Sample Multiple Choice Questions (MCQ's) for CA Intermediate - Paper 1 - ACCOUNTING Chapter 12: DEPARTMENTAL ACCOUNTS - For Practice relevant for May/November 23 Examinations

Q1.  Departmental accounting helps in

  1. Evaluation of trading results of each department separately
  2. Effective planning and control on each department.
  3. Both (a) and (b)

Answer: 3

Q2.  If Department A transfers goods to Department B at a price of 50% above cost, what will be the amount of stock reserve on unsold stock worth ₹ 9,000 of Department B?

  1. 3,000
  2. 4,500
  3. 1,500

Answer: 3

Q3.  Goods and services may be charged by one department to another on

  1. Market price.
  2. Cost plus agreed percentage of profit.
  3. Both (a) and (b)

Answer: 3

Q4.  Administrative expenses are apportioned among various departments on basis of 

  1. Time spent by employees in each department.
  2. Value of assets of each department
  3. Sales of each department.

Answer: 1

Q5.  Expense of rent is apportioned among various departments on basis of 

  1. Sales of each department.
  2. Floor area occupied by each department.
  3. Either (a) or (b).

Answer: 2

Q6.  If an organisation is interested in determining the separate departmental net profit, then

  1. Accounts of all departments are kept in one book only.
  2. Separate set of books are kept for each department.
  3. Departments transfer goods to each other for further processing.

Answer: 2

CA Intermediate ACCOUNTING - MCQ for Chapter 13 -   

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