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Vidaara.orgClass 12 · Mathematics
CodeVID-M12-WS
Financial Statements of a Company — Practice Worksheet
Chapter: Financial Statements of a Company
Topic: Financial Statements of a Company
Maximum Marks: 35
Time: 30 minutes
Name: ____________________ Roll No.: __________ Date: ____________

General Instructions

  • All questions are compulsory.
  • Choose the correct option (A, B, C or D) for each question.
  • The answer key is at the end — try the paper first!
Section A — Multiple Choice (1 mark each) 15 × 1 = 15 marks
1.
The statement showing financial position on a date is the:
  • A.Statement of Profit and Loss
  • B.Balance Sheet
  • C.Cash Book
  • D.Journal
2.
Company financial statements follow the format in:
  • A.Schedule III of the Companies Act, 2013
  • B.The GST Act
  • C.The Partnership Act
  • D.AS-3 only
3.
Share Capital is shown under:
  • A.Current Liabilities
  • B.Shareholders' Funds
  • C.Non-current Assets
  • D.Other Income
4.
Securities Premium Reserve appears under:
  • A.Reserves and Surplus
  • B.Trade payables
  • C.Fixed assets
  • D.Other income
5.
Long-term borrowings are shown under:
  • A.Current liabilities
  • B.Non-current liabilities
  • C.Shareholders' funds
  • D.Current assets
6.
Trade payables = creditors + :
  • A.Bills receivable
  • B.Bills payable
  • C.Cash
  • D.Debtors
7.
Trade receivables = debtors + :
  • A.Creditors
  • B.Bills receivable
  • C.Stock
  • D.Cash
8.
Goodwill is classified as a:
  • A.Current asset
  • B.Intangible fixed asset
  • C.Current liability
  • D.Reserve
9.
Inventories are shown under:
  • A.Non-current assets
  • B.Current assets
  • C.Current liabilities
  • D.Reserves
10.
Provision for tax is shown under:
  • A.Short-term provisions (current liabilities)
  • B.Fixed assets
  • C.Reserves
  • D.Other income
11.
The first line of the Statement of Profit and Loss is:
  • A.Other income
  • B.Revenue from operations
  • C.Tax
  • D.Finance costs
12.
Interest on borrowings is shown under:
  • A.Finance costs
  • B.Other income
  • C.Employee benefits
  • D.Revenue
13.
Salaries and wages are shown under:
  • A.Finance costs
  • B.Employee benefit expenses
  • C.Other income
  • D.Revenue
14.
Total income less total expenses gives:
  • A.Gross profit
  • B.Profit before tax
  • C.Revenue
  • D.Reserves
15.
PBT Rs 8,00,000, tax 30%. Profit after tax =
  • A.Rs 5,60,000
  • B.Rs 2,40,000
  • C.Rs 8,00,000
  • D.Rs 6,00,000
Section B — Challenge / Olympiad (2 marks each) 10 × 2 = 20 marks
16.
A debit (negative) balance of the Statement of Profit and Loss in the Balance Sheet is shown:
  • A.As a negative figure under Reserves and Surplus
  • B.As an asset
  • C.Under current liabilities
  • D.It is omitted
17.
Which set is correctly classified under CURRENT liabilities?
  • A.Trade payables, short-term borrowings, provision for tax
  • B.Long-term borrowings, goodwill
  • C.Inventories, debtors
  • D.Share capital, securities premium
18.
Calls-in-advance is shown in a company's Balance Sheet under:
  • A.Other current liabilities
  • B.Share capital
  • C.Reserves and surplus
  • D.Current assets
19.
Cost of materials consumed = opening materials + purchases − closing materials. If opening 50,000, purchases 4,00,000, closing 70,000, it is:
  • A.Rs 3,80,000
  • B.Rs 4,20,000
  • C.Rs 5,20,000
  • D.Rs 3,30,000
20.
Why does Schedule III prescribe a fixed format for company statements?
  • A.To make statements uniform and comparable across companies and years
  • B.To increase profit
  • C.To hide losses
  • D.To avoid tax
21.
Revenue from operations 60,00,000; other income 3,00,000; total expenses 48,00,000; tax 30%. Profit after tax is:
  • A.Rs 10,50,000
  • B.Rs 15,00,000
  • C.Rs 12,00,000
  • D.Rs 4,50,000
22.
Capital work-in-progress (a building under construction) is shown under:
  • A.Non-current assets (fixed assets)
  • B.Current assets
  • C.Current liabilities
  • D.Other income
23.
'Changes in inventories of finished goods' is computed as:
  • A.Opening inventory − Closing inventory
  • B.Closing − Opening
  • C.Opening + Closing
  • D.Purchases − Sales
24.
A proposed dividend declared after the year-end is, under current norms, treated as:
  • A.A contingent item disclosed in notes (not a year-end liability)
  • B.A current asset
  • C.Revenue
  • D.Share capital
25.
The two company financial statements together let users assess:
  • A.Both performance (P&L) and position (Balance Sheet)
  • B.Only cash
  • C.Only tax
  • D.Only share price

Answer Key

Section A — Multiple Choice (1 mark each)
  1. (B) Balance Sheet
  2. (A) Schedule III of the Companies Act, 2013
  3. (B) Shareholders' Funds
  4. (A) Reserves and Surplus
  5. (B) Non-current liabilities
  6. (B) Bills payable
  7. (B) Bills receivable
  8. (B) Intangible fixed asset
  9. (B) Current assets
  10. (A) Short-term provisions (current liabilities)
  11. (B) Revenue from operations
  12. (A) Finance costs
  13. (B) Employee benefit expenses
  14. (B) Profit before tax
  15. (A) Rs 5,60,000
Section B — Challenge / Olympiad (2 marks each)
  1. (A) As a negative figure under Reserves and Surplus
  2. (A) Trade payables, short-term borrowings, provision for tax
  3. (A) Other current liabilities
  4. (A) Rs 3,80,000
  5. (A) To make statements uniform and comparable across companies and years
  6. (A) Rs 10,50,000
  7. (A) Non-current assets (fixed assets)
  8. (A) Opening inventory − Closing inventory
  9. (A) A contingent item disclosed in notes (not a year-end liability)
  10. (A) Both performance (P&L) and position (Balance Sheet)
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