IC46 GENERAL INSURANCE ACCOUNTS PREPARATION - 01
Que. 1 : Q1) Who among the following can sign the financial statements as per the Companies Act,2013? (i) Chairperson, authorized by the board (ii) Company Secretary (iii) CEO, who is not a director
1. a) (i) and (ii)
2. b) (i) and (iii)
3. c) (ii) and (iii)
4. d) (i) , (ii) and (iii)
Que. 2 : Q2) What should be calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted number of equity shares outstanding during the period?
1. a) Weighted average number of equity shares
2. b) Standard cost method
3. c) Basic Earning Per Share
4. d) None of these
Que. 3 : Q3) Rishita's cash book shows a credit balance of Rs.8,700 for the month of January. The balance of the bank statement does not match with that of the cash book, due to the following reasons. i) Interest on an onverdraft of Rs.500 had been debited by the bank but not recorded in the cash book ii) Cheques of Rs.5,000 issued during the month, but were not presented in the bank until 31 January 2007. Cheques of Rs.3,500 were deposited but not cleared. iii) Interest on investments of Rs.1,000 was directly collected by the bank. iv) The bank had wrongly debited Rs.800. The balance per the bank statement is:
1. a) Rs.7,500(debit)
2. b) Rs.9,500(debit)
3. c) Rs.5,900(credit)
4. d) Rs.7,500(credit)
Que. 4 : Q4) Shivam Corporation purchased a machinery of Rs.1,00,000 on 1 January 2011 and incurred an installation charges of Rs.20,000. The depreciation is calculated at 10% on a straight line basis. On 30 June 2013, the machinery was sold for Rs.88,000.What will be the loss or profit?
1. a) Rs.2,000 profit
2. b) Rs.4,500 profit
3. c) Rs.4,500 loss
4. d) Rs.2,000 loss
Que. 5 : Q5) When net claims ratios of the insurer exceed specified limits in a financial year, __________ becomes operational.
1. a) Quota share
2. b) Excess of loss ratio
3. c) Pool arrangement
4. d) Treaties