IC26 LIFE INSURANCE FINANCE -11

Q1.Ajay is the proprietor of XYZ ltd. He has deducted tax on the salary paid to his employees and wants to file quarterly returns with the income tax department. What is the last date to file for the quarter that ended 31 Dec 2015?
 

 7th Jan 2016

 

 15th Jan 2016

 

 30th Jan 2016

 

 15 Feb 2016

 

 28 Feb 2016

 

Q2.Based on the nature of insurance company liabilities, most of the investments will be categorized as ___.
 

 based on book value

 

 held to Maturity

 

 available for Sale

 

 fair value by profit or loss

 

 loans and receivable

 

Q3.With the objective of reconciliation, classification, and posting to control accounts, which among the following primary books of accounts are used? 1. Premium Cashbook 2. Register of claims 3. Register of policies
 

 Only 1

 

 Only 2

 

 Only 3

 

 Both 1 and 2

 

 Both 1 and 3

 

Q4.Some deductions are available to salaried employees under 80C, 80CCC and 80CCD. From the options given below, which one is available?
 

 Donations to a reputable charitable trust

 

Deduction in respect to medical treatment of a dependent who is a person with a disability.

 

 Deduction for interest paid on higher educational loan

 

 Fixed deposit in a scheduled bank if it is more than 5 years

 

 Deduction for medical treatment

 

Q5.Select which of the given options will “not” improve the current ratio?
 

 Sell some fixed assets in order to reduce accounts payable

 

Take short term loan to finance the purchase of fixed assets

 

Issue long term loans to purchase inventories

 

 Both 2 and 3

 

 Both 1 and 2

 

Q6.Which of the following is a Private Bank?
 

 BOI

 

 CBI

 

 SBI

 

 UBI

 

 HDFC

 

Q7.__ mutual funds invest in equity shares of companies and help the investors to get the benefits of the investment opportunities in the stock market. These funds are considered to be high-risk high and return investment propositions.
 

 Tax Saving Funds

 

 Equity Funds

 

 Infrastructure Funds

 

 Arbitrage Funds

 

 Index Funds

 

Q8.While recording a sales invoice of Rs 7500, the same was recorded as Rs 9500 in the sales day book and posted to the receivables ledger account as Rs 9500. This error committed by the accountant is.
 

An Error of Under casting

 

An Error of principle

 

An error of prime entry

 

An error of omission to record

 

 Complete revival of entry

 

Q9.There are some practices to be followed for an effective Anti Money Laundering – AML program. Which of the following practices are acceptable? 1. All the records of ongoing transactions which are under scrutiny should be retained until the case is closed 2. Records should be preserved of transactions reported to FIU for a period of 10 years 3. Records should be maintained in physical format instead of electronic format
 

 Both statements 1 and 2

 

 Both statements 2 and 3

 

 Both statements 1 and 3

 

 Only statement 3

 

 All 1, 2 and 3

 

Q10.Casting’ in accounting terms means ____
 

 Budgeting

 

 Transposing

 

 Adding up

 

 Rounding up

 

 Compensating

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