All205Business & Commercial Knowledge60Business Economics & Commercial Knowledge vol.255Fundamentals of Accounting50Quantitative Aptitude & Business Economics40

Q1Business & Commercial Knowledge

The fundamental principle of integrity refers to be straightforward and honest in all professional and

APersonal conductBBusiness dealsCLegal complianceDNorms and values

Q2Business & Commercial Knowledge

HR strategies aim to:

AEnsure workforce efficiency and effectivenessBOnly hire as many people as possibleCOnly improve marketingDReduce salaries

Q3Quantitative Aptitude & Business Economics

A company has Rs.105,000 budget. Cost of each table is twice that of a chair. Company wants 3 tables and 15 chairs. How much more is spent on chairs than tables?

ARs.30,000BRs.75,000CRs.45,000DRs.50,000

Q4Business Economics & Commercial Knowledge vol.2

Consumption and investment spending in the national income accounts is solely for domestically produced goods and services.

ATrueBFalseCD

Q5Fundamentals of Accounting

Which of the following shall require reversal of previously recorded entry in cash book?

AUnpresented chequesBUncredited chequesCDishonour chequesDAll of the above

Q6Business & Commercial Knowledge

Levels of management show:

AHierarchy of authorityBCustomer hierarchyCSupplier hierarchyDProduct hierarchy

Q7Business & Commercial Knowledge

ES replaces:

AHuman experts sometimesBAll machinesCAll managersDAll departments

Q8Business & Commercial Knowledge

Operating lease expense in:

ABalance sheetBIncome statementCCash bookDLedger

Q9Business & Commercial Knowledge

Expert system database contains:

ARandom codesBAccumulated knowledgeCDeleted filesDPictures only

Q10Business & Commercial Knowledge

In inventory control system, delivery dates both inwards and outwards must be maintained to enable the warehouse manager to manage goods movement - inward and dispatch.

ATrueBFalseCD

Q11Business & Commercial Knowledge

Bushra is finance manager in P Books corporations. Her core activities include:

ARisk managementBTraining and developmentCProduction planningDNone of the above

Q12Business Economics & Commercial Knowledge vol.2

An inflationary gap in the economy could be closed by an increase in the:

AAccelerator and multiplierBGovernment's budget surplusCAverage propensity to consumeDCountry's export surplus

Q13Business Economics & Commercial Knowledge vol.2

CPI in 2021=120, CPI in 2022=140 then inflation rate is

A20%B14%C17%DCannot be determined

Q14Business & Commercial Knowledge

Direct demand is characteristic of:

AConsumer productsBIndustrial productsCSuppliesDCapital items

Q15Business & Commercial Knowledge

I saw that there is a vacancy for HR, and my cousin has education and experience in this area. I think she could fit in the organisation. I do not see any conflict here. What is the best course of action?

AI should talk to HR and ask them to give priority to my cousin, as she is the best candidate.BI will ensure by speaking to other colleagues that she will get the position.CI can ask my cousin to apply online and use my name as referral.DAs I am sure that my cousin will get the position, I can tell her to join me and my colleagues for breakfast in the office next morning.

Q16Business & Commercial Knowledge

High-risk investment projects often use:

AGeneral partnershipsBLimited partnershipsCSole proprietorshipsDPublic companies

Q17Fundamentals of Accounting

At 31 October 2004, insurance expense includes an amount of Rs. 1,500 paid in advance but no period-end adjustment entry has been recorded. What is effect of correcting this error on gross profit and net profit?

AGROSS PROFIT: Increase by Rs. 1,500 and NET PROFIT: Increase by 1,500BGROSS PROFIT: Decrease by Rs. 1,500 and NET PROFIT: Decrease by Rs. 1,500CGROSS PROFIT: No effect and NET PROFIT: Increase by Rs. 1,500DGROSS PROFIT: Decrease by Rs. 1,500 and NET PROFIT: No effect

Q18Business & Commercial Knowledge

Which of the following are considered characteristics of a product?

ANameBAdaptableCAll of the aboveDNone of the above

Q19Business & Commercial Knowledge

Bank head office receives online reports from branches for strategic decisions. Information is stored in:

ACentralised databaseBLANCDBMSDOutsourcing

Q20Business & Commercial Knowledge

Purchase of machinery is an example of:

APermanent capitalBFixed capitalCWorking capitalDDebt capital

Q21Quantitative Aptitude & Business Economics

A worker produces 1,092 units in three days with 20% increase each day. Compute total units on first and last day:

A732B432C300D360

Q22Fundamentals of Accounting

Discount allowed Rs. 1,500 recorded on credit side, discount received Rs. 1,800 on debit side. Difference in trial balance?

ANo differenceBRs. 300CRs. 600DRs. 3,300

Q23Fundamentals of Accounting

How does the comparability concept benefit users of financial statements?

AIt ensures that financial statements are prepared by chartered accountantsBIt allows users to compare financial information between different periods and entitiesCIt focuses on ensuring financial statements are error-freeDIt requires companies to report all financial information in the same currency

Q24Business & Commercial Knowledge

Team of government experts are in a meeting to write scope of internal auditors to be inducted for next 20 years projects. This is the process of:

AJob AnalysisBJob DescriptionsCAppraisalsDTraining Assessment

Q25Business & Commercial Knowledge

Registering a business as a limited partnership is advisable when business risk is:

AHighBLowCD

Q26Fundamentals of Accounting

Draft GP Rs. 850,000, NP Rs. 460,000. Invoice Rs. 3,700 debited to purchases but goods received after year-end, not in closing inventory. Corrected GP and NP?

AGP Rs. 846,300 & NP Rs. 456,300BGP Rs. 853,700 & NP Rs. 463,700CGP Rs. 850,000 & NP Rs. 463,700DGP Rs. 853,700 & NP Rs. 460,000

Q27Business & Commercial Knowledge

Development programs are mostly for:

AEntry-level clerksBManagers and higher-level employeesCCustomersDMarketing teams only

Q28Quantitative Aptitude & Business Economics

The formula for simple interest is:

APRN/100BPR/(100xN)C100P/(RxN)D100xRxN/P

Q29Business & Commercial Knowledge

The finance department rotates employees to learn all areas. This is:

AJob enrichmentBJob consolidationCJob appraisalDJob rotation

Q30Business Economics & Commercial Knowledge vol.2

In the relationship between consumption expenditure and income, which statement is correct?

AThe average propensity to consume is constantBThe average propensity to consume is rising.CThe marginal propensity to consume is equal to the average propensity to consumeDThe marginal propensity to consume is less than the average propensity to consume

Q31Business & Commercial Knowledge

Finance lease is an example of:

AShort-term financeBLong-term financeCInterest-free loanDNo-cost finance

Q32Business Economics & Commercial Knowledge vol.2

_____________is the balance of payments accounts are defined as:

AThe difference between the government's receipts and its expenditure over the period of a yearBThe difference between the exports of goods and services and imports of goods and services over the period of a yearCThe surplus or deficit on a country's international trade over a given periodDA statement of the economic transactions between residents of a country and the rest of the world over a given period

Q33Fundamentals of Accounting

Bank statement OD Rs. 1,490,850. Outstanding Rs. 3,856,300 includes: incorrect payee cheque Rs. 50,000 (returned 15 July), cheque Rs. 85,000 recorded as Rs. 58,000 (error 27,000), misplaced cheque Rs. 4,630 (paid cash). Cash book corrected. Bank balance to report?

ARs. 5,292,520 OverdraftBRs. 2,310,820 Positive balanceCRs. 5,347,150 OverdraftDRs. 2,365,450 Positive balance

Q34Quantitative Aptitude & Business Economics

Which inequality represents the set of integers 6, 7, 8 and 9?

A6 < x < 9B6 ≤ x ≤ 9C6 < x ≤ 9D6 ≤ x < 9

Q35Business Economics & Commercial Knowledge vol.2

Which one is an advantage of Indirect Taxation?

ARegressiveBDecreases cost-push inflationCEvasion is difficultDNone of the above

Q36Fundamentals of Accounting

The main purpose of preparing a bank reconciliation statement is?

ATo know the bank balanceBTo know the balance of bank statementCTo correct the cash bookDTo identify causes of difference between cash book balance and bank statement balance

Q37Fundamentals of Accounting

Mariam has transactions: (i) Receipt of cash from Nauman for invoice of goods sold three weeks ago (ii) Receipt of cash from Amjad for cash sales. What are the entries?

ADr Cash; Cr SalesBDr Cash; Cr Sales; Cr Trade ReceivablesCDr Sales; Cr CashDDr Trade Receivables; Dr Sales; Cr Cash

Q38Fundamentals of Accounting

Spice Limited imported raw materials Rs. 10M, import duties Rs. 800k, import taxes Rs. 200k (refundable), transportation Rs. 150k, port handling Rs. 200k, marketing Rs. 100k, admin overheads Rs. 200k. What will be the value of inventories?

ARs. 11,600,000BRs. 11,400,000CRs. 11,150,000DRs. 10,950,000

Q39Quantitative Aptitude & Business Economics

A person has two investment options: (i) Invest Rs. 500,000 for 3 years at 10% per annum compounded semi-annually (ii) Invest Rs. 500,000 for 3 years at 8% per annum compounded quarterly. He has to select one of the options for investment. Where he must invest?

AOption # 1BOption # 2CBoth options are indifferent and hence he can opt for any one of the optionsDCannot be determined with the data available

Q40Business & Commercial Knowledge

Ethical code without leadership compliance:

AEffectiveBIneffectiveCNot importantDOptional

Q41Quantitative Aptitude & Business Economics

If each observation is divided by 10, the mean of the new set of observations will:

ADecrease by 10 timesBIncrease by 10 timesCRemain unchangedDNone of these

Q42Business & Commercial Knowledge

Core values shape:

AOrganizational cultureBOnly profitCOnly costsDOnly revenue

Q43Business Economics & Commercial Knowledge vol.2

Contractionary Fiscal Policy involves:

AIncrease taxesBReduce government expendituresCWage freezesDAll of above

Q44Fundamentals of Accounting

Total of discount allowed column as recorded in Cash Book is posted to:

Acredit side of individual customers' account in Receivables LedgerBcredit side of relevant account in General LedgerCdebit side of individual customers' account in Receivables LedgerDdebit side of discount allowed account or sales account in General Ledger

Q45Quantitative Aptitude & Business Economics

FC = Rs. 5,000/year, VC = Rs. 3/unit, SP = Rs. 8.50/unit. Break-even output:

A588B909C1,100D1,700

Q46Business & Commercial Knowledge

Shareholders don't have to worry about their shareholding being diluted in

AEquity investmentBDebt financingCOrdinary shares issuanceDLong term loans

Q47Quantitative Aptitude & Business Economics

Z = 5x + 2y, constraints x ≤ 10, y ≤ 9, x ≥ 3, y ≥ 1. Which value of Z is NOT achievable?

A73B56C68D50

Q48Business & Commercial Knowledge

A consumer who purchased an eBook on Kindle is known as a ________ buyer.

ATechnicalBAdvancedCContemporaryDDigital

Q49Business Economics & Commercial Knowledge vol.2

Which of the following represents a withdrawal from the circular flow of national income?

AA rise in consumptionBA deficit on the balance of tradeCA surplus on the balance of tradeDA rise in public investment

Q50Quantitative Aptitude & Business Economics

Three numbers in AP with sum 21. If 1, 5, 15 added respectively they form GP. The numbers are:

A5, 7, 9B9, 5, 7C7, 5, 9DNone of these

Q51Fundamentals of Accounting

The following errors have been corrected recently: An unidentified credit of Rs. 294,000 appearing in the bank statement was accounted for in the suspense account. It was discovered that the credit was a settlement of an old outstanding balance previously written off. The amount was net of 2% bank charges. Total sales of 26 December 2019 was Rs. 167,000. This was posted in trade receivable accounts as Rs. 671,000. What would be effect of correcting the above errors on net profit?

ARs. 294,000 increaseBRs. 294,000 decreaseCRs. 210,000 IncreaseDRs. 210,000 decrease

Q52Business & Commercial Knowledge

Place refers to:

AProduct designBDistribution and making products available to customers in desired quantitiesCProduct priceDOnly advertising

Q53Business Economics & Commercial Knowledge vol.2

Weightings in the Retail Price Index for country T for the year 1992 were as follows: From this, we can conclude that Food 317 Health 63 Transport and Vehicles 82 Utilities and fuel (water, gas etc) 75 Clothing 116 Housing 109

Apeople placed more value on transport than on housingBpeople ate more by volume than they spent on healthCspending on food has risen faster than spending on any other categoryDpeople spent a greater proportion of their income on clothing than they spent on any other head

Q54Quantitative Aptitude & Business Economics

Equipment bought for Rs.2,000 down and Rs.400 monthly for one year. Money worth 12% compounded monthly. Cash price of equipment is:

ARs.6,602.03BRs.6,502.03CRs.6,402.03DRs.6,302.03

Q55Fundamentals of Accounting

Bazuka Limited has equipment in inventory at cost Rs. 50,000 per unit. Subsequent selling price Rs. 40,000. Water damage occurred. Repair cost Rs. 15,000 per equipment. The net realizable value and inventory write-down amount to?

ARs. 40,000 and Rs. 10,000 respectivelyBRs. 25,000 and Rs. 25,000 respectivelyCRs. 35,000 and Rs. 25,000 respectivelyDRs. 30,000 and Rs. 15,000 respectively

Q56Business & Commercial Knowledge

Which of the following is a feature of high-end ERP systems?

AReal-time processing and advanced analyticsBStoring customer feedbackCOnly managing email communicationsDLimited processing capacity

Q57Business Economics & Commercial Knowledge vol.2

Value of multiplier (k) lies between:

A1 < K < ∝B0 < K < 1C0 < K < ∝D- ∝ < K < + ∝

Q58Fundamentals of Accounting

Monthly interest credited in bank statement but not in cash book should be:

ARecord as receipts in cash bookBRecord as payment in cash bookCRecord in BRS as uncredited itemDInform bank to reverse the entry

Q59Business & Commercial Knowledge

Debt financing involves:

ASelling ownershipBBorrowing funds with repaymentCSelling products onlineDNo liability

Q60Business Economics & Commercial Knowledge vol.2

When will savings increase in a country?

AWhen interest rate risesBWhen inflation increasesCWhen more credit cards are issued by the banksDWhen production of consumer goods decreases

Q61Business & Commercial Knowledge

A portion of business ownership which is traded in the stock market is known as:

ASharesBBondsCCreditsDnone of the above

Q62Fundamentals of Accounting

Which are examples of unearned income?

AInsurance premium paid in advanceBSub-letting property where rent is in advanceCHiring property where rent is in advanceDFee received at time of service contract

Q63Quantitative Aptitude & Business Economics

If P(A) = 0.2, P(B) = 0.3 and P(A or B) = 0.5, then A and B are:

AMutually exclusiveBIndependentCDependentDNone of these

Q64Business Economics & Commercial Knowledge vol.2

The APC is constant along a linear consumption line.

ATrueBFalseCD

Q65Quantitative Aptitude & Business Economics

Determine the quadratic equation whose solutions are -2 and 8:

AX^2 + 6x - 16 = 0BX^2 - 6x + 16 = 0CX^2 - 3x - 16 = 0DX^2 - 6x - 16 = 0

Q66Business Economics & Commercial Knowledge vol.2

The investment demand curve shifts outward when households become more willing to purchase residential units.

ATrueBFalseCD

Q67Business & Commercial Knowledge

The key feature of real-time processing is:

ATo store the transaction stored before processingBTo update the master files immediatelyCMaster instrument for character recognitionDMagnetic illustrator for complex results

Q68Quantitative Aptitude & Business Economics

Roots of the equation (ax+b)(cx+d) = 0 are:

A-b/a and -d/cB-a/b and -c/dCa/b and c/dDb and d

Q69Business & Commercial Knowledge

CSR enhances:

AEmployee moraleBOnly costsCOnly problemsDConflicts

Q70Fundamentals of Accounting

Unfavourable bank balance means (Pick any two)?

ACredit balance in the cash bookBCredit balance in Bank statementCDebit balance in cash bookDDebit balance in Bank Statement

Q71Fundamentals of Accounting

Accounting Period Concept implies:

APreparing financial reports anytimeBPreparing reports for a specific time frameCIgnoring reporting periodsDReporting only when convenient

Q72Fundamentals of Accounting

A company purchased land and building for a total cost of Rs. 400,000. The land was valued at Rs. 150,000 and the building at Rs.250,000. Depreciation is charged at 10% per annum on a straight-line basis. A junior accountant mistakenly charged depreciation on the entire Rs. 400,000. How should this error be corrected?

ADebit Depreciation Expense Rs.15,000, Credit Accumulated Depreciation Rs.15,000BDebit Accumulated Depreciation Rs.25,000, Credit Depreciation Expense Rs.25,000CDebit Accumulated Depreciation Rs.15,000, Credit Depreciation Expense Rs.15,000DDebit Depreciation Expense Rs.40,000, Credit Accumulated Depreciation Rs.40,000

Q73Business Economics & Commercial Knowledge vol.2

In a perfectly competitive market, firms are:

APrice makerBVery largeCIn small numberDPrice taker

Q74Business Economics & Commercial Knowledge vol.2

The supply curve would shift to the left when:

APrice of good goes downBTaxes of government go downCPrices of complements go downDPrices of substitute goods go down

Q75Fundamentals of Accounting

Hamid's inventory at December 31, 2018: Product A Cost Rs. 15,000, NRV Rs. 17,000; B Cost Rs. 12,000, NRV Rs. 10,000; C Cost Rs. 13,500, NRV Rs. 11,000; D Cost Rs. 12,600, NRV Rs. 14,000. Total Cost Rs. 53,100, Total NRV Rs. 52,000. What value should be shown in Statement of Financial Position?

ARs. 48,600BRs. 50,600CRs. 52,000DRs. 53,100

Q76Business Economics & Commercial Knowledge vol.2

Which of the following distinguishes oligopoly market from other forms of market organization?

AInterdependence of producersBDifferentiated productsCMany firms in a small marketDFirms are price takers

Q77Business & Commercial Knowledge

Public sector organizations are:

AProfit-orientedBSocial objective-orientedCForeign-ownedDPrivately managed

Q78Business Economics & Commercial Knowledge vol.2

The law of diminishing marginal returns states that:

AAs more factors of production are employed, output will rise initially and then fallBAs more factors of production are employed, output will rise, but at a diminishing rateCAs more variable factors of production are added to a fixed factor, output will rise at a faster rate initially and then fallDAs more variable factors of production are added to a fixed factor, output will rise at a decreasing rate after a certain point.

Q79Fundamentals of Accounting

Total sales of 26 December 2019 was Rs. 167,000. This was posted in trade receivable accounts as Rs. 671,000. What journal entry must be recorded to correct this error at year end of 31 December 2019?

ADEBIT: Sales Rs. 504,000 and CREDIT: Trade receivabels Rs. 504,000BDEBIT: Sales Rs. 838,000 and CREDIT: Trade receivabels Rs. 838,000CDEBIT: Suspense Rs. 504,000 and CREDIT: Trade receivabels Rs. 504,000DDEBIT: Suspense Rs. 838,000 and CREDIT: Trade receivabels Rs. 838,000

Q80Quantitative Aptitude & Business Economics

A quadratic function can have:

AOnly one x-interceptBTwo x-interceptsCNo x-interceptsDAll options are possible

Q81Business & Commercial Knowledge

In an office, secondment means being given second tasks…

ATrueBFalseCD

Q82Business & Commercial Knowledge

The closure of company is done through mutual understanding of all shareholders:

ATrueBFalseCD

Q83Business Economics & Commercial Knowledge vol.2

Which one of the following items is most likely to increase the circular flow of income?

AIncreased taxationBIncreased spending on importsCLower government spendingDReductions in personal savings

Q84Business Economics & Commercial Knowledge vol.2

Which of the following may cause an increase in National Income?

AA fall in investmentBA rise in exportsCAn increase in savingDA fall in consumer spending

Q85Fundamentals of Accounting

A businessman maintains petty cash under imprest system. Imprest amount Rs.500. Payments totalling Rs.300 were made during the month. How much will be reimbursed to restore petty cash to imprest amount?

ARs. 200BRs. 300CRs. 500DRs. 800

Q86Business Economics & Commercial Knowledge vol.2

The minimum price a firm is willing to receive for its goods is called

AReservation priceBSupport priceCminimum priceDnone of these

Q87Business & Commercial Knowledge

Which of the following business environments are more suited to a closed system.

AStableBDynamicCUnstableDRecursive

Q88Quantitative Aptitude & Business Economics

Three horses A, B and C are in a race. A is twice as likely to win as B and B is three times as likely to win as C. The probability that B or C wins is:

A3/5B2/5C3/10DNone of these

Q89Fundamentals of Accounting

Expenditures which provide benefits in future period are called:

ARevenue expenditureBOutstanding expenditureCCurrent expenditureDCapital expenditure

Q90Business & Commercial Knowledge

Special payment on achievement of targets is:

ASharesBSalaryCInsuranceDBonus

Q91Business Economics & Commercial Knowledge vol.2

Which one is not prohibited in Islamic economic system?

AMaking of MoneyBInvestment in Prohibited (Haram) BusinessesCShort SellingDInvestment in Non-Asset Backed Derivatives

Q92Fundamentals of Accounting

The double entry for return of goods purchased from Khan Limited on account is:

ACash (debit) and purchases (credit)BAccounts payable (debit) and purchases (credit)CAccounts payable (debit) and purchases return (credit)DNone of the above

Q93Business Economics & Commercial Knowledge vol.2

There is a multiplier effect from changes in investment spending because

Aaggregate supply is related to the level of output,Bconsumer spending is positively related to the level of output,Cconsumer spending is negatively related to the level of output,Dexports are positively related to the level of output.

Q94Business Economics & Commercial Knowledge vol.2

The average propensity to consume is the ratio of

Aa change in consumption to a change in disposable incomeBa change in consumption to total disposable income at a specific income levelCtotal consumption to total disposable income at a specific income levelDtotal consumption to a change in disposable income

Q95Quantitative Aptitude & Business Economics

Mr. Azhar opened two accounts. First with Rs. 25,000 at 8% p.a. and second with Rs. 44,000 at 10% p.a. (both simple interest). In how many years does the second amount become double the first?

A12 yearsB10 yearsC15 yearsD17 years

Q96Fundamentals of Accounting

Money Measurement Concept implies:

ARecording only non-monetary eventsBIncluding intangible aspects in recordsCIgnoring monetary transactionsDRecording transactions in monetary terms only

Q97Quantitative Aptitude & Business Economics

If two events have no elements in common then they are known as:

AUnion of two eventsBIntersection of two eventsCMutually exclusive eventsDNone of these

Q98Business Economics & Commercial Knowledge vol.2

Which of the following is not a likely consequence of a government setting a maximum price that is lower than the equilibrium price?

AWaiting listsBA black marketCAn excess of supply over demandDRationing

Q99Fundamentals of Accounting

Which is/are capital expenditure?

ARepairs of vehicleBReplacement of engine of vehicleCPurchase of machine for productionDAnnual insurance premium on machine

Q100Business & Commercial Knowledge

Working capital financing is generally:

ALong-termBMedium-termCShort-termDPermanent

Q101Business Economics & Commercial Knowledge vol.2

In a closed economy with no government sector the multiplier shows the impact of a change in

AConsumption on investmentBInvestment on national incomeCnational income on consumptionDnational income on investment

Q102Fundamentals of Accounting

A payable account: Payment Rs.160000; Credit purchases Rs.185000; Discount received Rs.16000; Contra Rs.7000; Balance c/d 31 Dec 2018 Rs.22000. What is balance b/d 1 Jan 2018?

ARs. 20000BRs. 22000CRs. 35000DRs. 205000

Q103Fundamentals of Accounting

The capital of Nisar & Co. as at 1 January 2022 was Rs. 2,452,000. During the year ended 31 December 2022, Nisar & Co. earned gross profit of Rs. 785,600; operating profit of Rs. 485,500 and net profit of Rs. 341,500. The drawing for the year ended 31 December 2022 was Rs. 200,000 in cash and Rs. 25,000 in goods. The capital of Nisar & Co. as at 31 December 2022 was:

ARs. 3,037,600BRs. 2,712,500CRs. 2,593,500DRs. 2,568,500

Q104Fundamentals of Accounting

A business has incurred costs: Extension in building Rs.1.5M; Repairs to building Rs.0.5M; Overhaul to machinery that increased production capacity Rs.1.2M. What is the amount of revenue expenditure incurred during the year?

ARs. 1.5 millionBRs. 0.5 millionCRs. 2.7 millionDRs. 2.2 million

Q105Fundamentals of Accounting

Raja Enterprises took 12% loan on 1 January 2022 amounting to Rs. 500,000; repayable in ten equal bi-annual principal repayments along with interest. The first installment was paid on 30 June 2022 and second on 31 December 2022. The statement of financial position of Raja Enterprises as at 31 December 2022 would represent the loan as:

ARs. 400,000 as non-current liabilityBRs. 300,000 as non-current liability and Rs. 100,000 as current liabilityCRs. 350,000 as non-current liability and Rs. 50,000 as current liabilityDRs. 400,000 as non-current liability and Rs. 100,000 as current liability

Q106Fundamentals of Accounting

Which shall cause the debit balance of payable ledger?

AGoods returned to supplier after clearing invoiceBPayment to supplier recorded in shortCContra settlement with receivable ledger omittedDDiscount received not entered in payable ledger

Q107Business Economics & Commercial Knowledge vol.2

A developing economy attracts additional foreign direct investment. What is likely to be the effect on its visible trade balance and on its invisibles balance?

AVisible trade balance:Improve , Invisible Balance:ImproveBVisible trade balance:Improve , Invisible Balance:WorsenCVisible trade balance:Worsen , Invisible Balance:ImproveDVisible trade balance:Worsen , Invisible Balance:Worsen

Q108Business Economics & Commercial Knowledge vol.2

In given demand curve at point a, any increase in price of the product will __________the total expenditures.

AIncreaseBDecreaseCRemain unchangedDInsufficient information

Q109Business & Commercial Knowledge

Products that consumers compare before purchasing, such as furniture or appliances, are called:

ASpecialty productsBConvenience productsCShopping productsDRaw materials

Q110Business & Commercial Knowledge

Managerial experience at workplace is part of:

ADevelopmentBCoachingCMentoringDTraining

Q111Fundamentals of Accounting

The sales account is part of:

AGeneral ledgerBSales ledgerCReceivables ledgerDPayables ledger

Q112Business & Commercial Knowledge

Cooperatives aim to:

AMaximize profitBRender servicesCAvoid taxesDCompete aggressively

Q113Business & Commercial Knowledge

Product division enables companies that function in several locations to be less responsive to customers at a local level.

ATrueBFalseCD

Q114Business Economics & Commercial Knowledge vol.2

Unemployment which arises due to recession or deficient aggregate demand is known as:

ADemand deficient unemploymentBStructural unemploymentCReal wage unemploymentDVoluntary unemployment

Q115Quantitative Aptitude & Business Economics

Present Value of a future cash flow is the amount that:

AInvestor invests in future to get the amount todayBInvestor invests today to get the amount in futureCIs not equivalent to value of future cash flow in present dayDIs not equivalent to value of present cash flow in the future

Q116Business & Commercial Knowledge

A key objective of human resource strategy is to:

AEnsure human resources are available as requiredBMinimise employee compensationCMaximise physical resourcesDEliminate training programs

Q117Business Economics & Commercial Knowledge vol.2

Major drawback of Direct Taxation is:

AUnpopularBDiscourage savingsCTax evasionDAll of the above

Q118Fundamentals of Accounting

The basic accounting equation is given by the formula: Equity + Long term liabilities = ________ + Current assets - Current liabilities.

ATotal AssetsBNon-current AssetsCFixed AssetsDCurrent Liabilities

Q119Business & Commercial Knowledge

Which of the following is an intangible product attribute?

AColor of packagingBBrand image or reputationCPhysical sizeDWeight

Q120Fundamentals of Accounting

Chan sold goods list price Rs. 10,000, 10% trade discount, to Veer on credit. Veer paid in full after 5% cash discount. Two weeks later returned half the goods. Sales return amount?

ARs. 4,275BRs. 4,500CRs. 4,750DRs. 5,000

Q121Business Economics & Commercial Knowledge vol.2

A recessionary gap exists when

AAggregate supply exceeds aggregate demand,BThe aggregate spending line intersects the 45° line at an output level to the right of the full- employment level of output.CThe aggregate spending line intersects the 45° line at an output level to the left of the full- employment level of output.DThe aggregate spending line intersects the aggregate supply curve at a lower price level.

Q122Fundamentals of Accounting

Goods purchased worth Rs. 200,000, no entry made in purchases book is an example of

AError of postingBError of omissionCError of principleDCompensating errors

Q123Quantitative Aptitude & Business Economics

Mode of 2.5, 3.6, 3.1, 4.3, 2.9, 2.3 is:

A4.3B(3.1+4.3)/2CDoes not existDNone of these

Q124Quantitative Aptitude & Business Economics

A linear programming problem is unbounded when:

AThere is no solutionBThe objective function can increase indefinitely without violating any constraintsCThere are too many constraintsDThe feasible region is empty

Q125Quantitative Aptitude & Business Economics

Prices are unchanged from base to current year but quantities increase by 5 units each. The Laspeyre price index will be:

A105B100C95DCannot be determined

Q126Quantitative Aptitude & Business Economics

Component mean weight=5kg, SD=1kg, normal distribution. P(weight > 6kg):

A0.1785B0.1587C0.8715D0.1577

Q127Business & Commercial Knowledge

Current liabilities payable within:

A10 yearsB5 yearsC1 yearD15 years

Q128Fundamentals of Accounting

PN opening receivables Rs.87000 allowance Rs.2500. Wrote off Rs.800 and Rs.550. Recovery Rs.350. Closing receivables Rs.90000 allowance Rs.2300. Charge to P&L?

ARs. 800BRs. 1000CRs. 1150DRs. 1550

Q129Business Economics & Commercial Knowledge vol.2

The accelerator principle explains how capital investment changes in direct proportion to changes in consumption.

ATrueBFalseCD

Q130Business & Commercial Knowledge

Board diversity helps in:

ABetter decision-makingBMore conflictsCLess regulationDLower profits

Q131Quantitative Aptitude & Business Economics

If mean of Binomial distribution is 1 and variance is 0.98 then p=

A0.98B0.02CDoes not existDNone of these

Q132Business & Commercial Knowledge

MN City real estate is using information to plan all construction projects for the new developmental project. The company is managing this task by a team of experts in various locations and only employees can see the information for the projects. They are making use of a(n)

AExtranetBInternetCIntranetDWide area networks

Q133Business & Commercial Knowledge

A job description is casual explanation of a specific job that usually includes job title and tasks to be performed.

ATrueBFalseCD

Q134Business Economics & Commercial Knowledge vol.2

Characteristic of good money is / are:

AGeneral acceptabilityBStability of valueCDurabilityDAll of the above

Q135Business Economics & Commercial Knowledge vol.2

When aggregate supply is horizontal and the marginal propensity to consume is 0.50, a $10 increase in investment spending will result in

Aa $10 increase in the equilibrium level of outputBa $20 increase in the equilibrium level of outputCa $50 increase in the equilibrium level of outputDno change in the equilibrium level of output

Q136Business & Commercial Knowledge

Flat organizations have:

ANarrow spanBWide spanCMany levelsDComplex structure

Q137Business Economics & Commercial Knowledge vol.2

What is likely to increase GDP per worker in a developing economy?

Aa decrease in the numbers engaged in subsistence agricultureBa decrease in the numbers engaged in manufacturingCan increase in the employment rateDan increase in the population of working age

Q138Business Economics & Commercial Knowledge vol.2

Which one is NOT a relevant variable in demand for money?

AFinancial innovationsBReal GDPCinterest rateDNone of the above

Q139Business & Commercial Knowledge

Which of the following are the main concerns of shareholders in a business?

AFalling profits and a falling share priceBA proposal to invest in a major project where the business risk is highCA proposed takeover bid for another company or from another companyDAll of the above

Q140Quantitative Aptitude & Business Economics

If seven coins are tossed simultaneously. All possible outcomes of the experiment are:

ANot mutually exclusiveBIndependentCNot independentDNone of these

Q141Business Economics & Commercial Knowledge vol.2

Speculative demand for money is also inversely related to the interest rate but relatively inelastic.

ATrueBFalseCD

Q142Business Economics & Commercial Knowledge vol.2

Which one can affect the national income accounting adversely?

ATotal value of cotton produced in a countryBDomestic work done by householdsCBy adding value of resold car during same yearDAll of above

Q143Business & Commercial Knowledge

If a company's revenue is Rs.500,000 and costs are Rs.450,000, what is its profit?

ARs.50,000BRs.450,000CRs.500,000DRs.950,000

Q144Quantitative Aptitude & Business Economics

Constraints: x≥1, y≥2, x+y≤8. Objective: Cost=10x+2y. Identify optimal solution (minimise):

A(0,0)B(1,2)C(2,1)D(0,0)

Q145Business & Commercial Knowledge

Effective stakeholder management leads to:

ABetter relationshipsBMore conflictsCHigher costsDLower quality

Q146Business Economics & Commercial Knowledge vol.2

An aggregate demand curve slopes downwards from left to right. One reason for this is that a reduction in the average price level will lead to

Aan increase in the real value of money balancesBan increase in interest ratesCa decline in the country's international competitivenessDthe expectation of further price falls

Q147Business & Commercial Knowledge

Decentralization means decisions by:

ASenior management onlyBLower levelsCGovernment onlyDCustomers only

Q148Quantitative Aptitude & Business Economics

Index numbers are used as the barometers of:

APricesBQuantitiesCInflationDNone of these

Q149Business Economics & Commercial Knowledge vol.2

___________ Economics not only highlights the economic problems but also suggest solutions.

ANormative EconomicsBPositive EconomicsCEconomics Is an ArtDModern Economy

Q150Business Economics & Commercial Knowledge vol.2

Expansionary Fiscal Policy involves:

AIncreases government spendingBIncrease in taxesCIncrease in minimum wageDNone of the above

Q151Business Economics & Commercial Knowledge vol.2

In a two sectoral economy

AM.P.C. + M.P.S. = 1BM.P.C. + M.P.S. < 1CM.P.C. + M.P.S. > 1DM.P.S. > 1

Q152Fundamentals of Accounting

If closing inventory is accounted for as Rs. 240,000 instead of Rs. 180,000 then:

AGross profit as well as net profit will be exaggeratedBGross profit and net profit would both be understatedCGross profit will be exaggerated, and net profit understatedDGross profit will be exaggerated but net profit correctly reported

Q153Quantitative Aptitude & Business Economics

AP: a=75, d=10, 10 terms. Sum of 6 terms starting from 2nd term:

A660B560C460D360

Q154Business & Commercial Knowledge

Increasing equity results in:

AMore ownership per shareholderBReduced ownership shareCNo changeDLower capital

Q155Fundamentals of Accounting

An error where correct amount is recorded in correct accounts but on wrong sides of both accounts is called:

AError of commissionBComplete reversal of entriesCError of principalDCompensating error

Q156Quantitative Aptitude & Business Economics

Rs.19,000 borrowed for 5 years at 8% per annum compounded quarterly. Quarterly payment to repay the loan is:

ARs.1,361.97BRs.1,261.97CRs.1,461.97DRs.1,161.97

Q157Fundamentals of Accounting

Bank statement Rs. 4,000 Cr. Cheques deposited Rs. 600 (not in statement), Cheques issued Rs. 1,000 (not in statement), Interest Rs. 100 in CB (not in statement - bank omission). Cash book balance?

ARs. 3,700BRs. 4,500CRs. 5,000DRs. 3,900

Q158Fundamentals of Accounting

Which of the following transactions shall be recorded in sales day book of an Electronics Trader?

ACash sales of office furnitureBCash sales of electronics itemsCCredit sales of office furnitureDCredit sales of electronics items

Q159Business & Commercial Knowledge

Effective way to maintain professional approach is to remain:

AUnbiasedBHonestCObjectiveDAll of the above

Q160Fundamentals of Accounting

Receivables 250k. Errors: Bad debts recovered 5k wrongly in collections, Decrease allowance 7.5k wrongly credited, Disc allowed 2.2k not entered, Disc received 1.7k wrongly debited. Corrected receivables?

ARs. 258,100BRs. 258,600CRs. 253,600DRs. 254,600

Q161Fundamentals of Accounting

Who is responsible to prepare financial statements of a partnership?

APartner (for public disclosure)BThere may be no obligation to prepare financial statements of a partnership (other than for tax purpose)CManagerDAccountant

Q162Quantitative Aptitude & Business Economics

Three class sections of 28, 32 and 35 students averaged 83, 80 and 76 respectively. Combined average of all sections is:

A79.41B79.67C80DNone of these

Q163Quantitative Aptitude & Business Economics

Which of the following statement is correct?

AU-shaped graph will have no x-interceptsBU-shaped graph will have no y-interceptCU-shaped graph may have two x-interceptsDU-shaped graph is always above x-axis

Q164Business & Commercial Knowledge

Which of the following is a reason why the government has an interest in all business organisations,

ABusinesses pay tax on profits, so government has an interest in company profitability.BGovernment wants to encourage business investments.CThe government is interested in regulating business activityDAll of the above

Q165Fundamentals of Accounting

Per IAS-2, how are fixed and variable conversion costs included in inventory?

ABoth variable and fixed on actual productionBBoth on normal production levelCVariable on normal, fixed on actualDVariable on actual, fixed on normal (if actual does not exceed normal)

Q166Business & Commercial Knowledge

Understanding stakeholders helps in:

AResource allocationBIgnoring customersCAvoiding suppliersDReducing quality

Q167Fundamentals of Accounting

Which statements true per IAS-2? a)Adjustable sales tax excluded b)Storage of finished goods excluded c)Storage of raw materials for production included

Aa onlyBb onlyCa and bDa, b and c

Q168Quantitative Aptitude & Business Economics

. Mr. Asim has following investment options: i. Invest in Bank A at 12% per annum compounded quarterly ii. Invest in Bank B at 10% per annum compounded semi-annually iii. Invest in Bank C at 8% per annum compounded monthly iv. Invest in Bank D at 15% per annum. Which of the above options must he opt

ABank ABBank BCBank CDBank D

Q169Fundamentals of Accounting

The Accrual / Matching Concept implies that:

ARevenue is recorded only when cash is receivedBExpenses are recorded only when cash is paidCRevenue and expenses are recorded when they are earned or incurredDBoth (a) and (b)

Q170Business & Commercial Knowledge

Which of the following is an example of socially responsible activities?:

AEnvironmental effortsBVolunteeringCBoth (a) and (b)DNone of the above

Q171Business & Commercial Knowledge

Partnership involves ownership by:

AOne personBAt least two peopleCOnly family membersDOnly friends

Q172Business & Commercial Knowledge

Services are:

ATangible itemsBIntangible offeringsCFree goodsDAll of these

Q173Business Economics & Commercial Knowledge vol.2

Keynes fundamental psychological law states that

AThe change in income is greater than the change in consumptionBThe change in consumption is greater than the change in incomeCPeople stop consuming when they become affluentDPeople stop saving when they become affluent

Q174Fundamentals of Accounting

Amount Rs. 1,000 debited twice in bank statement instead of once. Cash book Rs. 5,000 OD is starting point. Balance per bank statement?

ARs. 6,000 OverdraftBRs. 4,000 OverdraftCRs. 7,000 OverdraftDRs. 3,000 Overdraft

Q175Fundamentals of Accounting

Sale Rs. 56,000 entered in daybook as Rs. 65,000, posted to customer as Rs. 6,500. No control accounts. Journal to correct?

ADebit Trade receivables Rs. 6,500, Debit Suspense Rs. 58,500 & Credit Sales Rs. 65,000BDebit Sales Rs. 65,000, Credit Trade receivable Rs. 6,500 & Credit Suspense Rs. 58,500CDebit Trade receivables Rs. 49,500, Debit Sales 9,000 & Credit Suspense Rs. 58,500DDebit Suspense Rs. 58,500, Credit Trade receivables Rs. 49,500 & Credit Sales 9,000

Q176Business Economics & Commercial Knowledge vol.2

Which one of the following cannot be used to finance a deficit on the current account of a country's balance of payments?

ARunning down foreign exchange reservesBIncreased taxationCBorrowing from foreign central banksDAttracting inflows of short-term capital

Q177Business Economics & Commercial Knowledge vol.2

If saving function is S = -500 + 0.5y value of multiplier would be:

A4B5C0.5D2

Q178Business Economics & Commercial Knowledge vol.2

Changes in the distribution of disposable income

ACause upward shifts in the consumption functionBCause downward shift in the consumption functionCHave no effect upon the consumption functionDBoth a & b are possible

Q179Quantitative Aptitude & Business Economics

The Hart Company limited have decided to change their mix of sales of two products – Reds and Blues. Sales of Blues are to be gradually reduced to zero and replaced by increase of sales of Reds. Blues sold in December amounted to 4,096 units. Sales volume will be halved each month, beginning in January. The first month when only one unit is sold, will be the last month of sales of Blues. 1,000 units of Reds will be sold in January, and sales will be increased by 20% per month. How many units of Blues will be sold in total over the period January-September?

A4,080B4,088C4,092D4,095

Q180Business Economics & Commercial Knowledge vol.2

If the economy is operating on the relatively vertical segment of the aggregate supply curve, an increase in aggregate demand causes a ________ change in the price level and a ________ change in output.

ASmall; small/noBBig; bigCBig; small/noDSmall/no; big

Q181Quantitative Aptitude & Business Economics

Fixed cost is:

AA cost that does not change with level of activityBA cost that changes with level of activityCA cost that is fixed per unitDA cost not incurred by the entity

Q182Business & Commercial Knowledge

Corporations pay tax for the sake of regulations as they are incorporated, and it is mandatory for the corporations to follow tax laws. Which of the following statement is true concerning taxation of a company.

ATaxes are deducted on fixed rateBTaxes are part of revenueCTaxes are calculated from salesDTaxes are paid from personal accounts of owners

Q183Quantitative Aptitude & Business Economics

5-term AP with sum = 0. What is the 3rd term?

A5B−5C0DCannot be determined

Q184Business Economics & Commercial Knowledge vol.2

In a closed economy with no government C = 30 + 0.8 Y and I = 50, where C is consumption, Y is income and I is investment. What is the equilibrium level of income?

A64B80C250D400

Q185Quantitative Aptitude & Business Economics

The y-coordinate of x-intercept(s) of a quadratic function is always:

A0B1C2D3

Q186Business & Commercial Knowledge

Training is for new inductions; development for experienced staff.

ATrueBFalseCD

Q187Business Economics & Commercial Knowledge vol.2

Which one is not a precondition of law of supply?

AOil pricesBIncome of the consumerCWagesDNone of the above

Q188Fundamentals of Accounting

Which TWO are treated as reduction in expense for year?

ABad debts written offBIncrease in allowance for doubtful debtsCDecrease in allowance for doubtful debtsDBad debts recovered

Q189Business Economics & Commercial Knowledge vol.2

Any monetary claim against physical or legal person can be used for the purchase of goods and services are called:

AMoneyBFiat moneyCCredit moneyDToken money

Q190Quantitative Aptitude & Business Economics

A line passes through origin with positive gradient. Which point CANNOT fall on the line?

A( 2, 3)B(1, 4)C(−1, −2)D(3, −1)

Q191Fundamentals of Accounting

A trainee accountant has prepared the following list of expenses. Which of the following are correct in relation to expenses?

ACarriage InwardsBCarriage outwardsCCommission receivedDSalaries expense

Q192Business Economics & Commercial Knowledge vol.2

Which one is NOT a responsible factor for shift in MEC?

AChange in sentimentsBChange in wage rateCPopulation growthDNone of the above

Q193Quantitative Aptitude & Business Economics

Saad Ltd purchases machinery for $100,000 with a useful life of 5 years and no salvage value using double declining balance method. What is the depreciation expense in year 2?

A$24,000B$20,000C$16,000D$36,000

Q194Business Economics & Commercial Knowledge vol.2

Which of the following is a measure of income earned by a factor of production?

AIndirect taxesBDepreciationCRentDCorporate taxes

Q195Business Economics & Commercial Knowledge vol.2

What is likely to be the effect of an oil price increase on the global economy?

Aa strengthening of demand inflationBa weakening of cost inflationCa decrease in the rate of growthDa decrease in unemployment

Q196Quantitative Aptitude & Business Economics

Zaid owes Rs.50,000 due in 10 months with no interest. What should Arshad accept now at 8% simple interest p.a.?

ARs.45,875BRs.47,875CRs.46,875DRs.46,575

Q197Fundamentals of Accounting

Saima aging analysis: <31 days Rs.32700 (Nil%); 31-60 days Rs.16900 (4%); >60 days Rs.8750 (50%). Opening allowance Rs.5600. Adjustment needed?

AIncrease Rs.5051BDecrease Rs.5051CIncrease Rs.549DDecrease Rs.549

Q198Fundamentals of Accounting

Goods with list price Rs.80000 sold with 2% trade discount and 3% of list price further discount if paid within 15 days. It is reasonably expected customer will pay within 15 days. At which amount sales should be recognised on 20th July?

ARs. 80000BRs. 78400CRs. 76048DRs. 76000

Q199Quantitative Aptitude & Business Economics

Each term is 6 more than previous: x, y, z, 7, 13, ... Find x+z:

A10B±5C−100D−10

Q200Fundamentals of Accounting

Samreen made: Sales Rs.15000 out of which Rs.4000 are on cash; A customer paid 800 after availing discount of 2%; Rent paid Rs.100. What is the total of receipt column of cash book?

ARs. 15800BRs. 4800CRs. 4700DRs. 15700

Q201Quantitative Aptitude & Business Economics

Which statement is correct about b^2-4ac?

Ab^2-4ac=0 means two real rootsBb^2-4ac>0 means no real rootCb^2-4ac<0 means two real rootsDb^2-4ac>0 means two real roots

Q202Business & Commercial Knowledge

Brand attributes refer to:

AFeatures and characteristics that define the brand's personalityBOnly the logoCOnly pricingDOnly distribution

Q203Business Economics & Commercial Knowledge vol.2

A demand curve with constant slope over all quantity values can have a continuously changing price elasticity of demand.

ATrueBFalseCD

Q204Business Economics & Commercial Knowledge vol.2

Between 2000 and 2002 national output in the Pakistan increased by2%. Over the same period the unemployment rate increased from 4% to 6% What would explain this?

AThere was a decrease in labor productivityBThere was a decrease in the size of the labor forceCThere was a fall in the rate of inflationDPotential growth in national output was above actual growth

Q205Business Economics & Commercial Knowledge vol.2

The difference between rate of inflation and nominal rate of interest is known as:

ABank rateBKIBORCReal rate of interestDDiscount rate