Corporate Accounting Important Questions - 2025 [Gauhati University BCom 2nd Sem FYUGP NEP]

Important Questions for Gauhati University FYUGP NEP B.Com 2nd Semester: Corporate Accounting Based on Gauhati University FYUGP NEP 2nd Sem Latest Syllabus.

Preparing well is the key to success in examinations. To help you excel in the Gauhati University FYUGP NEP B.Com 2nd Semester Corporate Accounting Important Questions exam based on Latest Syllabus, we have compiled a list of important questions based on the FYUGP NEP syllabus. Gauhati University FYUGP BCom 2nd Sem Important with Solution in PDF  

This carefully curated list covers key topics from different units, ensuring that you focus on the most relevant and critical areas. With this guide, you can confidently prepare for your upcoming Corporate Accounting examination and achieve success.

Gauhati University BCom 2nd Semester: Corporate Accounting Important Questions

 Unit 1: Final Accounts of a Joint Stock Company 

1. Fill in the Blanks

1. The financial statements of a joint stock company include the _______ and the statement of profit and loss. (2013)

2. The preparation of final accounts of a company is governed by the _______ Act, 2013. (2015)

3. Expenses incurred at the time of formation of a company are termed as _______. (2013, 2017)

4. Income tax payable on interest on debentures is shown in the Balance Sheet under _______. (2015, 2017)

5. The issue of bonus shares must be recommended by the Board of Directors and approved by the _______. (2023)

6. Provision for taxation is shown as _______ in the balance sheet. (2021)

7. Prepaid expenses are recorded as _______ in the balance sheet. (2014)

8. Depreciation on fixed assets is deducted from _______ in the final accounts. (2023)

9. The balance in the sinking fund after the redemption of all debentures is transferred to _______ account. (2013)

10. Reserve & Surplus is shown under _______ in the balance sheet. (2019)

11. The Companies Act, 2013 follows ______ format for the preparation of Final Accounts. (2024)

12. Income tax payable on interest on debentures is shown in the Balance Sheet under ______. (2015, 2017)

2. True or False

1. The Companies Act, 2013 does not require companies to prepare a statement of profit and loss. (2016)

2. Closing stock is shown only in the trading account. (2015, 2020)

3. Preliminary expenses can be shown under intangible assets in the balance sheet. (2017)

4. Provision for tax is shown as a current liability in the balance sheet. (2015, 2021)

5. Interest on debentures is shown as a financing activity in the cash flow statement. (2016, 2023)

6. A company is required to open a separate bank account for the payment of dividends. (2015, 2020)

7. Reserve arising from asset revaluation is available for issuing bonus shares. (2024)

8. Internal reconstruction leads to a change in capital structure. (2024)

9. Preliminary expenses can be shown under intangible assets in the balance sheet. (2017)

10. A company is required to open a separate bank account for the payment of dividends. (2020)

3. Multiple-Choice Questions (MCQs)

1. The financial statements of a company should be prepared as per: (2015)
   a) Companies Act, 1956
   b) Companies Act, 2013
   c) SEBI Guidelines
   d) None of the above
   
   

2. Which of the following is not shown in the profit and loss account? (2018)
   a) Sales revenue
   b) Administrative expenses
   c) Share capital
   d) Depreciation
   
   

3. The balance sheet is prepared to show: (2019)
   a) Profit or loss of a company
   b) Financial position of a company
   c) Cash flow of a company
   d) None of the above
   
   

4. Prepaid expenses are recorded under: (2014)
   a) Current Liabilities
   b) Current Assets
   c) Shareholder’s Equity
   d) None of the above
   
   

5. Which of the following is recorded in the Profit and Loss Account? (2018)
   a) Debenture Interest
   b) Share Capital
   c) Fixed Assets
   d) Goodwill

4. Short Answer Questions (2-4 Marks Each)

1. How would you deal with the following items while preparing the final accounts of a company? (2013, 2014, 2016)
   a) Preliminary expenses
   b) Proposed dividend
   
   

2. How is depreciation treated in the final accounts of a joint stock company? (2019, 2021)
   
   

3. Explain the accounting treatment of outstanding expenses in the final accounts. (2017)
   
   

4. How is unclaimed dividend treated in the final accounts of a company? (2016)
   
   

5. What is the role of provision for tax in the final accounts? (2021, 2023)
   
   

6. Explain the treatment of Proposed Dividend while preparing the final accounts. (2017, 2020)
   
   

7. What is the significance of Provision for Taxation in company accounts? (2021)
   
   

8. What is the meaning of trade payables in final accounts? (2024)

5. Long Answer Questions (5-10 Marks Each)

1. Explain the format of a company's final accounts as per the Companies Act, 2013. (2014, 2022)

2. How are adjustments like prepaid expenses, outstanding expenses, and depreciation treated in the final accounts? Give examples. (2015, 2020, 2023)

3. Prepare a format of a balance sheet and a statement of profit and loss for a joint stock company. (2015, 2017, 2019, 2023)

4. Discuss the significance of financial statements in corporate accounting. (2018)

5. What is the importance of preparing final accounts for a joint stock company? Explain with examples. (2016, 2019)

6. Prepare a Balance Sheet as per the Companies Act, 2013, from the given financial data. (2015, 2023)

7. Discuss the Accounting Treatment of Provisions & Reserves in Final Accounts. (2020)

8. Explain the various Adjustments in Final Accounts with examples. (2021)

9. Discuss the legal provisions under the Companies Act, 2013, regarding the preparation of financial statements. (2016, 2024)

 Unit 2: Incentive Equity, Buyback, and Valuation of Shares & Goodwill

1. Fill in the Blanks

1. The buyback of shares does not exceed _______ percent of the total paid-up capital and free reserves of the company. (2024)

2. Right shares are first offered to the _______ of the company. (2016)

3. Under the asset-backing method, the value of one equity share = _______ divided by the number of equity shares. (2023)

4. Reserve arising out of revaluation of assets is also available for issue for bonus shares. (2024)

5. Capital Redemption Reserve can be utilized for issuing _______ bonus shares. (2023)

6. The debt-equity ratio after the buyback of shares should not exceed _______. (2023)

7. The Accounting Standard _______ deals with accounting for amalgamation. (2023)

8. Post-acquisition profits are treated as _______ profits. (2023)

9. Reduction of share capital requires sanction by _______. (2023)

10. In the case of partly owned subsidiaries, the question of minority shareholders will not arise. (2023)

2. True or False

1. Premium on the issue of shares can be used for the distribution of profits. (2016)

2. Buyback of shares does not affect the authorized share capital of a company. (2023)

3. Goodwill is a non-current asset. (2023)

4. The right to apply for Right Shares is optional. (2023)

5. At the time of valuation of Goodwill, only operating profit is considered. (2023)

6. A subsidiary company cannot buy shares of the holding company after it becomes its subsidiary. (2023)

7. Reduction in share capital must be sanctioned by the National Company Law Tribunal. (2023)

3. Multiple-Choice Questions (MCQs)

1. Which of the following is a reason for issuing right shares? (2023)
   a) To reduce the shareholding of existing shareholders
   b) To raise additional funds from existing shareholders
   c) To increase the authorized share capital
   d) None of the above
   
   

2. What is the primary advantage of bonus shares? (2023)
   a) Increase in share capital without additional investment from shareholders
   b) Decrease in earnings per share
   c) Reduction of market price per share
   d) Both (a) and (c)
   
   

3. Buyback of shares can be financed through: (2023)
   a) General Reserve
   b) Securities Premium
   c) Fresh Issue of Shares
   d) All of the above
   
   

4. Which of the following methods is used for the valuation of shares? (2023)
   a) Intrinsic Value Method
   b) Yield Method
   c) Fair Value Method
   d) All of the above

4. Short Answer Questions (2-4 Marks Each)

1. What is meant by Valuation of Shares? (2018, 2023)

2. Explain the advantages and disadvantages of Right Shares. (2017, 2022)

3. Write a short note on Buyback of Shares. (2016, 2020, 2023)

4. State the legal provisions under the Companies Act, 2013, regarding the buyback of shares. (2023)

5. Explain the need for valuation of shares in a company. (2018, 2021, 2023)

6. What are the different types of Goodwill? (2023)

7. What are the sources of funds for buyback of shares? (2016, 2023)

8. Explain the accounting treatment of bonus shares. (2020, 2022, 2023)

5. Long Answer Questions (5-10 Marks Each)

1. What is the Buyback of Shares? Explain the accounting entries with an example. (2017, 2019, 2023)

2. What is the difference between Right Shares and Bonus Shares? (2016, 2021, 2023)

3. Discuss the various methods of Valuation of Shares with examples. (2018, 2020, 2023)

4. Prepare Journal Entries for Buyback of Shares with proper explanations. (2016, 2019, 2023)

5. Explain the legal provisions regarding the issue of Bonus Shares under the Companies Act, 2013. (2021, 2023)

6. What is Goodwill? Explain the different methods of Goodwill valuation with examples. (2018, 2022, 2023)

7. Write a detailed note on Accounting for Buyback of Shares under the Companies Act, 2013. (2016, 2023)

 Unit 3: Internal Reconstruction of Companies 

1. Fill in the Blanks

1. Internal reconstruction entails reduction of accumulated loss and change in _______. (2024)

2. Reduction of share capital requires sanction by _______. (2023, 2024)

3. Capital reduction is governed under Section _______ of the Companies Act, 2013. (2023)

4. Accumulated losses in a company can be adjusted against _______. (2022, 2023)

5. Under internal reconstruction, a company can write off its _______ and accumulated losses. (2022, 2023)

6. After internal reconstruction, a company must prepare a fresh _______. (2023)

7. Reduction of share capital must be sanctioned by the _______. (2023, 2024)

2. True or False

1. Internal reconstruction involves the dissolution of the company. (2022, 2024)

2. Reduction of capital can be done without the approval of the tribunal. (2023)

3. The main purpose of internal reconstruction is to strengthen the financial position of the company. (2018, 2023)

4. Accumulated losses can be eliminated by reducing share capital. (2023)

5. Reduction of share capital results in an inflow of cash to the company. (2022, 2024)

3. Multiple-Choice Questions (MCQs)

1. Internal reconstruction involves: (2023)
   a) Change in capital structure
   b) Liquidation of the company
   c) Merging with another company
   d) Selling all assets
   
   

2. Which of the following is a form of internal reconstruction? (2023)
   a) Amalgamation
   b) Reduction of Share Capital
   c) Liquidation
   d) Merger
   
   

3. The approval of _______ is required for reduction in share capital. (2023)
   a) Board of Directors
   b) Shareholders
   c) National Company Law Tribunal
   d) SEBI
   
   

4. The main objective of internal reconstruction is: (2022)
   a) To increase the number of shares
   b) To improve the financial condition of the company
   c) To dissolve the company
   d) To pay off creditors

4. Short Answer Questions (2-4 Marks Each)

1. What is Internal Reconstruction of a Company? (2022, 2023)

2. State the different methods of internal reconstruction. (2023)

3. What are the advantages of reducing share capital? (2021, 2023)

4. Explain the need for internal reconstruction. (2018, 2023)

5. What is alteration of share capital? (2019, 2022)

6. Explain the accounting treatment for internal reconstruction. (2018, 2023)

7. Discuss the provisions under Companies Act, 2013 regarding capital reduction. (2023)

5. Long Answer Questions (5-10 Marks Each)

1. What is Internal Reconstruction? Explain the situations where it is required. (2016, 2023)

2. Discuss the legal provisions for internal reconstruction under the Companies Act, 2013. (2021, 2023)

3. Explain Alteration of Share Capital and Reduction of Share Capital with examples. (2019, 2022, 2023)

4. Explain the process of reducing share capital and its effect on financial statements. (2017, 2023)

5. Prepare Journal Entries for Internal Reconstruction with examples. (2015, 2018, 2023)

6. Explain the different forms of Internal Reconstruction with suitable examples. (2021, 2023)

 Unit 4: Amalgamation of Companies 

1. Fill in the Blanks

1. The method applied in case of amalgamation in the nature of merger is _______. (2012, 2015)

2. Amalgamation in the nature of merger is accounted for using the _______ method. (2013, 2018)

3. The accounting standard that deals with amalgamation is AS _______. (2012, 2013, 2015, 2017, 2023)

4. The company into which another company is amalgamated is called the _______ company. (2023)

5. Under net assets method, purchase consideration is _______ to the amount of net assets taken over by the company. (2024)

6. Pre-acquisition profits are treated as _______ profits. (2023)

7. Payment made to the creditors in final settlement of the transferor company is not included in _______. (2013, 2019)

2. True or False

1. Cost reduction is one of the objectives of amalgamation. (2014, 2019)

2. In the case of amalgamation in the nature of merger, assets and liabilities may be shown at revalued figures. (2014, 2018)

3. In the case of partly owned subsidiaries, the question of minority shareholders will not arise. (2024)

4. Reduction in share capital must be sanctioned by the National Company Law Tribunal. (2023)

5. In the case of amalgamation in the nature of merger, equity shareholders of combining entities continue to have a proportionate share in the combined entity. (2013, 2015, 2017, 2019, 2023)

3. Multiple-Choice Questions (MCQs)

1. The primary objective of amalgamation is: (2019)
   a) To dissolve the company
   b) To improve the financial position
   c) To increase authorized share capital
   d) To reduce operational costs
   
   

2. Which accounting standard is followed for amalgamation? (2015, 2023)
   a) AS-10
   b) AS-14
   c) AS-21
   d) AS-22
   
   

3. In the case of amalgamation in the nature of purchase, assets and liabilities are recorded at: (2018, 2023)
   a) Book value
   b) Market value
   c) Revalued amounts
   d) Nominal value
   
   

4. Under which method is purchase consideration calculated in amalgamation? (2024)
   a) Net Asset Method
   b) Net Payment Method
   c) Market Price Method
   d) Book Value Method

4. Short Answer Questions (2-4 Marks Each)

1. Define Amalgamation as per AS-14. (2013, 2015, 2018)

2. State the two objectives of amalgamation. (2012, 2017, 2023)

3. Explain the different methods of calculating purchase consideration. (2016, 2023, 2024)

4. What are the different types of amalgamation? (2015, 2020, 2023)

5. Write a short note on absorption in the context of amalgamation. (2012, 2015, 2018)

6. Explain the meaning of consolidated balance sheet. (2024)

7. What are the advantages of amalgamation? (2014, 2017, 2023)

5. Long Answer Questions (5-10 Marks Each)

1. Explain the Accounting Treatment of Amalgamation under AS-14. (2016, 2023)

2. Differentiate between Amalgamation in the nature of Merger and Purchase. (2014, 2017, 2023)

3. Discuss the provisions under the Companies Act, 2013, regarding amalgamation. (2018, 2023)

4. Calculate Purchase Consideration using the Net Asset and Net Payment Method. (2016, 2023, 2024)

5. Explain the journal entries required in the books of the transferor and transferee companies in case of amalgamation. (2015, 2023)

6. Discuss the advantages and disadvantages of amalgamation. (2014, 2017, 2023)

7. Write a detailed note on Accounting for Amalgamation and its impact on financial statements. (2019, 2023)

 Unit 5: Accounts of Holding Company

1. Fill in the Blanks

1. A holding company is one that holds more than _______ percent of the shares of another company. (2017, 2023)

2. Minority interest is shown under the head _______ in the consolidated balance sheet. (2018, 2023)

3. Consolidated financial statements are prepared as per Accounting Standard _______. (2013, 2022, 2023)

4. The profits earned before the acquisition date are called _______ profits. (2015, 2017, 2024)

5. Cost of Control refers to the excess of purchase consideration over _______. (2016, 2023)

6. The consolidated balance sheet represents the financial position of _______. (2019, 2024)

7. The purpose of preparing a consolidated balance sheet is to show the financial position of the _______ group as a single entity. (2023, 2024)

2. True or False

1. A subsidiary company can hold shares in its holding company. (2016, 2023)

2. Consolidated financial statements are mandatory for all holding companies. (2015, 2023)

3. Pre-acquisition profits belong to the holding company. (2014, 2018, 2023)

4. Minority interest represents the claim of the holding company on subsidiary profits. (2016, 2023)

5. AS-21 deals with accounting for holding and subsidiary companies. (2015, 2022, 2023)

3. Multiple-Choice Questions (MCQs)

1. Minority interest refers to: (2023)
   a) Interest paid to the shareholders
   b) Profit attributable to the shareholders of the holding company
   c) Profit attributable to outside shareholders in a subsidiary
   d) None of the above
   
   

2. In a consolidated balance sheet, goodwill arises when: (2023)
   a) The subsidiary’s net assets exceed purchase consideration
   b) Purchase consideration exceeds the subsidiary’s net assets
   c) Minority interest is negative
   d) None of the above
   
   

3. Pre-acquisition profits of a subsidiary are treated as: (2016, 2023)
   a) Revenue profit
   b) Capital profit
   c) Retained earnings
   d) Minority interest
   
   

4. Which accounting standard governs the preparation of consolidated financial statements? (2015, 2023)
   a) AS-10
   b) AS-14
   c) AS-21
   d) AS-22

4. Short Answer Questions (2-4 Marks Each)

1. What is a holding company? (2016, 2019, 2023)

2. Define minority interest and explain its significance. (2015, 2023)

3. What are the methods of consolidation used in holding companies? (2016, 2023)

4. What is meant by cost of control? (2018, 2023)

5. Why is it necessary to prepare consolidated financial statements? (2016, 2023)

6. How is pre-acquisition profit treated in the books of a holding company? (2015, 2023)

7. What are the steps for preparing a consolidated balance sheet? (2019, 2023)

5. Long Answer Questions (5-10 Marks Each)

1. Explain the principles of consolidation of a holding company. (2016, 2023)

2. What are the legal provisions under AS-21 regarding the preparation of consolidated financial statements? (2015, 2023)

3. Explain the accounting treatment of goodwill and capital reserves in consolidated financial statements. (2018, 2023)

4. How is minority interest computed in the consolidated balance sheet? (2015, 2023)

5. Differentiate between pre-acquisition and post-acquisition profits. (2016, 2023)

6. Explain the adjustment entries required for inter-company transactions while preparing a consolidated balance sheet. (2016, 2023)

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Benefits of Studying Gauhati University FYUGP BCom 2nd Sem Corporate Accounting Important Questions

i) Exam-Oriented Preparation – These Corporate Accounting Important questions are carefully selected based on past trends and syllabus coverage, helping you focus on key areas for exams.

ii) Concept Clarity – Practicing these GU BCom 2nd Sem Corporate Accounting Important questions will enhance your understanding of Corporate Accounting principles, making it easier to tackle both theoretical and numerical problems.

iii) Time Management – Solving these important questions in advance allows you to manage time effectively during exams, reducing stress and improving performance.

iv) Boosts Confidence – Knowing that you have prepared well with relevant questions will increase your confidence before appearing for the exam.

v) Better Score Potential – Answering exam-relevant questions with accuracy and efficiency can help maximize your marks in Corporate Accounting for 2nd Sem.

FAQs 

Q1: Are these Corporate Accounting Important questions enough to pass the exam?
Ans: These questions cover important topics, but it's recommended to study the full syllabus and refer to textbooks for a comprehensive understanding.

Q2: Are numerical problems included in these questions?
Ans: No, only theoretical questions have been selected based on the Gauhati University BCom 2nd Sem FYUGP NEP Latest syllabus.

Q3: where can I get Complete Solution of this Corporate Accounting Important Questions in PDF?
Ans: You can get Complete Solution of this Corporate Accounting Important Question in PDF from our website The Treasure Notes 

Q4: Will these questions be repeated in the exam?
Ans: While there is no guarantee of direct repetition, these questions are framed based on past trends and syllabus patterns, making them highly relevant for exam preparation.

Q5: Where can I find solutions to these questions for free?
Ans: Solutions can be found on our website prepared on the basis of PYQ's and textbooks, class notes, and reference materials. 

Final Words

Corporate Accounting is a crucial subject in the BCom 2nd Semester under the FYUGP NEP Latest syllabus of Gauhati University. By practicing these important questions, you can strengthen your conceptual knowledge and boost your exam performance. Stay consistent in your preparation, revise regularly, and approach the exam with confidence. Success comes with smart work and dedication—Best of luck for your exams!

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