Description : The relationship between two amount or variables is measured with the help of ------------ a) Ratio b) Trend c) Comparative d) Common size
Last Answer : a) Ratio
Description : Ratios of different items for various periods are calculated and compared a) Common size b) Comparative c) Trend analysis d) Ratio analysis
Last Answer : d) Ratio analysis
Description : Expressed as a percentage of each asset to total a) Common size P/L A/C b) Common size Balance Sheet c) Comparative Income Statement d) Trend analysis
Last Answer : b) Common size Balance Sheet
Description : ---------------- establishes the relationship of different individual items which same common items a) Common size statements b) Comparative statements c) Trend analysis d) Comparative Income Statement
Last Answer : a) Common size statements
Description : Study of the trend of the same items of two or more balance sheets a) Common size Profit and Loss A/C b) Common size balance sheet c) Comparative Income statement d) Comparative Balance Sheet
Last Answer : Common size balance sheet
Description : Comparison and interpretation of ratio is known as --------------------- a) Fund flow analysis b) Cash flow analysis c) Ratio analysis d) Trend analysis
Last Answer : c) Ratio analysis
Description : The statement prepared to disclose accounting information are known as----- a) Comparative statements b) Common size statements c) Financial statements d) None of the above
Last Answer : c) Financial statements
Description : Powerful tool for analyzing financial statement is ---------- a) Trend analysis b) Ratio analysis c) Analysis d) Interpretation
Last Answer : b) Ratio analysis
Description : The term financial ananlysis include both --------- and interpretation a) Comparison b) Analysis c) Conclusion d) Constructions
Last Answer : b) Analysis
Description : Horizontal Analysis shows the comparison of data for several years against a chosen ---------------- year. a) Base year C. Financial year b) Previous year D. Calender year
Last Answer : a) Base year
Description : Yard stick which measures relationship between two variables a) Financial statements b) Ratio c) Fund Flow analysis d) Cash flow analysis
Last Answer : b) Ratio
Description : Under ------------------------ each item of expenses taken as a percentage on net sales a) Comparative income statement b) Comparative balance sheet c) Common size Balance sheet d) Common size Income Statement
Last Answer : d) Common size Income Statement
Description : Comparative statements are a form of --------------------------- a) Horizontal analysis b) Vertical analysis c) Parellel analysis d) None of the above
Last Answer : a) Horizontal analysis
Description : Trend analysis is significant for a) Forecasting and budgeting b) Profit planning c) Capital rationing d) None of the above
Last Answer : a) Forecasting and budgeting
Description : Ratios help the management in evolving market strategies through ----------- a) Inter firm comparison b) Intra firm comparison c) Ratios d) None of the above
Last Answer : a) Inter firm comparison
Description : Vertical analysis is made to review and analyse the financial statements of -----------------accounting period. a) One B. Two C. Three D. Four
Last Answer : a) One
Description : ----------------------- helps in drawing inferences of conclusions a) Analysis b) Interpretation c) Comparison d) None of the above
Last Answer : b) Interpretation
Description : The process of deriving conclusions from the analysis is commonly termed as ---------------- a) Analysis b) Conclusion c) Comparison d) Interpretation
Last Answer : d) Interpretation
Description : When ratios are calculated from the financial statements of one year, it is known as --------------------- a) Horizontal analysis b) Vertiacal analysis c) Internal Analysis d) External analysis
Last Answer : b) Vertiacal analysis
Description : hen financial statements for a number of years are reviewed and analysed, the analysis is known as --------------------- a) Vertical nalysis b) Internal analysis c) Horizontal analysis d) External analysis
Last Answer : c) Horizontal analysis
Description : The main aim of the ratio analysis is to help the ----------of the firm a) Owners b) Officials c) Departments d) Management
Last Answer : d) Management
Description : The ratios that shows tha capacity of the business unit to meet its short term obligation out of its short term resources is known as -------------- a) Solvency ratio b) Leverage ratio c) Liquidity ratio d) Trend Ratio
Last Answer : c) Liquidity ratio
Description : Comparison of financial statements highlights the trend of the _________ of the business. A. Financial position B. Performance C. Profitability D. All of the above
Last Answer : D. All of the above
Description : An essential tool of short term financial analysis a) Fund flow statement b) Statement of uses and application of funds c) Cash flow statement d) Ratio analysis
Last Answer : c) Cash flow statement
Description : Ratio analysis is a study of relationship among various --------------- factors in a business a) Operational b) Official c) Financial d) Others
Last Answer : c) Financial
Description : Afford full diagnosis of the profitability and financial position a) Preparation of Profit and Loss Account b) Balance Sheet c) Final Accounts d) Analysis of financial statement
Last Answer : d) Analysis of financial statement
Description : ------------- gives a diagnosis of the profitability and financial position a) Analysis of financial statements b) Preparation of financial statements c) Construction of statements d) None of the above
Last Answer : a) Analysis of financial statements
Description : External analysis is based on ------------- financial statements a) Annual b) Published c) Prepared d) Previous
Last Answer : b) Published
Description : Cash flow is a part of a) Fund flow b) Balance sheet c) Income statement d) Comparative statement
Last Answer : c) Income statement
Description : A statement depicting the reasons for the change in cash position from one period to another a) Fund flow statement b) Statement of uses and application of funds c) Cash flow statement d) Ratio analysis
Last Answer : a) Fund flow statement
Description : Income statement ratios are also called ----------- a) Operating ratio b) Liquidity ratio c) Activity ratio d) Trend ratio
Last Answer : a) Operating ratio
Description : In trend percentage the base year is ---------------------------- a) The first year b) Last year c) Any year d) Second year
Last Answer : a) The first year
Description : Which one of the following is usually prepared only at the end of a company's annual accounting period? a. Preparing financial statements b. Journalizing and posting adjusting entries c. Journalizing and posting closing entries d. Preparing an adjusted trial balance
Last Answer : c. Journalizing and posting closing entries
Description : Closing entries are journalized and posted a. before the financial statements are prepared. b. after the financial statements are prepared. c. at management's discretion. d. at the end of each interim accounting period.
Last Answer : b. after the financial statements are prepared.
Description : Closing entries are made a. in order to terminate the business as an operating entity. b. so that all assets, liabilities, and Stockholders' equity accounts will have zero balances when the ... ) and dividends to the retained earnings account. d. so that financial statements can be prepared.
Last Answer : c. in order to transfer net income (or loss) and dividends to the retained earnings account. unt.
Description : An enterprise which sells goods to customers is known as a a. proprietorship. b. corporation. c. retailer. d. service firm.
Last Answer : . retailer.
Description : Which of the following are techniques, tools or methods of analysis and interpretation of financial statements? A. Ratio Analysis B. Average Analysis C. Trend Analysis D. All of the above
Description : Vertical analysis is also known as ------------------ a) Dynamic analysis b) Static analysis c) External nalysis d) Internal analysis
Last Answer : b) Static analysis
Description : Horizontal analysis is also known as ----------------------- a) Static analysis b) Structural analysis c) Dynamic analysis d) None of these
Last Answer : c) Dynamic analysis
Description : The amount of product that would be purchased by specific customer groups within a specified time period at a specific intensity of industry marketing activities is called: A)maximum sales potential B)trend analysis C)forecasted sales D)market potential
Last Answer : D)market potential
Description : Which of these is not a Material control technique: (a) ABC Analysis (b) Fixation of raw material levels (c) Maintaining stores ledger (d) Control over slow moving and non moving items
Last Answer : (c) Maintaining stores ledger
Description : A control system where accountability is established with responsibility is known as -------------- a) Cost accounting b) Responsibility accounting c) Financial accounting d) None of the above
Last Answer : b) Responsibility accounting
Description : The credit terms offered to a customer by a business firm are 2/10, n/30, which means that a. the customer must pay the bill within 10 days. b. the customer can deduct a 2% discount if the ... date. d. two sales returns can be made within 10 days of the invoice date and no returns thereafter.
Last Answer : c. the customer can deduct a 2% discount if the bill is paid within 10 days of the invoice date.
Description : Which of the following would not be considered a merchandising company? a. Retailer b. Wholesaler c. Service firm d. Dot Com firm
Last Answer : c. Service firm
Description : Under firm underwriter g, the underwriters do not agree to purchase any shares.
Last Answer : FALSE
Description : Statutory cost audit are applicable only to: (a) Firm (b) Company
Last Answer : (b) Company
Description : -------------------means transfer of economic value of firm from one asset or equity to another. a) Flow of funds b) Uses of fund c) Inflow of funds d) Application of funds
Last Answer : a) Flow of funds
Description : The operating profit and net sale of a firm are rs.2,00,000 and rs.10,00,000 respectively then operating ratio will be a) 20% b) 5% c) 50% d) 20%
Last Answer : a) 20%
Description : Ratio to assess the short term debt paying capacity of a firm is---------- a) Debt equity ratio b) Propriety ratio c) Liquid ratio d) Solvency ratios
Last Answer : c) Liquid ratio
Description : Liquidity ratios measure the --------- solvency of a firm a) Long term b) Short term c) Average d) Others
Last Answer : b) Short term