Proprietary ratio 10.2.2023

An increase in SLR will

• control the credit creation

• increase the credit creation

Current Assets means

• Assets which can be converted in to cash with in one year

• Assets used for long period

• Intangible Assets

• None

9.The accumulated reserves will be transferred to the old partners Capital account in the _______ ratio at the time of his retirement

• old profit sharing

• new profit sharing

• sacrificing

• gaining

The RBI use the following instruments for quantitative control of credit

1. cash requirement ratio2. statutory liquidity ratio3. open market ratio4. margin requirements

• 1&2

• 2&3

• 1,2&3

• All of them

10.A, B and C are sharing profits in the ratio of 2/5 : 2/5 : 1/5. C retired from business and his share was purchased equally by A and B. Then new profit sharing ratio shall be

• A – 1/2 & B – 1/2

• A – 3/5 & B – 2/5

• A – 2/5 & B – 3/5

• A-1/6 & B- 1/6

7.If the amount due to the outgoing partner is transferred to loan account then he is entitled to interest at _____untill it is paid out.

• 9%

• 5%

• 6%

• 4%

8.If the goodwill account is raised for Rs.30,000, the amount is debited to

• The capital accounts of partners

• Goodwill Account

• Cash Account

• Revaluation Account

3. What treatment is made of accumulated profits and losses on the retirement of a partner?

• Credited to all partner’s capital accounts in old ratio.

• Debited to all partner’s capital accounts in old ratio.

• Credited to remaining partner’s capital accounts in new ratio.

• Credited to remaining partner’s capital accounts in gaining ratio.