CPT Mock Test – 1st
Test Booklet No. – 110017
Date: - 16.09.2015
(1)
Ans. a
At the time of maturity holder of bill is C so payment made by B to C
(2)
Ans. d
Discount is 7000-6700 = 300
Duration : 2 Hours
Total Marks : 100
3
Share of X = 300  5 = 180.
(3)
Ans. c
Explanation:
When discounting bill dishonored then following entry passed in the books of drawer
Drawee A/c Dr.
To bank
(4)
Ans. c
Explanation:
If any bill endorse by drawer the drawer called endorser.
(5)
Ans. c
False, because a bill can be endorse several time.
(6)
Ans. c
Bill written on 12th June 06
Add 2 months
12 Aug 06
Add 3 days grace
3
15 Aug 06
On 15th Aug public holiday so due for payment on 14 aug 06.
(7)
Ans. a
Explanation:
In case of insolvency a bill is treated as dishonored.
(8)
Ans. a
Explanation:
At the time renewal of bill, first old bill cancelled.
(9)
Ans. a
When bill paid before date of maturity then holder of bill allow rebate to the
acceptor.
(10)
Ans. b
Explanation:
Amount of Bill = 100000-(100000×5%)
=95000
(11)
Ans: d
Explanation:
MITTAL COMMERCE CLASSES
1|Page
Bill payable a/c
To B/R a/c
(12)
Dr.
5000
5000
Ans. c
Explanation:
1
1970   985
2
3
6

)  1970
Amount Received = 2000  (2000 
12 100
Amount send to sohan =
(13)
Ans. b
Explanation:
Amount of Bad debt
(14)
60 

 1000   500 
  300
100 

Ans. d
Explanation:
Deficiency Amount
 (100000  1000) 
70
 70700
100
(15)
Ans. d
Explanation:
19 April To 21 May 2009
30 + 3 (grace) = 33 days = 21 May 2009
(16)
Ans. a
Explanation:
Total Depreciation charged as per old method (SLM) for two year
= ORIGINAL COST - WDV
10000-6000 = Rs. 4000
Total depreciation to be charged as per new method (WDV) for two year =
1st year dep = 20% of 10000 = 2000
2nd year dep = 20% of (10000-2000) = 1600
Total depreciation 2000 + 1600 = 3600
Excess Depreciation charged (old method – new method)
4000-3600 = Rs. 400.
(17)
Ans. d
Explanation:
Annual depreciation for 1-3 years =
Annual Production
 Depreciabl e Value for Machinery
Total Production Capacity
500000 units
 Rs. 1100000= 183333
3000000 Units
(18)
Ans. b
Explanation:
Accounting Policy
Charging depreciation on fixed asset is a part of accounting policy
MITTAL COMMERCE CLASSES
2|Page
(19)
Ans. b
Explanation:
Depreciate rate as per method
AnnualDepr eciation
450
x100 
x100  9%
CostofAsset
5000
Cost  scrapvalue 5000  500
Annual Depreciation (SLM)

 450
usefulGpe
10
(20)
Ans. a
Explanation:
Cost of Boiler: Purchase Cost
Add:
Shipping and forwarding
charges
Import Duty
Installation exp.
Total Cost
Rs.
10000
2000
Cost
(-) Dep. 1st Year @10% p.a.
WDV
20000
2000
18000
7000
1000
20000
(-) Dep 2nd year @ 10% p.a.
WDV
(-) Dep 3rd year @ 10% p.a.
WDV . or closing balance
1800
16200
1620
14580
(21)
Ans. a
Explanation:
WDV of machinery = Original Cost – accumulated depreciation
4000 – 500 = 3500
Net Sales value of machine =
Sales price – Selling agent commission – wages paid to worker for removing the
asset
i.e. 5200 – 420 – 150 = 4630
Profit = Net sales Value – WDV
4630 – 3500 = 1130.
(22)
Ans. b
Explanation:
Book value
Original cost of asset- depreciation = writing down value or book value
(23)
Ans. a
Explanation:
Opening balance of Loose Tools
Add: Purchase during the year
=
=
4320
1440
5760
Less: Closing Balance / Revalued
Price of loose tolls at the end of the year
Depreciation for the year
=
=
4680
1080
(24)
Ans. c
Explanation:
Annual depreciation as per annuity method
= depreciable value of Asset x Annuity value of Ree. 1 at i interest rate for n th year
= Rs. 100000x0.282012
MITTAL COMMERCE CLASSES
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= Rs. 28201
(25)
Ans. d
Explanation:
Depreciation for 3rd Year =
3rd Year Digit
 Depreciabl e Value
Sum of Digit
3
x(150000  Nil )  Rs.30000
15
3rd year digit means remaining life of the asset at the beginning of 3 rd year.
(26)
Ans. c
Explanation:
Obsolescence of a asset means decline in the value of asset due to inventions and
innovations
(27)
Ans. c
Explanation:
Providing depreciation on fixed asset is charge against profit not appropriation of
profit. It is immaterial whether provisions for depreciation A/c maintained or not.
(28)
Ans. d
Explanation:
under sum of years digit method, for calculating annual depreciations, denominator
of the depreciations fractions will be sum of digits, therefore denominator will be
5+4+3+2+1 = 15
(29)
Ans. b
Explanation
Depreciation on Furniture = 10,000  10% = 1,000
Depreciation on additional purchase of furniture = 5000  10%
= 1000+250 = Rs. 1,250.
(30)
 6/12 = 250
Ans. c
Explanation:
Depreciation on machinery = 10,000
10% 
3
 250
12
Depreciation on furniture = 20,000  5% = 1000
= 1000 + 250 = 1250.
(31)
Ans. b
Explanation: The Partnership Act, 1932 came into force on 1st day of October 1932.
(32)
Ans. d
Explanation: According to the partnership act, the term "Business" includes trade,
occupation and profession.
(33)
Ans. a
Explanation: The ratio in which partners share profits and losses are based on
agreement. and in absence of any information in the agreement, such are shared
equally.
MITTAL COMMERCE CLASSES
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(34)
Ans. d
Explanation: To form a partnership, the partners should share profits and losses. But
some partners may get a share only in the profits subject to the provision inserted in
the partnership deed.
(35)
Ans. a
Explanation: While forming partnership, partners may mutually decides the terms
and conditions of it in the partnership deed and if the provisions of such deed is
lawful, then such are valid and enforceable. So, if there is a contract that the partner
shall not carry on the business other than that of the firm while he is a partner, such
contract is valid.
(36)
Ans. d
Explanation:
(37)
Ans. c
Explanation:
(38)
Ans. b
Explanation:
(39)
Ans. c
Explanation:
(40)
Ans. a
Explanation:
(41)
Ans. d
Explanation:
(42)
Ans. b
Explanation:
(43)
Ans. a
Explanation:
(44)
Ans. b
Explanation:
(45)
Ans. b
Explanation:
(46)
Ans. c
Explanation:
(47)
Ans. d
Explanation:
(48)
Ans. c
Explanation:
MITTAL COMMERCE CLASSES
5|Page
(49)
Ans. a
Explanation:
(50)
Ans.b
Explanation:
(51)
Ans. a
Explanation:
% change in quantity demanded
% change in price
30%
Ed 
20%
Ed =
Ed = 1.5
Ed > 1 (elastic)
(52)
Ans. b
Explanation: A decrease in price will result in an increase in total revenue if the
percentage change in quantity demanded is greater than the percentage change in
price.
(53)
Ans. b
Explanation:
ea 
Q1  Q2 P1  P2

Q1  Q2 P1  P2
25  30 30000  36000

25  30 30000  36000
 5 66000
ea 

55  6000
ea  1
ea 
(54)
Ans. b
Explanation: The luxury goods like jewellery and fancy articles will have high income
elasticity of demand.
(55)
Ans. c
Explanation: A relative price is the ratio of one money price to another.
(56)
Ans. a
Explanation: The quantity demanded of a good or service is the amount that
consumer plan to buy during a given time period at a given price.
(57)
Ans. b
Explanation: Demand is the entire relationship between the quantity demanded and
the price of a good.
(58)
Ans. b
Explanation: In case of perfectly inelastic demand salt is been considered most
necessary.
MITTAL COMMERCE CLASSES
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(59)
Ans. a
Explanation: Since point elasticity measures the elasticity of demand at a particular
point on a demand curve in that case where a clear price is given point elasticity will
be used.
(60)
Ans. a
Explanation: Since there is a positive/direct relationship between the complementary
goods. Example petrol and car
(61)
Ans. b
Explanation: Since in case of inferior goods whenever the income of the consumer
increases he reduces the demand of it.
(62)
Ans. b
Explanation: Since due to decline in price of the commodity real income of the
consumer increases.
(63)
Ans. d
Explanation: Since all of the above statement are true in case of giffen goods.
(64)
Ans. d
Explanation: Since all of the above statement are correct in case of veblen goods.
(65)
Ans. d
Explanation: Since all of the above statement holds true in case of exception of law
of demand.
(66)
Ans. a
Explanation: Since upward movement on the same demand curve shows contraction
of demand.
Y
D
P1
P
P0
Expansion
Contraction
D
X
Q0
Q
Q1
(67)
Ans. c
Explanation: Since Increase in demand shows Rightward shit of the demand curve.
(68)
Ans. a
Explanation: Since this is the formula to show cross elasticity between related goods.
MITTAL COMMERCE CLASSES
7|Page
(69)
Ans. a
Explanation: Since this is the formula to show income elasticity.
(70)
Ans. b
Explanation: Since, elasticity in case of normal goods is unitary elastic.
(71)
Ans. a
Explanation: In case of Luxuries Ed > 1.
(72)
Ans. a
Explanation: Income elasticity is calculated as follows:
% Change in demand
% Change in income
5
 5
1
So Elasticity is 5.
(73)
Ans. d
Explanation: In the following cases, the demand for goods tends to be less elastic :
(i) Goods having no close substitutes
(ii) Lesser proportion of income spend on the commodity
(iii) Necessities
(iv)Shorter time period
(v) Commodity can be put to lesser number of uses, etc.
(74)
Ans. c
Explanation:
Change in demand is possible in two ways:
(a) When demand changes due to its own price- movement in demand curve
(b) When demand changes due to factors other than its own price-shift in demand
curve
(c) Movement of demand can be in two ways:
(i) Expansion : when demand increases due to a fall in its own price.
(ii) Contraction: when demand decrease due to a rise in its own price.
(75)
Ans. c
Explanation: Point elasticity measures elasticity at a given point on a demand curve.
MITTAL COMMERCE CLASSES
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Point elasticity =
Lower segment
Upper segment
 Elasticity between mid point and upper extreme point of a straight line
=
LP 3
 1
UP 1
(76)
Ans. a
Explanation:
A = 2k, B = 5k
[10(2k) + 3(5k)] : [5(2k)+2(5k)]
= [20k + 15k] : [10k + 10k]
= 35k : 20k
= 7:4
(77)
Ans. d
Explanation:
Mean Proportional =
(78)
24  54  36
Ans. d
Explanation:
x
1
y2
x = k.
1
y2
1 = k.
1
4
k=4
x = 4.
1
y2
y=6
x = 4.
x=
1
36
1
9
MITTAL COMMERCE CLASSES
9|Page
(79)
Ans. c
Explanation:
5x
5 .5 
 26
5
 26 
5 x    26
5
x
5 5
x
x=1
(80)
Ans. a
Explanation:
1
 1 
 1 


1 
1 
1 x 
1 x 
1
1
1
 x 
 x 
 

 x 1
 x 1
x 1 x 1

=
x
x
x 1 x 1

=
x
x
x  1  x 1 2x

2
=
x
x
= 
(81)
Ans. a
Explanation:
3 1 7
 :
7 5 15
7x 3 1
 
15 7 5
3 1 15
x  
7 5 7
9
x
49
x:
(82)
Ans. d
Explanation:
qy  r
p xy  r
xyz
6
r r
xyz
1
6
 xyz  6
MITTAL COMMERCE CLASSES
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(83)
Ans. a
Explanation:
2
3
1
3
ax  bx  c
Cubing both sides
3
1
 23

 ax  bx 3    c 3




 2 1
a 3 x 2  b 3 x  3 ax 3   bx 3   c    c 3



3 2
3
3
a x  b x  c  3abcx
(84)
Ans. b
Explanation:
A person has Assets worth = Rs. 1,48,200
Ratio of share of wife, son & daughter
=3:2:1
Sum of Ratio = 3 + 2 + 1 = 6
Share of Son = 2/6 x 1,48,200
= Rs.49,400
(85)
Ans. c
Explanation:
Ratio of the salary of a person in three months = 2 : 4 : 5
Let, Salary of 1st month = 2x
Salary of 2nd month = 4x
Salary of 3rd month = 5x
Given
(Salary of product of last two months) – (Salary of product 1st two months) =
4,80,00,000
(4x.5x) – (2x.4x) = 4,80,00,000
20x2–8x2 = 4,80,00,000
12x2 = 4,80,00,000
x2= 40,00,000
x = 2,000
Salary of the person for second month = 4x= 4 x 2,000 = 8,000
(86)
Ans. b
Explanation:
Let numbers be 2x and 3x.
Therefore, (3x)2 – (2x)2 = 320
9x2 – 4x2 = 320
5x2 = 320
x2 = 64
x=8
 Numbers are : 2x = 2 × 8 = 16
3x = 3 × 8 = 24
(87)
Ans. a
Explanation:
MITTAL COMMERCE CLASSES
11 | P a g e
Let the income of A and B be 3x and 2x respectively and expenditures of A and B be
5y and 3y respectively.
Therefore,
3x–5y = 1500 .......... (i)
2x–3y = 1500 .......... (ii)
Solving (i) and (ii) Simultaneously
We get x = 3000 y = 1500
Therefore, B's income = 2x = 2×3000 = Rs.6000
(88)
Ans. c
Explanation:
Let the fourth proportional to x, 2x, (x+1) be t, then,
x
x 1

2x
t
1 x 1

2
t
t = 2x+2
 Fourth proportional to x, 2x, (x+1) is (2x+2)
i.e. x:2x::(x+1):(2x+2)
(89)
Ans. c
Explanation:
Geometric mean =
n
3
x1.x 2 ........x n
40  x  50 =100
X = 500
(90)
Ans. c
Explanation:
Harmonic mean =
n
(1/ x) s
Here n = 5
HM =
5
 2.189
1 1 1 1
1   
2 3 4 5
(91)
Ans. c
Explanation : Average age of 10 students = 20 yrs
The sum of age of 10 students = 20 x 10 = 200 yrs
If two boys are increased
The total no of students = 10+2=12
And average increased by 4 yrs
Then new average = 20 + 4 = 24
The sum of age of 12 student = 24 x 12 = 288
The sum of age of two boys = 288 – 200 = 88
88
Average age of two boys = 2 = 44
(92)
Ans. b
Explanation: The best measurement of central tendency for open end classification is median.
MITTAL COMMERCE CLASSES
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(93)
Ans. b
Explanation:
13x  7 y  22  0
x 6
(94)
Ans. c
Explanation:
Wages of 8 workers in ascending order
19,18,22,28,37,24,39,42
n=8
th
th
n
n 
  value    1 value
2
2 
2
median =
th
th
8
8 
  value    1 value
2
2 
2
=
th
(4) value  (5) th value
2
=
=
(95)
24  28
 26
2
Ans. a
Explanation:
M.D of y = |𝑏| × 𝑀. 𝐷. 𝑜𝑓 𝑥.
15 
15
M.D. x
12
M.D.x = 12
(96)
Ans. b
Explanation:
y=12–3xs
S.D. of y = |𝑏| × 𝑆. 𝐷. 𝑥
S.D. of y =
3 5
(97)
Ans. b
Explanation: Q.D<M.D.
(98)
Ans. a
Explanation:
Given
𝑀𝑒𝑎𝑛 (𝑥) = 5; 𝑆. 𝐷. (𝜎) = 2.6
𝑄𝐷
Coefficient of QD =
× 100
𝑀
=
(99)
1.733
5
× 100 = 34.67
Ans. b
Explanation:
Q3=142 and Q1=126
MITTAL COMMERCE CLASSES
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𝑄. 𝐷. =
𝑄3 −𝑄1
=
2
6
142−126
=
2
16
2
=8
MD.= × 8 = 9.60
5
(100) Ans. a
Explanation:
Given x takes x1 , x 2 , ...........x10 ,  x1 ,  x 2 , .........  x10

20
x
i
0
i 1
10
and given
 xi  40
20
2
i 1
20

x i2
i 1
 S.D. of x =
n
,
x
i 1
2
i
 20
xi

i 1


n




 40  2  80







2
2
=
80  0 
   2
20  20 
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