CA IntermediateAdvanced Accounting2025
CA Intermediate - Advanced Accounting (2025)
Download and solve CA Intermediate Advanced Accounting question paper for 2025. Free English medium easy difficulty paper with model answers and explanations on Plainscan.
Question Paper
Question 1
singleAS 1 - Disclosure of Accounting PoliciesAs per AS 1, the concept which states that the enterprise should be viewed as continuing in operation for the foreseeable future is known as:
A.Consistency concept
B.Going Concern concept
C.Accrual concept
D.Matching concept
Question 2
singleAS 2 - Valuation of InventoriesUnder AS 2 (Valuation of Inventories), which of the following costs is EXCLUDED from the cost of inventories?
A.Purchase price of raw materials
B.Import duties and taxes
C.Abnormal wastage of materials
D.Direct labour costs
Question 3
singleWritten Down Value (WDV) MethodA machine was purchased on 1st April 2020 for ₹5,00,000. The company uses the Written Down Value (WDV) method at 20% per annum. What is the book value of the machine as on 31st March 2023?
A.₹2,00,000
B.₹2,56,000
C.₹3,20,000
D.₹2,04,800
Question 4
singleAdmission of a Partner - Sacrificing RatioA and B are partners sharing profits in the ratio of 3:2. C is admitted and the new profit-sharing ratio becomes 2:2:1. The sacrificing ratio of A and B is:
A.1:1
B.1:4
C.4:1
D.3:2
Question 5
singleValuation of Goodwill - Average Profit MethodGoodwill is to be valued at 3 years' purchase of the average profits of the last 4 years. The profits were: Year 1 – ₹60,000; Year 2 – ₹70,000; Year 3 – ₹50,000 (loss); Year 4 – ₹80,000. The value of goodwill is:
A.₹1,20,000
B.₹1,35,000
C.₹45,000
D.₹90,000
Question 6
singleOrder of Payment - Section 48On dissolution of a firm, a partner's loan balance of ₹20,000 is shown in the books. This amount should be transferred to:
A.Capital Account of that partner
B.Realisation Account
C.Partner's Loan Account (paid before capital)
D.Profit & Loss Appropriation Account
Question 7
singleAS 7 - Construction ContractsUnder AS 7 (Construction Contracts), when the outcome of a contract cannot be estimated reliably, revenue should be recognized to the extent of:
A.Contract costs incurred that are probable of being recovered
B.The total contract price
C.50% of the contract price
D.Nothing; revenue recognition is deferred
Question 8
singleMaximum Number of PartnersUnder the Companies Act 2013, the maximum number of partners allowed in a partnership firm carrying on any business (other than banking) is:
A.10
B.20
C.50
D.100
Question 9
singleForfeiture and Reissue of SharesA company forfeited 500 equity shares of ₹10 each (₹8 called up) for non-payment of final call of ₹2 per share. The shares were reissued at ₹7 per share. The amount transferred to Capital Reserve is:
A.₹2,500
B.₹3,500
C.₹1,500
D.₹500
Question 10
singleAS 9 - Revenue RecognitionAs per AS 9 (Revenue Recognition), revenue from service transactions should generally be recognized when:
A.Cash is received from the customer
B.The service is performed and revenue can be reliably measured
C.The invoice is raised
D.The contract is signed
Question 11
singleInvoice Price and Cost PriceBranch A sends goods to Branch B at ₹1,20,000 (invoice price). The goods are invoiced at 20% above cost. The cost to Head Office is:
A.₹1,00,000
B.₹96,000
C.₹80,000
D.₹1,44,000
Question 12
singleRecording in the Books of Hire VendorUnder the Hire Purchase system, in the books of the hire vendor, the asset sold under hire purchase is initially recorded at:
A.Hire Purchase Price
B.Cash Price (Cost Price)
C.Net Present Value of future installments
D.Scrap value
Question 13
singleAS 14 - Treatment of Excess Net AssetsThe excess of Net Assets taken over by the purchasing company over the purchase consideration is known as:
A.Goodwill
B.Capital Reserve
C.Securities Premium
D.General Reserve
Question 14
singleAS 13 - Accounting for InvestmentsUnder AS 13 (Accounting for Investments), long-term investments are carried at:
A.Market value
B.Lower of cost or market value
C.Cost; diminution in value is recognized only if it is other than temporary
D.Fair value
Question 15
singleAdmission of a Partner - Hidden GoodwillA and B share profits in the ratio 3:2. They admit C, who brings ₹1,00,000 as capital for a 1/5th share. Existing capitals are A – ₹3,00,000 and B – ₹2,00,000. The value of goodwill of the firm implied is:
A.₹5,00,000
B.₹4,00,000
C.₹1,00,000
D.₹2,00,000
Question 16
singleAS 6 - Change in Method of DepreciationAs per AS 6 (Depreciation Accounting), once a method of depreciation is adopted, change to another method should be made:
A.Prospectively and disclosed in notes
B.Retrospectively and treated as a prior period item
C.Prospectively without any disclosure
D.When approved by shareholders in AGM
Question 17
singleInter-departmental TransfersUnder the Departmental Accounts system, goods transferred from Department X to Department Y at a profit are shown in Department X's accounts as:
A.Sales
B.Transfer to Department Y at cost
C.Debit to Department Y and Credit to Transfer Account
D.A direct addition to Purchases of Department Y
Question 18
singleLoss of Stock by FireA fire occurred and goods worth ₹50,000 (at cost) were destroyed. The insurance company admitted a claim of ₹40,000. The loss to be debited to Profit & Loss Account is:
A.₹50,000
B.₹40,000
C.₹10,000
D.Nil
Question 19
singleReceipts and Payments AccountReceipts and Payments Account of a non-profit organization is equivalent to which of the following accounts of a trading concern?
A.Profit & Loss Account
B.Balance Sheet
C.Cash Book
D.Trading Account
Question 20
singleAS 22 - Deferred Tax AssetUnder AS 22 (Accounting for Taxes on Income), a Deferred Tax Asset (DTA) should be recognized only when:
A.There is certainty of future taxable income
B.There is virtual certainty supported by convincing evidence of sufficient future taxable income
C.The company makes a profit in the current year
D.It is approved by the board of directors
Paper Details
- Difficultyeasy
- LanguageEnglish
Mock Exam Settings
5 min25 max