CPWA Code - SUSPENSE ACCOUNTS

1. The account of Minor Head “Suspense” under those functional

Budgeted Major Heads of Accounts where expenditure on Works is
involved is
A. 129
B. 107
C. 800
D. 799
2. The account of Minor Head “Suspense” under those functional
Budgeted Major Heads of Accounts where expenditure on Works is
involved is divided into three (3) distinct sub heads. Pick the
incorrect one
A. Material
B. Stock
C. Misc. Works Advances
D. Workshop
3. Pick the correct ones

(i) The sub heads under minor head Suspense are of temporary
character
(ii) All the transactions recorded under them, are ultimately
removed either by payment or recovery in cash or by adjustment.
(iii) These transactions consist of both debit and credit
(iv) The debit is treated as reduction of expenditure when making
up the account of Major Head

A. i, ii and iii
B. ii, iii and iv
C. i, iii and iv
D. All of the above
4. The Minor and Major Head of the MPSSA are
A. 107/8658
B. 129/8658
C. 799/8658
D. 800/8658
5. The accounts of MPSSA is operated to account for the settlement of
dues of the Suppliers of Stores
A. If payment is not made in the same month in which the
stores have been received
B. If payment is not made on the date on which the stores have
been received
C. If payment is made without the store has been received in the
month of payment
D. If payment is made without the store has been received on
the date of payment
6. Minor 107-Cash Settlement Suspense Accounts under Major Head
8658 is operated for settlement of
A. Advance payment
B. Inter-departmental transactions with Cabinet
Secretariat and Ministry of Defence.
C. Inter-departmental transactions with other departments of
the same Govt.
D. Inter-departmental transactions with other Govt, Non-Govt.
including Local Bodies and Private parties.
7. When materials are received from a supplier or from another
department in India or abroad, the value of the stores should be
A. Credited To MPSSA
B. Debited to MPSSA
C. Credited to CSSA
D. Debited to CSSA
8. Pick the correct ones

(i) When materials are received for a specific work, the MPSSA will
be credited immediately and work accounts is debited.
(ii) When materials are received for stock and payment has not
been made during that month, the MPSSA will be credited on
closing the accounts of the month.
(iii) A single transfer entry order known as Omnibus Transfer Entry
Order, Form 53A may be prepared for all purchases of stores made
for specific works in a sub-division during a month and so a
combined entry for all transactions during the month took place, the
entry being attested at once
(iv) Value of materials should be debited in works abstract under
the relevant sub-head such as Contractor-OT or Material or final
charges as the case may be

A. i, ii and iii
B. ii, iii and iv
C. i, ii and iv
D. All of the above
9. State whether true or false: If any item of supply be paid for during
the same month, the amount paid should be noted in the relevant
column and at the end of the month, the total of all items paid for
during the same month should be worked out and only the net
amount credited under Material Purchase Settlement Suspense
Account.
A. True
B. False
10. The Omnibus Transfer Entry Order should be incorporated in the
transfer entry book only at the end of the month so that
A. Reconciliation between the quantity and value account may be
secured.
 B. Verification of stores with specification may be completed
diligently
C. It may not be necessary to copy out in detail the transactions
paid for during the month.
D. All of the above.
11. The TEO is prepared in
A. Single copy
B. duplicate
C. triplicate
D. Quadruplicate
12. Pick the incorrect one regarding disposal of TEO
A. One copy to PAO
B. One copy to Transfer entry Book of DO
C. One copy to Suspense Register
D. One copy to Stock Account
13. When the actual value of the materials is not known, an estimated
figure should be adopted, any difference being adjusted, as soon as
known should be afforded in the MPSSA by
A. a debit entry
B. a debit or credit entry
C. a credit or minus credit entry
D. a debit or minus debit entry
14. When the price of the materials is paid or adjusted by transfer, in
MPSSA the payment should be
A. Debited
B. Minus credited
C. Minus Debited
D. Credited
15. State whether true or false If the amount admitted in payment
exceeds the amount credited to “M.P.S.S.A.” the difference should
be charged direct to Stock or to the work concerned, and should be
shown as minus entry in the MPSSA.
A. True
B. False
16. Pick the incorrect one
A. Repayment of lapsed deposits applies mutatis mutandis to
repayment of lapsed balances of MPSS Account.
B. Outstanding balances lapsed to revenue and requiring
adjustment on the basis of Old PAO Memos should be
equated to repayment of lapsed Deposits
C. The write back of such lapsed balances of “Material Purchase
Settlement Suspense Account” are in the nature of corrections
of erroneous adjustments and no pre-check of such
transaction is contemplated
D. Pre check by PAO would be necessary, if the amount is
required to be paid to any party
17. The MPSS Account is maintained in Suspense Register in form
 A. CPWA 67
B. CPWA 67A
C. CPWA 69
D. CPWA 70
18. The details of MPSSA in Suspense Register is recorded in a separate
set of folios for each of two headings
A. Purchases from India & Purchases from abroad
B. Purchases for Stock and Purchases for specific Works
C. Purchases for Division and Purchases for contractors
D. Purchases for Stock and Purchases for Workshop
19. State whether true or false: The head “stock” is opened in all
divisions in which stock of materials is maintained for general
purposes. In divisions in which no stocks are maintained, this
account should be opened only when any manufacture operations
are undertaken
A. True
B. False
20. The money limit for the stock reserve of a division is prescribed by
A. SE
B. DG (Works)
C. PAO
D. Admin. Min/Administrator
21. Pick the correct ones

(i) Excesses over the reserve limit as prescribed by the competent

authority are not permissible under any circumstances
(ii) The account head “stock” is debited with all expenditure
connected with the acquisition of stock materials, and with all
manufacture operations.
(iii) The stock account is credited with the value of materials issued
to works, or sold, transferred or otherwise disposed of.
(iv) The balance of account will represent the book value of the
materials in stock plus the unadjusted charges, etc., connected with
manufacture.

A. i, ii and iii
B. ii, iii and iv
C. i, ii and iv
D. All of the above
22. The Stock account are divided into 11 sub-heads such as Small
Stores, Building Materials etc. The first eight sub heads may be
replaced by locally by other suitable Heads, if necessary. Pick the
incorrect one regarding the permanent/constant sub heads are
A. Land, Kilns etc.
B. Manufacture
C. Handling and other Incidental Charges
D. Misc. Stores
23. Pick the incorrect one
A. The general account of the receipts, issues and balances of
the suspense head, “Stock” should be maintained in the
Suspense Register, Form 67
B. A separate account should be kept in respect of each sub-
head, the transactions of the several sub-divisions being
detailed therein as separate items and the totals of all
subdivisions as another
C. Transfers within the division should be accounted for against a
single item “Deduct Transfers within Division” before the total
for the entire head “Stock” is struck.
D. Expenditure booked under the sub-head “Handling and
other incidental charges” should be brought to nil at
the time of closing the accounts of the month.
24. Transactions recorded under Sub-head “Miscellaneous Works
Advances” under the Minor Head “799 – Suspense” below the
functional Major/Sub-Major Heads concerned are divided into
A. Two classes
B. Three classes
C. Four classes
D. Five classes
25. Transactions under which of the following accounts does not fall
under Minor Head 799- Suspense
A. Sale of item
B. Expenditure incurred on Deposit works in excess of deposits
received
C. Losses, Retrenchment, error etc.
D. Other items
26. State whether true or false In case of absence or insufficiency of
sanction or appropriation except for Deposit Works shall be debited
to Sub head other items.
A. True
B. False
27. When stores of any kind are sold on credit, their value plus the
Supervision charges, if any, should be debited to “Miscellaneous
Works Advances” under the detailed head “Sales on Credit” so that
A. the accounts of Stock or Works from which the materials are
issued may be kept correctly
B. the recovery of the value from the local body or individual
concerned may be watched through the regular accounts.
C. Both of the above
D. None of the above
28. Under the heading “Losses, retrenchments, errors etc.” subordinate
to Minor Head 799 – MWA appear the following. Pick the incorrect
one
A. Deficiencies in cash or stock
B. Actual losses of cash or stock
 C. Errors in accounts awaiting adjustment
D. Retrenchments and losses of other kinds duly
recovered from Government Servants.
29. All debits, the allocation of which is not known or which cannot be
adjusted until recovery or settlement is effected or write off ordered
will be recorded under
A. Losses, Retrenchment, error etc.
B. Errors in accounts awaiting adjustment
C. Other items
D. Any of the above.
30. The sub head “Other items” is meant for the following except
A. debits, the classification of which cannot be determined at
once;
B. recoverable debits not pertaining to the accounts of a work;
C. recoverable outstanding appertaining to works, the accounts
of which are closed
D. recoverable outstanding pertaining to a Deposit Work
31. The share of municipal taxes paid by Government on behalf of
licensees of Government buildings should be debited to which sub
head of the MWA pending recovery
A. Other items
B. Losses, Retrenchment, error etc.
C. Expenditure incurred on Deposit works in excess of deposits
received
D. Misc. Recovery
32. Pick the incorrect one
A. Items in the “Miscellaneous Works Advances” account are
cleared either by actual recovery, or by transfer, under proper
sanction or authority to some other head of account.
B. Items or balances which may become irrecoverable should not
be so transferred until ordered to be written off.
C. The detailed accounts of this head should be kept in
Form 70, Register of Misc. Work Advances.
D. The detailed accounts of this head should be kept in Form 67,
Suspense Register.
33. Pick the correct ones

(i) For items falling under the class “Expenditure incurred on

Deposit Works in excess of deposits received”, details are not
necessary in Suspense Register, as these are recorded in the
Schedule of Deposit Works, Form 65.
(ii) For each of the other three classes of items namely Sale on
credit, Losses, Retrenchment etc and Other items, a separate set of
folios should be reserved.
(iii) All the items under each class should be detailed, so that their
clearance may be watched individually.
 (iv) An abstract should be prepared to show the totals of all the
classes.

A. i, ii, and iii

B. i, iii and iv
C. i, ii and iv
D. All of the above
34. State whether true or false When a workshop has been established,
all direct outlay on the jobs executed and on other operations of the
workshop is passed through the suspense head “Workshop
Suspense”
A. True
B. False
35. Pick the incorrect one
A. A separate account is kept under it of each job or operation,
so that all charges relating to each may be collected and
charges of a general nature may be suitably distributed over
all the jobs or operations affected, before the total cost
recoverable is determined.
B. The recorded expenditure on a job is removed from the
suspense head only when and to the extent that, an
adjustment is effected against the deposit received or against
the service or other head concerned.
C. Such removal is effected by a credit to the account of the job.
D. Accordingly, when any charges are transferred from
one job or operation to another, the transfer should be
made by a credit and minus credit entry.
36. State whether true or false On the completion of a job, all
outstanding charges on it must be debited, as soon as possible, to
the head concerned, but in cases where this cannot be done, as in
the case of expenditure incurred in excess of the deposit received,
the unadjusted amount should be transferred to the head
“Miscellaneous Works Advances” pending settlement.
A. True
B. False