Multiple choice questions on Government Accounts

Test paper
(Negative marking @1/4 for each wrong answer)

Time allowed: 1 hour Max marks 50

1.Who is the authority to prescribe the form of the Government Accounts?

A. CAG of India B. President of India C. Controller General of Accounts D. Ministry of Finance

2. Which of the following statements is not correct?

A. Government account should not be credited by debit to suspense. B. Un known classification of revenue
receipt items is to be kept under suspense C. The amount of missing vouchers are kept under suspense D.
None of these.

3. What is the monetary limit of purchases without quotation?

A.25000 B.10000 C.15000 D.20000

4. The definition of “goods” as contained in Rule 136 of the GFR 2005 excludes
A. Items of artistic value B. Items of cultural value C. Books and Periodicals D. None of the above

5. How are purchases worth more than Rs.25 lakh to be made?

A. Single Tender enquiry B. Limited Tender enquiry C. Advertised Tender enquiry D. None of the
above

6.All Officers incurring expenditure should observe……………………..

A. Standards of Financial propriety B. Financial rules and regulations C. Exercise of Vigilance and
prudence in public expenditure D. All of the above

7. No payment of salary should be made without……………if drawn for the first time
A. Pre check by AO B.LPC C. Counter signature D. None of these

8. What may be issued in lieu of lost receipt?

A. Duplicate receipt B. COR C. COP D. All of these

9. Cadre management of Group A and Group B officers in the Central Accounts offices and ICAS is the
responsibility of ……………………….
A.CGA B.CAG C. Ministry of Finance D. Central Administrative Department

10. ……………….Cannot be applied as a set off to capital expenditure

A. Revenue receipts B. Revenue expenditure C. Capital receipts D. All of these

11. In which part of the government accounts transactions relating to Debt ,Deposit, rem ittance and
suspense are recorded?
A. Part I B. Part III C. Part II D. All of these

12. Which represents the primary unit of appropriation?

A. Detailed head B. Sub head C. Minor head D .Object head

13. what is a set of technical accounts maintained on the principle of Double entry system out side the
regular accounts of governments called?
A. Pro forma accounts B. Consolidated Accounts C. Journal and ledger D. Commercial
Accounts
14. The re appropriation can be made only within the ……………………
A. Major heads B. Sub major heads C. Minor heads D. grants

15. Additional funds are provided by the Legislature to the Executive through…………
A. Supplementary demand for grants B. Contingency fund C. Reappropriation D. All of these

16. What is the validity of a cheque from the month of its issue?
A. 6months B. 4months C.3 months D. 12 months

17.Cheques to Government Officer for the payment of salary will have a superscription as
………………….A. A/c payee only B. Not transferable C. Govt. Account D. Not payable by cash

18. What are contingencies?

A. All travel expenses B. All wages C. Salary D. All incidentals for the management of an
office.

19.What is the limit of exemption allowed in the case of decree for maintenance?
A. 2/3rd of Salary B.1/3rd of salary C. Half of salary D. None of these

20. Which one of the following statements is correct?

A. The bill for GPF closure is prepared in form GAR 42
B. Application for GPF closure may be submitted one year in advance from the date of retirement C. The
PAO is to issue a Pre closure statement D. All of these

21.Which type of contingencies requires neither the counter signature of the controlling officer nor any
special sanction?

A. Scale regulated contingencies B. Special contingencies C. Fully vouched contingencies D.

Countersigned contingencies

22.What is the preservation period of sub vouchers?

A.3 years B. 1year C. 2 years D. None of these
23.The amount charged upon the Consolidated fund is called………………….
A. Grant B. Charged expenditure C. Appropriation D. All of these

24…………..is the Annual classified statement of expenditure compared with the Budget Provision.
A. Annual Accounts B. Appropriation Accounts C. Finance Accounts
D. Consolidated Accounts

25.The cost of keeping the accounts of a State Government where CAG is relieved of from the responsibility
of keeping such accounts will be
A. Cost of the State Government B. Cost of the Central Government C. Cost of both the
Governments D. All of these

26. Which Accounts of the Government shows the financial results of a Government?

A. Finance Accounts B. Appropriation Accounts C. Combined Finance and Revenue Accounts

D. Annual Accounts

27. The bill for GPF final withdrawal is to be drawn in Form…………………….

A. GAR 40 B. GAR 41 C. GAR 42 D.GAR 43

28.Notes and comments in the Appropriation accounts mainly contains

A. Reason for the excess/savings B. Defective Budgeting C. Criticism of the expenditure D.
Recommendations to PAC

29. Who is to certify the Central government Accounts?

A. CGA B.CAG C. The President D. Budget Division of the MOF

30.Name the 3 digit code which represents the programme under taken by the Government to implement a
function.
A. Major head B. Sub head C. Minor head D. Sub Major head

31.The six tier arrangement in the functional classification of Government accounts starts with
A. Sectors B. Major heads C. Minor heads D. Object heads

32.Municipal Rates and taxes of the Non residential functional buildings in the Administrative control of the
PWD is to be debited to
A.”RRT” under the functional major head concerned B. Maintenance and repair under the Major head
2059 C. Major head 2070-Other Administrative service D. Major head 2216 Housing.

33.The liability for pension in respect of all AIS officers w.e.f 1.4.2008 belonging to State Governments
rests with
A. State Govt. B. Central Govt. C. Both Central and State Governments D. All of these

34. Who has to issue a fresh cheque in lieu of a lost cheque?

A. PAO B. DDO C. Head of the Department D. Controlling Officer

35. Which Rule in GFR deals with the standards of Financial Propriety?
A. GFR 20 B.GFR 21 C.GFR 22 D.GFR 23

36.Advance payment to a supplier in case of a private firm should not exceed

A. 10 % B.20 % C. 30 % D.40 %

37. The payment by another department of the same government or by another government which initially
incurred the charge and classified it as final expenditure is…………
A. Recovery B. Receipt C. Expenditure D. Debit

38. Who will bear the transit pay and allowances both ways of Govt. servant transferred on Foreign
Service?
A. The department to which he is transferred B. Foreign employer C. Parent Department D. None of
these

39. Which statement in the Finance Accounts shows the Revenue and Capital receipts by Minor heads?
A. Statement No.10 B. Statement No.11 C. Statement No.12 D. Statement No.13

40. What does the detailed statement No. 15 depict?

A. Loans and advances B. Contingency fund and Public Account transactions C.
Borrowings and other liabilities D. Capital expenditure

41. …………..is a device to facilitate the administrator to credit receipts and to effect withdrawals directly
from the account.
A. Treasury Public Account B. Personal Deposit Account C. Permanent Advance D. Treasury
Savings Bank Account.

42.Which of the following statement about the Appropriation Accounts is correct?

A. It shows the gross expenditure B. It shows the comparison of the budget grant and actual expenditure
for a year C. It is prepared grant wise D. All of these

43. Which of the following statement about finance account is incorrect?

A. It shows the net expenditure after taking into consideration recoveries B. It shows the financial results
of the government C. It contains 20 statements D. None of these

44. Appendix II of the Appropriation Accounts contains

A. Details of recoveries adjusted in reduction of expenditure B. Expenditure met out of the
contingency fund remaining un recouped C. Certificate of the CAG D. Amounts re appropriated
during a year

45. What is the statement of account which shows the monthly as well as progressive figures under a
particular major head of account?
A. Classified Abstract B. Consolidated Abstract C. Abstract of Major Head totals
D. Monthly Civil Account

46. Name the Statement of account showing the major head wise expenditure of all the state governments on
a common and comparable basis?

A. Finance Accounts B. Appropriation Accounts C. Combined Finance and Revenue accountsD.

Monthly civil accounts of all the state governments

47. Petty losses of value not exceeding Rs…………… need not be reported

A.Rs.500 B. Rs.1000 C. Rs.2000 D.Rs.3000

48.the Major head 8009 is an example of

A. Head of account closing to Government B. Head of account closing to balance C. Head of
account operated by the CAG D. None of these

49. Money advanced for miscellaneous purposes under special authority and recoverable in cash is called
A. Recoverable advance B. Permanent Advance C. Civil Advance D. Revenue Advance

50. In the course of construction of a building project Rs.2 lakh is realized from the sale of scrap. The total
cost of the project was 15 lakh. The amount to be debited to the Capital Account of the project
is…………………

A. Rs.17 lakh B. Rs. 2 lakh C. Rs.15 lakh D. Rs. 13 lakh