05-10-2019 Account Test (Higher) - Introduction to Indian Government Accounts and Audit 1

 FINAL ANSWER KEY 

Paper: Introduction to Indian Government Accounts and Audit & Kerala Account Code Vol 1 

Date of 

Examination 

05-10-2019 

Question1:-The responsibility for watching the progress of expenditure of a grant or appropriation devolves on the         A:-Executive 

        B:-Legislature 

        C:-Finance department 

        D:-Audit Department 

        Correct Answer:- Option-A 

Question2:-A money bill shall be introduced in 

        A:-The House of people 

        B:-The council of states 

        C:-The House people or council of states 

        D:-None of the above 

        Correct Answer:- Option-A 

Question3:-Select the expenditure below which shall not be charged on the consolidated fund of union Government         A:-any sum required to satisfy any judgement decree of any court 

        B:-the emoluments and allowances of Prime Minister 

        C:-debt charge of Govt. of India 

        D:-salary, allowance payable to comptroller and Auditor General 

        Correct Answer:- Option-B 

Question4:-State the law listed below which shall not deemed to be an amendment of the constitution for the purpose of article 368         A:-the representation of states in parliament 

        B:-formation of new states 

        C:-the representation of states in parliament 

        D:-any of the list in the seventh schedule 

        Correct Answer:- Option-B 

Question5:-The President of India shall be elected by the members of an electoral college consisting of         A:-members of both house of parliament 

        B:-elected members of both house parliament and legislative assemblies of the states 

        C:-elected members of both house of parliament 

        D:-members of both house of parliament and legislative assemblies 

        Correct Answer:- Option-B 

Question6:-Court which shall have power for enforcement of any rights conferred by part III of the constitution         A:-The Supreme Court 

        B:-The High Court 

        C:-District Court 

        D:-(1) and (2) 

        Correct Answer:- Option-D 

Question7:-National goods and service tax became law by ___________ amendment of the constitution.         A:-one hundred and second 

        B:-one hundred and fifteenth 

        C:-one hundred and first 

        D:-one hundred and twenty second 

        Correct Answer:- Option-C 

Question8:-The executive power of states shall be vested in 

        A:-Chief Minister 

        B:-Council of Ministers 

        C:-Governor

        D:-President 

        Correct Answer:- Option-C 

Question9:-Panchayats at village, intermediate and district level have been constituted under ___________ of the constitution.         A:-Article 243 

        B:-Article 243 R 

        C:-Article 243 B 

        D:-Article 243 Q 

        Correct Answer:- Option-D 

Question10:-Select from below which is not constitution body or authority 

        A:-Block panchayat 

        B:-District panchayat 

        C:-Municipal council 

        D:-Town panchayat 

        Correct Answer:- Option-C 

Question11:-Which article of the constitution stipulates that the Annual Financial statement be laid before the Legislative Assembly?         A:-Art. 282 

        B:-Art. 112 

        C:-Art. 196 

        D:-Art. 202 

        Correct Answer:- Option-D 

Question12:-The authority for formation of a new state or alteration of areas or boundaries or names of existing state is vested with         A:-Parliament 

        B:-Rajya Sabha (council of states) 

        C:-President 

        D:-Lok Sabha (House of the people) 

        Correct Answer:- Option-A 

Question13:-The authority to amend any provision of the  constitution is vested in the 

        A:-Union cabinet 

        B:-President 

        C:-Parliament 

        D:-Supreme court 

        Correct Answer:- Option-C 

Question14:-All contracts made in the exercise of the executive power of a state shall expressed to be made or executed by the         A:-Chief Secretary to Government 

        B:-Secretary in charge of the Department Concerned 

        C:-Chief Minister 

        D:-Governor 

        Correct Answer:- Option-D 

Question15:-Which of the following is not a fundamental right under the constitution of India? 

        A:-Right to Equality 

        B:-Right to property 

        C:-Right to freedom of speech and expression 

        D:-Right to constitutional remedies 

        Correct Answer:- Option-B 

Question16:-Under how many parts are Government accounts kept? 

        A:-Four 

        B:-Five 

        C:-Three 

        D:-Two 

        Correct Answer:- Option-C

Question17:-Which among the following is a fundamental duty? 

        A:-Provide for equal justice and free legal aid 

        B:-Provide for organisation of village panchayat 

        C:-Provide for the promotion of co-operative socieities 

        D:-Safe guard public property and to abjure violence 

        Correct Answer:- Option-D 

Question18:-Whose approval is necessary for the introduction of a minor head in the state Budget? 

        A:-Governor 

        B:-Comptroller and Auditor General 

        C:-Finance Minister 

        D:-Accountant General (Audit) 

        Correct Answer:- Option-B 

Question19:-Payment of grant in aid to certain states out of the consolidated fund of India on the recommendation of the finance commission is based on which article of the Constitution? 

        A:-270 

        B:-269 

        C:-275 

        D:-268 

        Correct Answer:- Option-C 

Question20:-How often is a finance commission constituted? 

        A:-At the expiry of every fifth year or at such earlier time as the president considers necessary 

        B:-once in six years 

        C:-once in four years or at such earlier time as the prime minister considers necessary 

        D:-once in five years or at such earlier time as the union Finance Minister considers necessary 

        Correct Answer:- Option-A 

Question21:-How many digits are there in Arabic number code for a major Head? 

        A:-Four 

        B:-Two 

        C:-Three 

        D:-Five 

        Correct Answer:- Option-A 

Question22:-In public account which alphabet is assigned to denote deposits and advances? 

        A:-M 

        B:-J 

        C:-N 

        D:-K 

        Correct Answer:- Option-D 

Question23:-The main unit of classification in accounts is the 

        A:-Sub head 

        B:-Detailed head 

        C:-Major head 

        D:-Minor head 

        Correct Answer:- Option-C 

Question24:-Expenditure incurred with the object of either increasing concrete assets of a material and permanent character or extinguishing or reducing recurring liabilities is classified as 

        A:-revenue expenditure 

        B:-voted expenditure 

        C:-charged expenditure 

        D:-capital expenditure 

        Correct Answer:- Option-D 

Question25:-Which among the following departments settle the claims against it through cheques?

        A:-forest 

        B:-health services 

        C:-commercial taxes 

        D:-agriculture 

        Correct Answer:- Option-A 

Question26:-Under which detailed head of account is the expenditure on purchase and maintenance of a staff car to be debited?         A:-other charges 

        B:-motor vehicles 

        C:-office expense 

        D:-travel expense 

        Correct Answer:- Option-C 

Question27:-Which among the following is a commercial department? 

        A:-Forest 

        B:-Text Book Department 

        C:-Commercial taxes department 

        D:-Agriculture department 

        Correct Answer:- Option-B 

Question28:-The annual accounts of the Central or State Governments are prepared for the Financial year running from         A:-1st July to 30th June 

        B:-1st April to 31st March 

        C:-1st January to 31st December 

        D:-1st March to 28th February 

        Correct Answer:- Option-B 

Question29:-The fifth and the last tier of classification in the accounts is the 

        A:-Detailed head 

        B:-Sub head 

        C:-Sub Major head 

        D:-Minor head 

        Correct Answer:- Option-A 

Question30:-The transactions relating to the contingency fund of a state are recorded under which part of the Government accounts         A:-Part III 

        B:-Part I and III 

        C:-Part I 

        D:-Part II 

        Correct Answer:- Option-D 

Question31:-The travelling allowance of an officer paid from General Revenues when travelling on duty connected with a Local fund is charged to         A:-Local fund 

        B:-To the head of account from which he is drawing pay 

        C:-Local fund and government on 50:50 basis 

        D:-None of the above 

        Correct Answer:- Option-A 

Question32:-Tax collected by Government are classified under 

        A:-Contingency fund 

        B:-Revenue account 

        C:-Consolidated fund 

        D:-Public account 

        Correct Answer:- Option-C 

Question33:-Items of receipt or payment which cannot be at once be taken to a final head of receipt or charge may be temporarily held under which head? 

        A:-settlement head 

        B:-suspense head

        C:-remittance head 

        D:-other receipts under revenue head to which it appears to belong 

        Correct Answer:- Option-B 

Question34:-Which type of control is exercised by Audit? 

        A:-Financial 

        B:-Legal 

        C:-Administrative 

        D:-Budgetary 

        Correct Answer:- Option-A 

Question35:-Who is responsible for maintenance of leave accounts of Gazetted officers of the State Government?         A:-The head of department concerned 

        B:-Head of office where the Gazetted officer is working 

        C:-The District Treasure officer 

        D:-The Accountant General (A & E) 

        Correct Answer:- Option-D 

Question36:-Who is responsible for keeping the expenditure with in the Grant or Appropriation? 

        A:-Director of treasuries 

        B:-Chief controlling officer 

        C:-Accountant General 

        D:-Finance department 

        Correct Answer:- Option-B 

Question37:-Which legislative committee examines the appropriation accounts, finance accounts and audit reports (civil)?         A:-Subject committee 

        B:-Estimate committee 

        C:-Public Accounts Committee 

        D:-Committee on public undertakings 

        Correct Answer:- Option-C 

Question38:-The method of maintaining the Governments daily cash balance at a level sufficient to meet its day to day requirements is known s         A:-vote of credit 

        B:-ways and means 

        C:-vote on account 

        D:-none 

        Correct Answer:- Option-B 

Question39:-If the revenue expenditure major head of forestry and wild life in 2406, what is the corresponding capital outlay on Forestry and wildlife? 

        A:-4604 

        B:-3406 

        C:-4406 

        D:-6406 

        Correct Answer:- Option-C 

Question40:-The priced stores ledger is closed for both quantities and value 

        A:-at the end of the calendar year 

        B:-at the end of each month 

        C:-half yearly 

        D:-quarterly 

        Correct Answer:- Option-B 

Question41:-Among the following which is not included in the meaning of three E's of audit? 

        A:-Economy 

        B:-Efficiency 

        C:-Effectiveness 

        D:-Empower

        Correct Answer:- Option-D 

Question42:-The issue rate of an article is fixed 

        A:-at the beginning of each year 

        B:-at the close of the financial year 

        C:-at the close of the calender year 

        D:-half year 

        Correct Answer:- Option-A 

Question43:-What is the main object of investigation of frauds? 

        A:-To identify the person responsible for the fraud 

        B:-To quantify the amount involved 

        C:-Whether the exercise of ordinary common sense and application of existing rules would not have rendered the fraud impossible         D:-Whether similar frauds were detected earlier 

        Correct Answer:- Option-C 

Question44:-BIN cards of stores is posted from 

        A:-Issue notes 

        B:-Priced stores ledger 

        C:-In voices 

        D:-Goods received sheets and store indents 

        Correct Answer:- Option-D 

Question45:-A nominal roll or list of labourers employed daily on works in known as 

        A:-Muster rolls 

        B:-Measurement Book 

        C:-Work Abstract 

        D:-Contractors ledger 

        Correct Answer:- Option-A 

Question46:-Detailed checking of service books are done in the case of 

        A:-Those who have completed 25 years of service 

        B:-Those who are likely to retire or likely to complete 30 years of service 

        C:-Those who have availed lease without allowance for more than 25 years 

        D:-Those who have completed probation in the entry post 

        Correct Answer:- Option-B 

Question47:-The second stage of legislative control over the finances is exercised at the time of 

        A:-Policy making 

        B:-Budget preparation 

        C:-Policy implementation 

        D:-Scrutiny by the legislative committee 

        Correct Answer:- Option-C 

Question48:-Which of the following is not included in the monthly returns from treasury to A.G. 

        A:-Chellan account 

        B:-Schedule of receipts 

        C:-Cash account 

        D:-List of payments 

        Correct Answer:- Option-A 

Question49:-Tax assessment comes under which of the following? 

        A:-Judicial act 

        B:-Statutory act 

        C:-Legal act 

        D:-Quasi judicial act 

        Correct Answer:- Option-D 

Question50:-If a member of a finance committee is appointed as a minister can he continue in the committee

        A:-He may continue as a member with the permission of the speaker 

        B:-He may continue to be a member of the committee 

        C:-He ceases to be a member from the date of appointment as minister 

        D:-He can continue to be a member of the committee at his option 

        Correct Answer:- Option-C 

Question51:-How many members are there in the Estimated committee of the parliament? 

        A:-22 

        B:-30 

        C:-25 

        D:-15 

        Correct Answer:- Option-B 

Question52:-Two digit code is allotted to 

        A:-Sub head 

        B:-Detailed head 

        C:-Minor head 

        D:-Sub major head 

        Correct Answer:- Option-D 

Question53:-Which of the following does not come under the main division of the Government Account? 

        A:-Public Account 

        B:-Contingency fund 

        C:-Sinking fund 

        D:-Consolidated fund 

        Correct Answer:- Option-C 

Question54:-The system of Government account is based on 

        A:-Cash based system 

        B:-Accrual based system 

        C:-Double entry system 

        D:-Zero balance system 

        Correct Answer:- Option-A 

Question55:-Expenditure of Capital nature is usually met from 

        A:-Contingency fund 

        B:-Proceeds of taxation 

        C:-Accumulated balance with Government 

        D:-Borrowed funds 

        Correct Answer:- Option-D 

Question56:-The roll of audit and administration are 

        A:-Complementary to each other 

        B:-Opposite 

        C:-Identical 

        D:-Different 

        Correct Answer:- Option-A 

Question57:-The procedure for granting advance for part of a financial year pending presentation of demand and passing the appropriation bill is called 

        A:-vote of credit 

        B:-vote on account 

        C:-contingency fund advance 

        D:-sinking fund 

        Correct Answer:- Option-B 

Question58:-Major head for accounting revenue expenditure starts with digits 

        A:-2 and 3 

        B:-6 and 7

        C:-1 and 2 

        D:-4 and 5 

        Correct Answer:- Option-A 

Question59:-How often do the balances under 'suspense heads' have to be reviewed? 

        A:-once in six months 

        B:-at the close of the calendar year 

        C:-at the close of the financial year 

        D:-at short intervals to ensure that no item remains unadjusted for longer than is necessary 

        Correct Answer:- Option-D 

Question60:-What type of audit is central audit? 

        A:-Routine audit 

        B:-Propriety audit 

        C:-Propriety and regularity audit 

        D:-Regularity audit 

        Correct Answer:- Option-C 

Question61:-The Resource operations are carried out by whom? 

        A:-Director of Treasuries 

        B:-Currency officer of the RBI 

        C:-Finance Department 

        D:-Accountant General 

        Correct Answer:- Option-B 

Question62:-Who is responsible for the preparation of the finance accounts of the State Government? 

        A:-Finance Department 

        B:-Director, Kerala State Audit 

        C:-Accountant General 

        D:-Director of treasures 

        Correct Answer:- Option-C 

Question63:-The power to summon each House of parliament to meet to such time and place as he thinks fit is vested in         A:-President 

        B:-Chief justice 

        C:-Speaker 

        D:-Prime minister 

        Correct Answer:- Option-A 

Question64:-The contingency fund of the state is at the disposal of 

        A:-President 

        B:-Finance Minister 

        C:-Chief Minister 

        D:-Governor 

        Correct Answer:- Option-D 

Question65:-Who has the authority to open a new detailed head of account when absolutely necessary? 

        A:-Finance Department 

        B:-Finance Minister 

        C:-Accountant General 

        D:-Head of Department 

        Correct Answer:- Option-C 

Question66:-Who has the authority to proclaim emergency when the security of India is threatened by war or external aggression or armed rebellion? 

        A:-Prime Minister 

        B:-Defence Minister 

        C:-Chief of Army 

        D:-President

        Correct Answer:- Option-D 

Question67:-The chief justice and other judges of the supreme court are appointed by 

        A:-Parliament 

        B:-Prime Minister 

        C:-Union Cabinet 

        D:-President 

        Correct Answer:- Option-D 

Question68:-Who is regarded as a friend, philosopher and guide of the committee on public accounts of the public undertakings?         A:-Comptroller and Auditor General of India 

        B:-Speaker 

        C:-Vice-President 

        D:-Finance Minister 

        Correct Answer:- Option-A 

Question69:-Languages recognised by the constitution are included under which schedule? 

        A:-Nineth Schedule 

        B:-Eighth Schedule 

        C:-Fifth Schedule 

        D:-Tenth Schedule 

        Correct Answer:- Option-B 

Question70:-The Maximum numbers of Directors of a Co-operative society is limited to 

        A:-11 

        B:-15 

        C:-21 

        D:-9 

        Correct Answer:- Option-C 

Question71:-To whom does the union public service commission submit its Annual report for being laid before each house of parliament?         A:-Speaker 

        B:-Vice President 

        C:-Prime Minister 

        D:-President 

        Correct Answer:- Option-D 

Question72:-Among the following which one is an item of expenditure charged on the consolidated fund of Kerala         A:-Salaries and allowances of chief secretary to Government 

        B:-Salaries and allowances of Judges of the High Court 

        C:-Salaries and allowance of M.L.As. 

        D:-Salaries and allowances of Chief Ministers and other Ministers 

        Correct Answer:- Option-B 

Question73:-Who has the power to promulgate ordinances during the recess of parliament? 

        A:-President 

        B:-Prime Minister 

        C:-Union Law Minister 

        D:-Speaker 

        Correct Answer:- Option-A 

Question74:-Is the comptroller and Auditor General of India eligible for reappointment after he has demitted office         A:-He is eligible for reappointment 

        B:-He can be reemployed with the permission of the prime minister 

        C:-He can be reemployed with the permission of the president 

        D:-He is not eligible for further employment 

        Correct Answer:- Option-D 

Question75:-The state shall provide free and compulsory education to children of the ages of

        A:-3-9 

        B:-5-12 

        C:-6 to 14 

        D:-6-12 

        Correct Answer:- Option-C 

Question76:-Which list contains matters in respect of which both parliament and state legislature have powers to make law?         A:-Concurrent list 

        B:-Union list 

        C:-State list 

        D:-In both 1 and 3 lists 

        Correct Answer:- Option-A 

Question77:-The Monthly civil accounts are prepared by 

        A:-Director of Treasuries 

        B:-Accountant General (A & E) 

        C:-Finance Department 

        D:-Head of Department 

        Correct Answer:- Option-B 

Question78:-Is re-appropriation from one grant or appropriation to another grant or appropriation permissible?         A:-permissible 

        B:-can be done with the approval of Minister Finance 

        C:-Not permissible 

        D:-May be done if the amount involved is less than Rupee 1 lakh 

        Correct Answer:- Option-C 

Question79:-The transactions relating to loans and advances made by the Government and their recoveries are accounted under         A:-Grant in aid 

        B:-Capital Account 

        C:-Revenue account 

        D:-Public debt 

        Correct Answer:- Option-D 

Question80:-Major works come under which category? 

        A:-Detailed head 

        B:-Sub head 

        C:-Minor head 

        D:-Major head 

        Correct Answer:- Option-A 

Question81:-The Vice-President shall hold office for a term of 

        A:-Six years 

        B:-Five years and six months 

        C:-Five years 

        D:-6 years or 70 years of age which ever is earlier 

        Correct Answer:- Option-C 

Question82:-Amounts drawn from treasury for payment of rewards for destruction of wild animals, is an example of what kind of contingent charges? 

        A:-fully vouched 

        B:-special 

        C:-contract 

        D:-scale regulated 

        Correct Answer:- Option-D 

Question83:-Which among the following is a non-tax revenue? 

        A:-Income tax 

        B:-Customs duty

        C:-Registration fee 

        D:-Estate duty 

        Correct Answer:- Option-C 

Question84:-Which among the following is a Direct tax? 

        A:-Entertainment Tax 

        B:-Commercial Tax 

        C:-Motor vehicle tax 

        D:-Agricultural Income Tax 

        Correct Answer:- Option-D 

Question85:-Which among the following is an Indirect Tax? 

        A:-Land revenue 

        B:-Estate duty 

        C:-Income Tax 

        D:-Wealth Tax 

        Correct Answer:- Option-A 

Question86:-The State election commission for conducting elections to Panchayat is appointed by         A:-President 

        B:-Government 

        C:-Chief Minister 

        D:-Minister in charge of Local Administration 

        Correct Answer:- Option-B 

Question87:-Audit is an instrument of 

        A:-Administration Control 

        B:-Appropriation Control 

        C:-Financial Control 

        D:-Budgetary control 

        Correct Answer:- Option-C 

Question88:-The control of resource operations of the Government of India and State Government vests in the         A:-Finance Department 

        B:-Accountant General 

        C:-Treasury Department 

        D:-Reserve Bank of India 

        Correct Answer:- Option-D 

Question89:-The Budget of the Government of India consists of 

        A:-Capital Budget and Revenue Budget 

        B:-Revenue Budget and Performance Budget 

        C:-Revenue Budget and Railway Budget 

        D:-Capital Budget and Railway Budget 

        Correct Answer:- Option-A 

Question90:-No money can be withdrawn from consolidated fund of a State Government untill         A:-Demands for grants are passed 

        B:-Vote on account is passed 

        C:-Appropriation Act is passed 

        D:-Finance Minister presents the Budget in the State Assembly 

        Correct Answer:- Option-C 

Question91:-The role of Audit and Administration are really 

        A:-Different 

        B:-Complementary to each other 

        C:-Identical 

        D:-Opposite

        Correct Answer:- Option-B 

Question92:-The expenditure of Capital nature is usually met from 

        A:-Borrowed funds 

        B:-Proceeds of taxation 

        C:-Contingency funds 

        D:-Public accounts 

        Correct Answer:- Option-A 

Question93:-The powers, duties and functions of the comptroller and Auditor General is relation to Audit and Accounts are derived from         A:-The Constitution of India 

        B:-Audit and Accounts order 1936 

        C:-Chartered Accounts Act 

        D:-C and A.G.(DPC) Act 1971 

        Correct Answer:- Option-D 

Question94:-Collection of non-tax revenue is based on 

        A:-Legislation 

        B:-Purely and administrative decision 

        C:-Quasi judicial assessment 

        D:-The recommendation of Finance Commission 

        Correct Answer:- Option-B 

Question95:-The classification of expenditure from the consolidated fund are 

        A:-Plan and non plan 

        B:-Charged or voted 

        C:-Revenue and Capital 

        D:-Revenue and Expenditure 

        Correct Answer:- Option-B 

Question96:-The Acceptance of counterfeit notes is regarded as 

        A:-Expenditure 

        B:-Loss of cash 

        C:-Receipt 

        D:-Reduction in expenditure 

        Correct Answer:- Option-B 

Question97:-Transit pay of a Government servant shall be debited to 

        A:-office from which transferred 

        B:-office to which transferred 

        C:-either to the office from which transferred or to the office to which transferred 

        D:-other charge 

        Correct Answer:- Option-B 

Question98:-Washing allowance paid to last grade employees shall to classified under 

        A:-Salaries 

        B:-Honorarium 

        C:-Wages 

        D:-Office expenses 

        Correct Answer:- Option-A 

Question99:-The introduction of any new head or minor head as well as the abolition or charge of nomenclature of any of the existing head shall require the approval of 

        A:-The Accountant General (A and E) of the state concerned 

        B:-The Comptroller and Auditor General of India 

        C:-The Finance Secretary 

        D:-The Finance Minister 

        Correct Answer:- Option-B 

Question100:-In Public Accounts the alphabet K denotes

        A:-Deposits and Advances         B:-Remittance 

        C:-Reserve Funds 

        D:-Suspense and Miscellaneous         Correct Answer:- Option-A