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Financial Accounting and Business News Quiz

Total questions: 50

Worksheet time: 25mins

Name
Class
Date
1.

Financial Accounting is primarily concerned with:

a)

Internal decision-making

b)

Recording business transactions

c)

Setting government policies

d)

Predicting future trends

2.

Which of the following best defines Financial Accounting?

a)

Process of forecasting future revenues

b)

Process of recording, summarizing, and reporting business transactions

c)

Process of employee performance evaluation

d)

Process of production planning

3.

The main objective of Financial Accounting is:

a)

Control over production

b)

Measurement of profitability and financial position

c)

Employee motivation

d)

Minimizing taxes only

4.

Which statement is NOT an objective of Financial Accounting?

a)

Providing information to external users

b)

Ensuring compliance with laws

c)

Forecasting economic environment

d)

Assisting in investment decisions

5.

The end product of Financial Accounting is:

a)

Ledger

b)

Trial Balance

c)

Financial Statements

d)

Cost Sheet

6.

Financial Accounting is mainly useful for:

a)

Workers

b)

Managers

c)

External stakeholders

d)

Only government

7.

Which of the following is NOT a limitation of Financial Accounting?

a)

Based on historical data

b)

Provides quantitative information only

c)

Subject to personal bias

d)

Future forecasting with precision

8.

The importance of Financial Accounting lies in:

a)

Tax evasion

b)

Transparent reporting

c)

Only satisfying government needs

d)

Predicting climate change

9.

Which of the following is a user of financial information?

a)

Creditors

b)

Investors

c)

Government

d)

All of the above

10.

The accounting process does NOT include:

a)

Identifying transactions

b)

Measuring cost

c)

Recording in journals

d)

Conducting marketing research

11.

Which of the following is NOT a characteristic of Financial Accounting?

a)

Uniformity

b)

Historic nature

c)

Precision in forecasting

d)

Legal compliance

12.

Financial statements are generally prepared:

a)

Daily

b)

Weekly

c)

Annually/Quarterly

d)

Hourly

13.

Accounting helps management mainly by:

a)

Providing operational data

b)

Providing financial records for decision-making

c)

Supervising employees

d)

Conducting training

14.

Limitation of financial statements is that they:

a)

Provide qualitative aspects

b)

Are future oriented

c)

Ignore non-monetary aspects

d)

Consider inflation

15.

Which of the following is NOT an objective of accounting?

a)

Safeguarding assets

b)

Measuring profits

c)

Motivating employees

d)

Facilitating control

16.

The double-entry system in accounting is based on:

a)

Demand and supply

b)

Dual aspect concept

c)

Marginal utility

d)

Break-even analysis

17.

Which of the following is an advantage of accounting?

a)

Provides reliable records

b)

Helps in comparison

c)

Acts as evidence in court

d)

All of the above

18.

Financial Accounting cannot provide:

a)

Cost of production

b)

Cash flows

c)

Balance sheet

d)

Profit and loss account

19.

Which is NOT a primary objective of financial statements?

a)

Provide info about resources and obligations

b)

Provide info about performance

c)

Predict employee behavior

d)

Provide info for decision-making

20.

Which of the following limitations exists in financial accounting?

a)

Inflation ignored

b)

Based on estimates

c)

Window dressing possible

d)

All of the above

21.

Accounting information is said to be useful if it is:

a)

Relevant and reliable

b)

Complicated and lengthy

c)

Subjective and hidden

d)

None

22.

Who is considered the father of modern accounting?

a)

Adam Smith

b)

Luca Pacioli

c)

Amartya Sen

d)

Alfred Marshall

23.

Which accounting principle assumes business will continue in future?

a)

Going concern

b)

Matching

c)

Prudence

d)

Cost principle

24.

Which of the following is NOT a function of accounting?

a)

Recording

b)

Classifying

c)

Auditing

d)

Summarizing

25.

Importance of financial statements includes:

a)

Evaluating creditworthiness

b)

Determining taxation

c)

Assisting investment

d)

All of the above

26.

Accounting provides information primarily to:

a)

Only management

b)

Only shareholders

c)

All interested parties

d)

Only government

27.

Which one is NOT a characteristic of good accounting information?

a)

Understandability

b)

Reliability

c)

Comparability

d)

Ambiguity

28.

Accounting fails when:

a)

Transactions are not recorded properly

b)

Information is manipulated

c)

Inflation is high

d)

All of the above

29.

The limitation of accounting regarding asset valuation is that it records assets at:

a)

Market value

b)

Historical cost

c)

Replacement value

d)

Net realizable value

30.

Which is NOT a direct use of financial accounting?

a)

Filing tax returns

b)

Preparation of budget

c)

Settlement of legal disputes

d)

Attracting investment

31.

In 2025, RBI's Monetary Policy Committee kept the repo rate at:

a)

6.25%

b)

6.50%

c)

6.75%

d)

7.00%

32.

India's GDP growth forecast for FY 2025 by RBI is approximately:

a)

5.9%

b)

6.2%

c)

6.5%

d)

7.0%

33.

Which Indian company became the first to cross ₹20 lakh crore market cap in 2025?

a)

Infosys

b)

Reliance Industries

c)

TCS

d)

HDFC Bank

34.

In July 2025, which bank merged with IDFC FIRST Bank?

a)

Yes Bank

b)

Ujjivan Small Finance Bank

c)

Shriram Finance

d)

None

35.

As of mid-2025, who is the Finance Minister of India?

a)

Piyush Goyal

b)

Nirmala Sitharaman

c)

Amit Shah

d)

Rajnath Singh

36.

In August 2025, which company launched India's first AI-powered financial assistant?

a)

Paytm

b)

Zerodha

c)

PhonePe

d)

HDFC Bank

37.

Which Indian IT company announced a partnership with NVIDIA in 2025 for AI solutions?

a)

Infosys

b)

TCS

c)

Wipro

d)

HCL Tech

38.

In 2025, India's stock exchange that launched a carbon trading platform is:

a)

NSE

b)

BSE

c)

MCX

d)

NCDEX

39.

Which Indian airline placed the world's largest aircraft order in 2025?

a)

Air India

b)

IndiGo

c)

Akasa Air

d)

Vistara

40.

India's first sovereign green bond issue was launched in:

a)

2022

b)

2023

c)

2024

d)

2025

41.

Which PSU was listed on stock exchanges in 2025?

a)

LIC

b)

NTPC Green Energy

c)

ONGC

d)

GAIL Renewables

42.

In 2025, India signed a free trade agreement (FTA) with:

a)

Australia

b)

UAE

c)

UK

d)

USA

43.

Which Indian startup became a unicorn in 2025 in the EV sector?

a)

Ather Energy

b)

Ola Electric

c)

Ultraviolette

d)

BluSmart

44.

As of August 2025, India's foreign exchange reserves are around:

a)

$500 billion

b)

$600 billion

c)

$650 billion

d)

$700 billion

45.

Which Indian bank launched a digital rupee (CBDC) wallet in 2025?

a)

SBI

b)

HDFC Bank

c)

ICICI Bank

d)

Axis Bank

46.

India hosted the BRICS Summit 2025 in which city?

a)

Delhi

b)

Mumbai

c)

Bengaluru

d)

Hyderabad

47.

In 2025, who became the world's richest Indian entrepreneur again?

a)

Azim Premji

b)

Gautam Adani

c)

Mukesh Ambani

d)

Shiv Nadar

48.

Which Indian FMCG giant acquired Everest Spices in 2025?

a)

ITC

b)

HUL

c)

Dabur

d)

Nestle India

49.

India's first bullet train project (Mumbai-Ahmedabad) is expected to be operational by:

a)

2026

b)

2027

c)

2028

d)

2030

50.

Which e-commerce company announced IPO plans in 2025?

a)

Flipkart

b)

Meesho

c)

Nykaa

d)

Zomato