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

1 Answer

Answer :

c) Cash flow statement

Related questions

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 : 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 : -------------------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 : 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 : A statement prepared in the form of report a) Fund flow b) Cash flow c) Ratio d) Balance sheet

Last Answer : a) Fund flow

Description : Powerful tool for analyzing financial statement is ---------- a) Trend analysis b) Ratio analysis c) Analysis d) Interpretation

Last Answer : b) Ratio analysis

Description : Fund flow statement is accompanied by a schedule of----------------------------- a) Changes in working capital b) Flow of funds c) Increase in fund d) Decrease in fund

Last Answer : a) Changes in working capital

Description : Fund flow statement are very useful in planning intermediate and ----------- financing. a) Short term b) Long term c) Medium term d) None of these

Last Answer : a) Short term

Description : Stock in the beginning results in----------- a) Application of funds b) Source of fund c) Inflow of fund d) None of these

Last Answer : a) Application of funds

Description : Increase in working capital is----------------------- a) Source of fund b) Application of fund c) Funds from operation d) Loss from operation

Last Answer : b) Application of fund

Description : Which of the following is an application of fund a) Sale of plant b) Issue of shares c) Purchase of funds d) Payment of creditors

Last Answer : c) Purchase of funds

Description : AS-3 is related to a) Cash flow statement b) Funds flow statement c) Balance sheet d) Income statements

Last Answer : a) Cash flow statement

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 : Cash flow statement shows the causes for changes in__________ a) Cash balance b) Fund c) Working capital d) None of thes

Last Answer : b) Fund

Description : Which of the following statements is not correct? A. For the purpose of Funds Flow Statement, the term 'fund ' generally refers to net working capital B. Funds flow is a wider concept than ... business D. The capitalisation of reserves by the issue of bonus shares also involves flow of funds

Last Answer : D. The capitalisation of reserves by the issue of bonus shares also involves flow of funds

Description : Furniture sold for cash -----funds flow a) Increases b) Decreases c) Deducted d) None of these

Last Answer : a) Increases

Description : Funds from operations are --------------of funds a) Application b) Uses c) Sources d) No change

Last Answer : c) Sources

Description : Asset sold on credit is---- of funds a) Application b) Uses c) Source d) Decrease

Last Answer : c) Source

Description : Capital market deals with - (1) Short term fund (2) Long term fund (3) Cash (4) Both long and short term funds

Last Answer : (2) Long term fund Explanation: Capital markets are financial markets for the buying and selling of long-term debt or equity-backed securities. These markets channel the wealth of savers to those ... put it to long-term productive use, such as companies or governments making long-term investments.

Description : Capital market deals with (1) Short term fund (2) Long term fund (3) Cash (4) Both long and short term funds 

Last Answer : Long term fund

Description : Inflow of fund does not take place due to---------------- a) Funds from operation b) Increase in capital c) Increase in working capital d) Sale of fixed asset

Last Answer : b) Increase in capital

Description : Which of the following does not affect the fund flow statement a) Issue of shares b) Borrowing c) Repayment of loan d) Payment to creditors

Last Answer : d) Payment to creditors

Description : In the fund flow statement, depreciation is---------------- a) Deducted from net profit b) Added to net profit c) Sources of working capital d) Ignored

Last Answer : b) Added to net profit

Description : Which of the following is not an inflow of cash a) Sale of fixed asset b) Issue of debentures for cash c) Funds from operation d) Acquisition of assets

Last Answer : d) Acquisition of assets

Description : To arrive at funds from operation ,non-cash expenses must be added to---------- a) Net profit b) Gross profit c) Operating profit d) None of these

Last Answer : a) Net profit

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 : The term financial ananlysis include both --------- and interpretation a) Comparison b) Analysis c) Conclusion d) Constructions

Last Answer : b) Analysis

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 : Gross profit are Rs.50,000 and expenses not result in the application of funds are Rs.10000 funds from operation will be a) Rs.60000 b) Rs.50000 c) Rs. 40000 d) Rs. 30000

Last Answer : a) Rs.60000

Description : Net decrease in working capital results in --------------------of funds a) Source b) Application c) No change d) None of these

Last Answer : b) Application

Description : Net increase in working capital results in----------------of funds a) sources b) inflow c) no change d) application

Last Answer : d) application

Description : Salary outstanding is----- of funds a) Source b) Inflow c) Application d) No change

Last Answer : c) Application

Description : The objectives of Cash Flow Statement are (i) Analysis of cash position (ii) Short-term cash planning (iii) Evaluation of liquidity (iv) Comparison of operating Performance A. Both (i) and (ii) B. Both (i) and (iii) C. Both (ii) and (iv) D. (i), (ii), (iii), (iv)

Last Answer : D. (i), (ii), (iii), (iv)

Description : Stock at the end results in----------------------- a) Application of fund b) Source of fund c) Inflow of fund d) None of these

Last Answer : b) Source of fund

Description : The ratio which shows the relationship between borrowed funds and owners capital is --------------- a) Proprietary ratio b) Debt equity ratio c) Capital gearing ratio d) Fixed asset ratio

Last Answer : b) Debt equity ratio

Description : Flow of fund means change in ------------------- a) Working capital b) Gross capital c) Net capital d) Average capital

Last Answer : c) Net capital

Description : A transaction that doesn’t make any change in working capital position is --------- a) Inflow of fund b) Out flow of fund c) Non fund transaction d) Fund transaction

Last Answer : c) Non fund transaction

Description : Which of the following will affect the flow of fund a) a transaction affecting current and non-current accounts b) a transaction affecting both non-current accounts c) a transaction affecting both current accounts d) both a) and b)

Last Answer : a) a transaction affecting current and non-current accounts

Description : When one account is current and another a non-current It results in-------------------- a) Flow of fund b) Increase of fund c) Decrease of fund d) None of these

Last Answer : a) Flow of fund

Description : Fund flow refers to change in----- a) Working capital b) Fixed capital c) Current capital d) Increase in working capital

Last Answer : c) Current capital

Description : Cash flow statement is based on---------- a) Cash basis of accounting b) Accounting equation c) Accrual basis of accounting d) None of these

Last Answer : a) Cash basis of accounting

Description : Cash flow statement is based on past records, so it is---------in nature a) historical b) future item c) past d) none of these

Last Answer : a) historical

Description : Purchase of building by issue of debenture is a---------item and it is ignored in cash flow statement a) cash b) non-cash c) non-operating d) current

Last Answer : b) non-cash

Description : Cash flow statement is prepared by taking the ------------- balance of cash a) Opening balance b) Closing balance c) Monthly balance d) Others

Last Answer : a) Opening balance

Description : Proprietary ratio measures the relationship between share holder fund and ------------------ a) Total asset b) Fixed asset c) Current asset d) Fictious asset

Last Answer : a) Total asset

Description : The ratio that shows the relationship between fixed asset to share holders fund a) Fixed asset to net worth b) Fixed asset ratio c) Fixed assets turn over ratio d) Net worth ratio

Last Answer : a) Fixed asset to net worth

Description : The ratio which shows the relationship b/w share holder’s fund and total assets a) Debit equity ratio b) Proprietary ratio c) Solvency ratio d) Fixed asset

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Description : he ratio which is used to ascertain the soundness of the long term financial position is------------ a) Debt equity ratio b) Liquidity ratio c) Activity ratio d) Gross profit ratio

Last Answer : a) Debt equity ratio

Description : ---------------- ratio studies the firm’s ability to meet its long term financial position a) Liquidity ratio b) Profitability c) Activity d) Leverage

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Description : Income tax payable come under ------------------ a) Long term liability b) Long term fund c) Current liability d) Other liabilities

Last Answer : c) Current liability