Commerce & Accountancy is a vital subject for students aiming to excel in their school exams and competitive assessments. Mastering this field not only enhances your understanding of financial principles but also significantly boosts your exam scores. Practicing MCQs and objective questions is essential, as it helps you identify important questions and reinforces your exam preparation through targeted practice questions.
What You Will Practise Here
Fundamental concepts of accounting and financial statements
Key principles of commerce including trade, marketing, and economics
Important formulas related to profit and loss, balance sheets, and cash flow
Definitions of key terms such as assets, liabilities, and equity
Diagrams illustrating accounting processes and business models
Theory areas covering the role of commerce in the economy
Analysis of case studies relevant to real-world commerce scenarios
Exam Relevance
Commerce & Accountancy is a significant part of the curriculum for CBSE, State Boards, and various competitive exams like NEET and JEE. Questions often focus on practical applications of concepts, requiring students to solve numerical problems and interpret financial data. Common question patterns include multiple-choice questions that test both theoretical knowledge and practical understanding, making it crucial to be well-prepared.
Common Mistakes Students Make
Misunderstanding the difference between assets and liabilities
Confusing terms related to accounting principles
Overlooking the importance of accurate calculations in numerical questions
Neglecting to review the impact of transactions on financial statements
FAQs
Question: What are the key topics I should focus on in Commerce & Accountancy? Answer: Focus on financial statements, accounting principles, and key formulas to excel in this subject.
Question: How can I improve my performance in Commerce & Accountancy exams? Answer: Regular practice of MCQs and understanding the concepts thoroughly will enhance your performance.
Start solving practice MCQs today to test your understanding and boost your confidence in Commerce & Accountancy. Remember, consistent practice is the key to success in your exams!
Q. If a company has 100 units of inventory purchased at $10 each and 100 units purchased at $15 each, what is the cost of goods sold using LIFO if 150 units are sold?
A.
$1,500
B.
$1,750
C.
$1,600
D.
$1,650
Solution
Using LIFO, the last 100 units sold are at $15 each and the next 50 units are at $10 each, resulting in a cost of goods sold of (100 * $15) + (50 * $10) = $1,750.
Q. If a company has 100 units of inventory purchased at $10 each and 50 units purchased at $15 each, what is the value of inventory under FIFO if 75 units are sold?
A.
$1,000
B.
$1,125
C.
$1,250
D.
$1,500
Solution
Under FIFO, the first 75 units sold would be from the first purchase, totaling $1,000 (100 units at $10) + $125 (25 units at $15).
Q. If a company has a budgeted contribution margin of $200,000 and an actual contribution margin of $180,000, what is the contribution margin variance?
Q. If a company has a budgeted production of 1,000 units and actual production of 1,200 units, what is the variance in fixed overhead costs if the budgeted fixed overhead is $5,000?
A.
$0
B.
$500
C.
$1,000
D.
$1,200
Solution
Fixed overhead costs remain the same regardless of production levels, so the variance is $0.
Q. If a company has a contribution margin of $30 per unit and fixed costs of $12,000, how many units must be sold to achieve a target profit of $3,000?
