UGC NET Mock 3 on Commerce – 20 Questions for Practice

1. Income and Expenditure Account of non-profit organisation is a

2. UNCTAD stands for

3. Which among the following are important bodies of WTO?
i. Dispute Settlement Body.
ii. NAFTA
iii. Trade Policy Review Body.
iv. ASEAN
v. Council for Trade in Goods
vi. IBRD
vii. Council for Trade related aspects of Intellectual Property Rights.
viii. GATT
An appropriate combination is

4. In accounting, profit prior to incorporation is treated as

5. The funds available with a company after paying all claims including tax and dividend is called

6. Given below are two statements:
I. Activity ratios show where the company is going.
II. Balance Sheet ratios show how the company stand.

7. Which one is not the source of External Finance?

8. Which of the following statements are correct?
I. Inventory includes raw materials, finished goods and work – in – progress.
II. Inventory is a part of the working capital.
III. Inventory includes goods likely to be purchased.

9. Owners equity stands for

10. When average cost is declining

11. The main objective of Accounting Standards is

12. International liquidity comprises which four of the following?
i. Gold held by Central Banks.
ii. Gold held by families.
iii. Forex Reserve held by Commercial Banks.
iv. Mineral wealth.
v. SDRs.
vi. Borrowing facilities.
vii. NRIs FDRs
viii. Credit facilities available under SWAP.

13. Receipts and Payments Account is prepared by

14. If the current ratio is 2: 1 and working capital is Rs. 60,000, what is the value of the Current Assets?

15. In marginal costing, contribution is equal to

16. Which of the following will result into sources of funds?
(i) Increase in current assets
(ii) Decrease in current assets
(iii) Increase in current liabilities
(iv) Decrease in current liabilities

17. Which one is called Bretton-Wood Twins?

18. ABC Ltd. has declared 40% dividend. Which one of the following does it mean?

19. When the Debt Turnover Ratio is 4, what is the average collection period?

20. Assertion (A): Accounting information refers to only events which are concerned with business firm.
Reason (R): Accounting information is presented in financial statements.