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Accounting Quiz 14 (25 MCQs)

Quiz Instructions:

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1. Capital Redemption Reserve can be utilised by the company only for
2. Bonus shares can be issued by a company
3. A company with a paid up capital of 5000 equity shares of Rs. 10 each has a turnover of four times with a margin of 8 % on sales. The ROI of the company will be
4. Indicate the item that appears below the line in the Profit and Loss Account
5. A sound dividend policy contains the _____ features.
6. The information provided by the financial accounting system is
7. Which one of the following is not a sources of conflict in project ranking in capital budgeting decision as per NPV and IRR.
8. Which of the following assets are dealt with by AS - 10 (Accounting Standard on Fixed Assets)?
9. A lease which is generally not cancellable and covers full economic life of the asset is known as
10. Stock beta measures
11. In India, NIFTY and SENSEX are calculated on the basis of
12. What are the important objectives of accounting?
13. Which is the functions of Financial Control?
14. Forward exchange rate is the rate of exchange between two currencies
15. Du Pont Analysis deals with
16. Accounting ratios can be expressed in the following forms
17. The cash flow associated with extraordinary items should be classified as arising from
18. In some cases assessment year and previous year can be same financial year.
19. The issue of equity capital in exchange of plant and machinery will cause the return on equity capital to
20. Proprietary ratio indicates the relationship between proprietor's funds and _____ .
21. The proposal is accepted if the profitability index is more than
22. The net income of the company should ideally be ----- times of the fixed internal charges.
23. Currency speculation is _____ if speculators bet against market forces that cause exchange fluctuations, thus moderating such fluctuations.
24. The firm is said to be more geared, if equity capital is more than the debentures and _____
25. Which of the following is an advantage of standard costing?
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