JAIIB Exam 2025 – AFM Important Questions MCQs Quiz-12

05/03/2025

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JAIIB Exam 2025 AFM Important Questions MCQs Quiz-12

JAIIB Exam Quiz 2025: The JAIIB exam is scheduled for 2025 by IIBF. Here, we are providing JAIIB AFM MCQ-based quizzes on a regular basis. You can attempt the quizzes regularly to prepare for the upcoming JAIIB exam. The quizzes will be provided module-wise and unit-wise. You can attempt the JAIIB AFM quizzes from the links below and improve your preparation by practicing regularly. These quizzes will help you boost your score in the JAIIB exam and guide you to clear the exam on your first attempt.

Q.1 Which of the following correctly represents the balance sheet equation?
A. Assets = Outside Liabilities – Capital
B. Assets = Claims of Creditors – Claims of Owners
C. Assets = Outside Liabilities + Capital
D. Capital = Outside Liabilities + Assets

Q.2 A business has total assets worth ₹8,00,000 and outside liabilities of ₹3,00,000. What is the capital of the business?
A. ₹11,00,000
B. ₹5,00,000
C. ₹3,00,000
D. ₹8,00,000

Q 3 A business had an Opening Capital of ₹6,00,000. During the year, it earned a Net Profit of ₹2,50,000 and the owner withdrew ₹1,00,000 for personal use. If the Outside Liabilities amount to ₹4,00,000 and the total assets are valued at ₹12,00,000, what is the Closing Capital?
A. ₹7,50,000
B. ₹8,00,000
C. ₹8,50,000
D. ₹9,00,000

Q.4 A business had an Opening Capital of ₹5,00,000. During the year, it earned a Net Profit of ₹3,00,000 and introduced additional capital of ₹1,00,000. The owner withdrew ₹1,50,000 for personal use. If the Total Assets are ₹12,50,000 and Outside Liabilities are ₹4,00,000, what is the Closing Capital?
A. ₹7,50,000
B. ₹8,50,000
C. ₹9,00,000
D. ₹10,00,000

Q.5 Payment of creditors by cash will result in:
A. Decrease in liabilities and decrease in assets
B. Decrease in liabilities and increase in assets
C. Increase in assets and increase in capital
D. Increase in liabilities and increase in assets

Q.6 When the owner withdraws cash for personal use, it results in:
A. Decrease in capital and decrease in assets
B. Increase in capital and decrease in assets
C. Increase in liabilities and decrease in capital
D. Increase in liabilities and increase in assets

Q.7 Purchase of a building by paying 50% in cash and the remaining on credit will result in:
A. Increase in total assets and increase in liabilities
B. Increase in total assets only
C. Increase in assets and decrease in liabilities
D. Decrease in capital and increase in liabilities

Q.8 Receipt of cash from a debtor will result in:
A. Increase in total assets
B. Decrease in total assets
C. No change in total assets
D. Increase in capital