SSC CGL Finance – Final Accounts: Manufacturing, Trading, P&L, Appropriation & Balance Sheet – Level 3 · Challenge

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SSC CGL Finance – Final Accounts: Manufacturing, Trading, P&L, Appropriation & Balance Sheet – Level 3 · Challenge – 8 questions, subject: Finance & Economics (Tier II Paper III). Every question has the correct answer with a one-line explanation; tap "Show Answer". Free practice for TNPSC, UPSC, SSC, Bank and RRB exams – Shanmugam IAS Academy, Coimbatore.

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1.  

Directions (Q 28–29): Read the extract of Ravi Stores (fictional) for the year.

Item ₹
Gross profit 96,000
Salaries 30,000
Rent paid 12,000
Commission received 4,000

Adjustments: rent outstanding ₹ 2,000; depreciation on furniture ₹ 5,000.

Data tableThe net profit of Ravi Stores is:

Correct Answer: B [₹ 51,000]

Explanation:

96,000 + 4,000 − 30,000 − (12,000 + 2,000) − 5,000 = 51,000.

2.  
(Use the directions above – Q 28–29)
Data tableIf the rent outstanding were ignored, the net profit would be:

Correct Answer: D [overstated by ₹ 2,000]

Explanation:

Missing an expense makes profit too high by that amount.

3.  
Net profit before commissions is ₹ 2,10,000. The general manager gets 10% of this profit; the works manager gets 5% of the profit left after charging both commissions. The works manager's commission is:

Correct Answer: A [₹ 9,000]

Explanation:

GM = 21,000; WM = 1,89,000 × 5/105 = 9,000.

4.  
Opening capital ₹ 2,40,000, fresh capital ₹ 35,000, net profit ₹ 52,000, drawings ₹ 27,000. Closing capital is:

Correct Answer: D [₹ 3,00,000]

Explanation:

Capital Bridge: 2,40,000 + 35,000 + 52,000 − 27,000 = 3,00,000.

5.  
Prime cost ₹ 2,10,000; factory overheads ₹ 40,000; opening WIP ₹ 18,000; closing WIP ₹ 24,000; sale of scrap ₹ 3,000. Cost of goods produced is:

Correct Answer: C [₹ 2,41,000]

Explanation:

2,10,000 + 40,000 + 18,000 − 24,000 − 3,000 = 2,41,000.

6.  
A partner withdrew ₹ 1,500 at the end of every month for the year. Interest on drawings at 12% p.a. is:

Correct Answer: B [₹ 990]

Explanation:

18,000 × 12% × 5.5/12 = 990 (end of month → 5.5 months).

7.  
Debtors ₹ 1,00,000. Write off ₹ 4,000 as bad debts, make a 5% provision for doubtful debts and a 2% provision for discount on debtors. The provision for discount is:

Correct Answer: D [₹ 1,824]

Explanation:

2% of (1,00,000 − 4,000 − 4,800) = 2% of 91,200 = 1,824.

8.  
Statement-basedUnder Schedule III (Division I) of the Companies Act, 2013:
I. 'Equity and Liabilities' is shown before 'Assets'.
II. 'Shareholders' funds' is the first head under 'Equity and Liabilities'.
III. 'Current assets' comes before 'Non-current assets'.
Which are correct?

Correct Answer: C [I and II only]

Explanation:

Assets are shown as non-current first, then current; I and II are correct.

➤ Full notes, shortcuts and every answer explained – SSC CGL 2026 Finance & Economics (Tier II Paper III) book (₹149): www.shanmugamiasacademy.in/study-materials/ssc-cgl-finance-economics

📘 SSC CGL 2026 – General Studies – Finance & Economics (Tier II Paper III)
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