 on application and Rs. 2 on allotment but could not pay Rs. 2 on first call. Directors forfeited his shares. Share capital will be debited by
(a) Rs. 1,000
(b) Rs. 700
(c) Rs. 500
(d) Rs. 800

2. A manager gets 5% commission on net profit after charging such commission. If gross profit is Rs. 48,000 and expenses of indirect nature other than manager’s commission are Rs. 6,000. Commission amount will be ________
(a) Rs. 2,100
(b) Rs. 2,000
(c) Rs. 2,200
(d) Rs. 2,400

3. A machinery of Rs. 3,000 was sold for Rs. 4,200. Depreciation provision till date of sale was Rs. 400 and commission paid to the selling agent was Rs. 420 and wages paid to the workers for removing the machine was Rs. 30. Profit on sale of machinery will be
(a) Rs. 1,200
(b) Rs. 1,000
(c) Rs. 1,150
(d) None of the three

4. On 1st January, 2016 Badri of Bombay consigned 100 cases (cost price Rs. 7,500) at a proforma invoice price of 25% profit on sales to his agent Anil of Agra. On the same date Badri paid non recurring expenses of Rs. 600. On 5th January Anil took delivery and paid Rs. 1,200 for octroi. On 31st January he sold 80 cases for Rs. 10,500. He charged Rs. 775 as his commission. Consignment profit will be
(a) Rs. 2,285
(b) Rs. 2,200
(c) Rs. 2,500
(d) Rs. 2,000

5. Anwar Ltd. Purchased building worth Rs. 99,00,000 and issued 12% debentures of 100 each at a premium of 10%. Premium amount will be
(a) Rs. 9,00,000
(b) Rs. 8,00,000
(c) Rs. 7,00,000
(d) Rs. 10,00,000

6. C and D entered into a Joint Venture to construct a bridge. They did not open separate set of books. They shared profits and losses as 3:2. C contributed Rs. 1,50,000 for purchase of materials. D paid wages amounting to Rs. 80,000. Other expenses paid were by C – Rs. 5,000 and D – Rs. 15,000 C purchased one machine for Rs. 20,000. The machine was taken over by C for Rs. 10,000. Total contract value of Rs. 3,00,000 was received by D. What will be the profit on venture?
(a) Rs. 30,000
(b) Rs. 40,000
(c) Rs. 20,000
(d) Rs. 15,000.

7. Estimated life of an asset is 10 years and estimated scrap value is Rs. 3,200.
Depreciation as per SLM is charged at Rs. 2,500 every year on the asset. Find the cost of the asset.
(a) Rs. 25,000
(b) Rs. 28,200
(c) Rs. 28,000
(d) Rs. 30,200.

8. Mr. X paid commission to his consignee Mr. Y Rs. 25,000 @ 5% on sales made by him. Goods were sold by Mr. Y at a profit of 25% on cost. Stock in hand as on 31.3.2016 is Rs. 50,000 at cost. What is the cost of goods sent by Mr. X on consignment to Mr. Y?
(a) Rs. 4,50,000
(b) Rs. 75,000
(c) Rs. 5,50,000
(d) Rs. 6,00,000.
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9. Rent paid is debited to landlord’s personal account. It is
(a) Not an error
(b) Error of omission
(c) Error of commission
(d) Error of principal.

10. Cost of machinery Rs. 75,000, salvage value Nil, estimated life 4 years. Depreciation for the first year by sum of digit method is
(a) Rs. 30,000
(b) Rs. 15,000
(c) Rs. 12,000
(d) Rs. 7,500.

11. Dividends are usually paid as a percentage of
(a) Authorised share capital
(b) Net profit
(c) Paid up capital
(d) Called up capital

12. A trader gives the cash book balance of bank column to be Rs. 10,000 (Cr.)
Find the pass book balance, if interest debited in pass book not recorded in cash book
Rs. 150 and cheque issued but not presented Rs. 2,500.
(a) Rs. 8,000
(b) Rs. 7,650
(c) Rs. 7,500
(d) Rs. 8,250.

13. P shows a profit of Rs. 7,00,000 for the year ended 31.3.2016. The figure has been arrived at after charging following against revenue:
(i) Purchase of Car on 28.3.2016 for use in business Rs. 3,00,000 and treated as vehicle expenses.
(ii) Omitted to record unpaid electricity bills for February and March, 2016 of Rs. 15,000 per month. The correct profit for the year ended 31st March, 2016 will be
(a) Rs. 8,30,000
(b) Rs. 9,00,000
(c) Rs. 9,70,000
(d) Rs. 10,30,000.

14. The total of debit and credit side of Mr. Raja Ram’s Trial balance as on 31st March, 2016 were Rs. 20,000 and Rs. 10,000 respectively. The difference was transferred to suspense A/c. On 4th April 2016, it was found that the total of sales book was carried forward as 5,000 instead of 4,000. The balance of suspense A/c after rectification of this error will be -
(a) Rs.11,000
(b) Rs. 10,000
(c) Rs. 9,000
(d) Rs. 12,000

15. Goodwill is to be calculated at one year’s purchase of the average of the last 3 years profit. The profit of the first year was Rs.6,000, second year twice the profit of the first year and the third year one and half times of the profit of the second year goodwill amount will be -
(a) Rs.10,000
(b) Rs.12,000
(c) Rs.11,000
(d) Rs.13,000

16. Huge Ltd. issued 25,000 equity shares of Rs.100 each at a premium of Rs. 15 each payable as Rs. 25 on application, Rs. 40 on allotment and balance in the first call. The applications were received for 75,000 equity shares but the company issued to them only 25,000 shares. Excess money was refunded to them after adjustment for further calls. Last call on 500 shares were not received and were forfeited after due notice. The above is the case of
(a) Oversubscription.
(b) Pro-rata allotment.
(c) Forfeiture of shares.
(d) All of the above

17. When balance as per cash book is the starting point, and cheques issued for payment Rs. 400 was wrongly credited by Bank as Rs.900 then in the bank reconciliation statement cash balance will be
(a) Added by Rs. 1300
(b) Subtracted by Rs. 1,300
(c) Added Rs. 900
(d) Subtracted by Rs. 400

18. There was difference in the bank column of cash book and passbook by Rs. 2,500. On scrutiny it was found that interest of Rs. 500 charged directly by the bank was not entered in the cash book. The same was adjusted in the cashbook before reconciliation statement. Now, in the bank reconciliation statement, this interest of Rs.500 is to be
(a) Added to the cash book balance.
(b) Subtracted from the cash book balance.
(c) Ignored while preparing bank reconciliation statement.
(d) None of the above.

19. The plant and machinery account of a firm had a debit balance of Rs. 1,47,390 (before charging depreciation for the year) as on 31st December, 2016. On 1st Jan., 2013 firm started business and has been following the practice of charging full year’s depreciation every year on Diminishing balance method @ 15%. Cost of machinery on 01.01.2013 will be
(a) Rs. 2,40,000
(b) Rs.2,00,000
(c) Rs.2,50,000
(d) None of the three

20. Fluctuating capital account is credited with
(a) Interest on capital
(b) Profit of the year
(c) Salaries or Remuneration of the partners
(d) All of the above

21. All of the following have debit balance except
(a) 6% Debentures
(b) Loan to contractor
(c) Interest on debentures
(d) Audit Fee

22. Double column cash book records
(a) Only credit transactions
(b) All transactions
(c) Cash and bank transactions
(d) Cash purchase and credit sale transactions

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