List of practice Questions

Describe the items of Revenue Budget and Capital Budget of the Government.
Show the 'Circular flow of income' with diagram.
Describe the types of price elasticity of demand and describe the factors affecting elasticity of demand.
Write the Law of Diminishing Marginal Productivity.
Write the main characteristics of a market economy.
What do you mean by 'Gross Domestic Product at Factor Cost'?
What is the meaning of the 'Paradox of Thrift'?
Show the equilibrium of a consumer with the Indifference Curve Technique.
Full employment level of income of an economy is that level of income where:
The Average Propensity to Consume (APC) is measured by:
Which one of the following is a direct tax?
Explain the meaning of Microeconomics.
Draw an 'Indifference curve map'.
Differentiate between normal goods and inferior goods.
That amount of utility is called marginal utility, which we get from the consumption of:
With reference to production, short run is that situation where:
The supply curve of a firm in the short-run is generally:
In a planned economy, decisions related to production and distribution are taken by:
In the Government budget, 'transfer payments' are the payments made by the Government:
Who recommends demonetization of currency notes to the Government of India?
Choose the correct option, with reference to the following two statements:
Statement I: With an increase in prices in the country, fees in private schools increase.
Statement II: Increase in school fees is unjust.
What is comparative income statement? Give a specimen of comparative income statement with the help of imaginary figures.

The following is the position of current assets and current liabilities of Z Ltd.:

\[\begin{array}{|l|r|r|} \hline Items & March, 2022 (Rs.) & March, 2023 (Rs.) \\ \hline \text{Provision for doubtful debts} & \text{1,000} & \text{--} \\ \hline \text{Short-term loans} & \text{10,000} & \text{19,000} \\ \hline \text{Creditors} & \text{15,000} & \text{10,000} \\ \hline \text{Bills payable} & \text{20,000} & \text{40,000} \\ \hline \end{array}\]

The company incurred a loss of Rs. 45,000 during the year. Calculate cash from operating activities.

Calculate gross profit ratio and net profit ratio from the following:

\[\begin{array}{|l|r|l|r|} \hline Particulars & Amount (Rs.) & Particulars & Amount (Rs.) \\ \hline \text{Opening stock} & \text{50,000} & \text{Sales} & \text{2,75,000} \\ \hline \text{Purchase} & \text{1,50,000} & \text{Sales return} & \text{25,000} \\ \hline \text{Purchase return} & \text{20,000} & \text{Closing stock} & \text{40,000} \\ \hline \text{Wages} & \text{10,000} \\ \hline \text{Salary} & \text{25,000} \\ \hline \end{array}\]

R Ltd. invited applications for 20,000 shares of Rs. 10 each payable as follows: Rs. 3 on application, Rs. 2 on allotment, Rs. 2.50 on first call, and Rs. 2.50 on second call.
Public applied for 30,000 shares, and allotments were made as under:
1. To applicants for 8,000 shares: Full allotment.
2. To applicants for 16,000 shares: 12,000 shares allotted.
3. To applicants for 6,000 shares: Nil allotment.
All money was duly received. Pass journal entries.