____________ is the amount invested by the owner of a business. (a) Cash (b) Money (c) Asset (d) Capital

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____________ is the amount invested by the owner of a business. (a) Cash (b) Money (c) Asset (d) Capital

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Description : I have a good amount of money invested into my 401k as a 26 year old. I'm thinking about just cashing it out and taking the loss of half the money i invested. Which kills me to think about this. But I'm afread ... it out? Or wait? I'm thinking I could loss more if I just left it in... Am I right?

Last Answer : Don't do it. A 401K is an investment that is meant to grow over time. Sometimes you lose sometimes you gain, but short of an economic disaster you will gain if you leave it alone. The tax you will ... pay on the money you withdraw will be yet another loss on top of the future gains you will losing.

Description : What is meant by 'Capital Gain'? (1) Part of profits added to the capital (2) Appreciation in the money value of assets (3) Additions to the capital invested in a business (4) None of these

Last Answer : (2) Appreciation in the money value of assets Explanation: A capital gain is a profit that results from a disposition of a capital asset, such as stock, bond or real estate, where the ... a capital gain represents an appreciation in value accruing over a prescribed period of time on the asset.

Description : What is meant by ‘Capital Gain’ ? (1) Part of profits added to the capital (2) Appreciation in the money value of assets (3) Additions to the capital invested in a business (4) None of these

Last Answer : Appreciation in the money value of assets

Description : Three friends A, B and C started a business by investing a sum of money in the ratio of 5 : 7 : 6. After 6 months C withdraws half of his capital. If the sum invested by A' is Rs 40,000, out of a total annual ... share will be a) Rs 9,000 b) Rs 12,000 c) Rs 11,000 d) Rs 10,000 e) None of these

Last Answer : Answer: A Sum invested by A , B and C is 5 * 12:7 * 12:6 * 6 + 3 * 6 or 60 : 84 : 54 or 10 : 14 : 9 :: Share of C = ( 9 / 33 ) * 33000 = Rs. 9000

Description : Capital : Output Ratio of a measures - (1) its per unit cost of production (2) the amount of capital invested per unit of output (3) the ratio of capital depreciation to quantity of output (4) the ratio of working capital employed to quantity of output

Last Answer : (2) the amount of capital invested per unit of output Explanation: Capital output ratio is the ratio of capital used to produce an output over a period of time. This ratio has a tendency to be ... its resources in lieu of capital to boost its output; hence the resulting capital output ratio is low.

Description : Capital output ratio of a commodity measures - (1) its per unit cost of production (2) the amount of capital invested per unit of output (3) the ratio of capital depreciation to quantity of output (4) the ratio of working capital employed to quantity of output

Last Answer : (2) the amount of capital invested per unit of output Explanation: Capital Output Ratio is the ratio of capital used to produce an output over a period of time. This ratio has a tendency ... order to increase the output. When countries use their natural resources instead of capital then COR reduces.

Description : The exemption under section 54 of the Income Tax Act, 1961 is available ___________. e) to the extent of capital gain invested in the house property f) proportionate to the net consideration price invested g) to the extent of amount actually invested h) to the extent of net consideration

Last Answer : to the extent of capital gain invested in the house property

Description : Capital output ratio of a commodity measures (1) its per unit cost of production (2) the amount of capital invested per unit of output (3) the ratio of capital depreciation to quantity of output (4) the ratio of working capital employed to quantity of output

Last Answer : the amount of capital invested per unit of output

Description : A and B entered into a partnership investing Rs. 16000 and Rs. 12000 respectively. After 3 months, A withdrew Rs. 5000 while B invested Rs. 5000 more. After 3 more months C joins the business with a capital of Rs. 21000 ... of Rs. 26400 after one year by A.Rs. 2400 B.Rs. 3600 C.Rs. 3000 D.Rs. 4800 

Last Answer : Answer: B (Rs. 3600) Explanation: A:B: C = 16000 x3 + 11000×9:12000 x 3 + 17000 x 9:21000 x 6 = 147:189:126 = 7:9:6 Difference of B and C’s shares = Rs. [26400 x (9/22) — 26400 x (6/22)) = Rs. 3600.

Description : 3 people A, B, C invested in a business in the ratio of 5:6:9. After 3months B withdraw half of her capital. If the Sum invested by A is 32000, then what is the profit earned by B at the end of the year out of the total profit of Rs. 48250? A) 17965.33 B) 70767.50 C) 46189.25 D) 10193.66

Last Answer : Answer: D) Let A, B, C put amounts be 5x,6x,9x respectively Then A's investment is 5x=32000=> x=Rs.6400 Then, B, C puts amount is Rs.38400 & 57600 =32000*12 : 38400 *3 +19200 * 9:57600*12 =>384000:288000:691200 =20:15:36 B’s profit is 48250* 15/71 =Rs. 10193.66

Description : A current asset is a. the last asset purchased by a business. b. an asset which is currently being used to produce a product or service. c. usually found as a separate classification in the income statement. d. an asset that a company expects to convert to cash or use up within one year.

Last Answer : d. an asset that a company expects to convert to cash or use up within one year.

Description : In a business P and R invested amounts in the ratio 2 : 1, whereas the ratio between amounts invested by P and Q was 3 : 2 . If Rs. 2,236 was their profit, how much amount did Q  receive ? A.Rs.650 B.Rs.688 c.Rs.588 D.Rs.490

Last Answer : Answer- B(Rs.688 ) Solution : P : Q = 3 : 2 , P : R = 2 : 1 [given] Q : P = 2 : 3 [reverse], Q : P = 4 : 6 [multiply by 2] Now, P : R = 2 : 1 P : R = 6 : 3 [multiply by 3] P : Q =6 : 4 [after x3] , So Q : P : R = 4 : 6 : 3 or, P : Q : R = 6 : 4 : 3 Q’s share= 4/13 x 2236=Rs.688

Description : P started a business in 1990 by investing Rs.25,000. She invested Rs. 10,000 as additional amount in 1991 and her friend Q joined her with an amount of Rs.35,000. P invested another Rs. 10,000 in 1992 and R joined them ... ,000. Find Q's share? a) Rs.50,000 b) Rs.65,000 c) Rs.75,000 d) Rs.15,000

Last Answer : Answer: A) P invested Rs.25,000 for 12 months, Rs.(25000 + 10000) for 12 months, , Rs.(25000 + 10000 + 10000) for 12 months. i.e., P invested Rs.25,000 for 12 months, Rs.35000 for 12 months Rs.45000 for 12 months. Q ... Q's share = Rs.(1,50,000 x 2 /(3+2+1)) = Rs.(1,50,000 x 2/6) = Rs.50,000

Description : Two friends M & N started a business Investing in the ratio of 6 :7 . O joined then after 6 months investing an amount equal to that of N. at the end of the year 30% profit was equal to 105000. What was the amount invested by O? A) 148484 B) 154326 C) 146738 D) 145783

Last Answer : Answer: A) Let the total profit be x Then 30% of x = 105000 X = 105000 * 100/30 X=350000 Let the capitals of M,N,O be Rs. 6x ,7x and 7x respectively. Then, (6x*12) + (7x *12) +(7x *6) = 350000*12 72x +84x +42x = 4200000 198x = 4200000 X=21212 O’s investment = Rs.148484

Description : Jaya and sona invested amount of Rs 10000 and Rs 5000 respectively in their business. What percentage of the share of the profit that should be given to Jaya such that ratio of income is equal for both at the end of year? A) 5 B) 7 C) 4 D) 6

Last Answer : Answer: C)  Ratio of invest of jaya & sona =10000:5000 =2:1  Income of both at end of year is equal, then  Income is divided into 50 parts. Income be 100%, then 1st part =25 ,2 nd part=25, Percentage=100/25=4%

Description : Two persons Ashok and Amit enter into a business. Ashok invests Rs 12500 in the first time and after 6months withdraws Rs 7000. Amit withdraws Rs 3000 after 8 months. Both have equal profit at the end of the year. What is the amount invested by Amit initially? A) 15000 B) 20000 C) 10000 D) 16000

Last Answer : Answer: C)  Ashok’s investment =12500*6+5500*6=108000  Amit’s investment=x*8+(x-3000)*4  108000=8x+4x-12000=>X=Rs 10000  Amount invest by Amit is Rs 10,000

Description : M and N invested in a work which M invest Rs 3015 more than N. N invested for 7 months while M invested for 5 months. If M gets Rs 425 more than N, out of a total profit of Rs 3400. Then the amount invested in the business by M approximately is, A) 6784 B) 6258 C) 7524 D) 7275

Last Answer : Answer: A)  Let investment of N be x  Profit of N be y  Investment of M is x+3015  Profit ratio of M&N is,  M:N =[x+3015]*5:x*7-------->(1)  Profit of M =425 +profit of N  Total profit =3400 =425 ... ---->(2)  153/119=(x+3015)*5/x*7  X=Rs.3769  M's investment =x+3015  =3769+3015  =Rs6784

Description : Mahesh and Devi invested Rs.20979 and Rs. 22977 respectively in a business. Devi being an active partner will get Rs.750 every month extra for running the business. In 18 months if Devi received a total amount ... profit earned by both in one and half years is, A) 26888. B) 22500. C) 22587 D) 25874

Last Answer : Answer: C) Profit ratio of Mahesh: Devi =20979 :22977=:21:23 Devi is an active partner will get Rs,750/month For 18 months ,she receives Rs.13500 Balance amount of Devi =18250 -13500 =Rs 4750 ... =4750/23 *21 =Rs.4337 Total profit earned by both in one &half years =18250+4337 =Rs 22587

Description : M and N invested in a business in which M invests Rs.385 more than N. N invested for 9months while M invested for 5months. If M get Rs.65 more than N out of profit of Rs.1350. Then then total amount invested in the business approximately is, A) 1452 B) 7413 C) 6298 D) 5778

Last Answer : Answer: B)  Let investment of M is X + 385  Let investment of N is X  Profit earned of M&N is,  M/N=(X+385)*5 /x *9-------> (1)  Profit of M =65 +profit of N  Total profit = 1350=65 + ... =(x + 385) *5/(x*9)  X =392.01  Total investment =(392+385)*5+(392*9)  =Rs.7413

Description : Where the asset is received as gift then cost of the asset will be a) Actual cost to previous owner b) Nominal Value c) WDV on date of receipt of gift d) None of the above

Last Answer : c) WDV on date of receipt of gift

Description : Naresh invested a certain amount of money in Rs. 100 shares at a discount of Rs. 20 paying a dividend of 7%, while Sahil invested an equal amount in R

Last Answer : Naresh invested a certain amount of money in Rs. 100 shares at a discount of Rs. 20 paying a dividend ... 10 paying a dividend of 8%. Who earns more ?

Description : A profitability index (PI) of .92 for a project means that . A. The project's costs (cash outlay) are (is) less than the present value of the project's benefits B. The project's NPV is ... is greater than 1 D. The project returns 92 cents in present value for each current rupee invested (cost)

Last Answer : C. The project's NPV is greater than 1

Description : What do ‘Cash Cows’ symbolize in The Boston Consulting Group's product portfolio matrix? a) Remain Invested b) Problem Child c) Stable Cash Flow d) Cash Traps

Last Answer : c) Stable Cash Flow

Description : Do you do start business loans. I have no collateral and I do not have money invested. Its just me and the idea for the store.?

Last Answer : No you can only get a business loan with something down.

Description : Rate of interest is determined by - (1) The rate of return on the capital invested (2) Central Government (3) Liquidity preference (4) Commercial Banks

Last Answer : (3) Liquidity preference Explanation: According to the classical view, rate of interest is determined by the interaction of supply of and demand for capital. Thus this theory is popularly called ... higher shall be the rate of interest. The liquidity preference constitutes the demand for money.

Description : Rate of interest is determined by - (1) The rate of return on the capital invested (2) Central Government (3) Liquidity preference (4) Commercial Banks

Last Answer : (4) Commercial Banks Explanation: Bank Rate is determined by the Reserve Bank of India. The rate of interest is determined by the commercial banks in India. As per RBI notification, banks are free to determine rates of interest subject to BPLR and spread guidelines.

Description : 'Marginal efficiency of capital' is - (1) expected rate of return on new investment (2) expected rate of return of existing investment (3) difference between rate of profit and rate of interest (4) value of output per unit of capital invested

Last Answer : (1) expected rate of return on new investment Explanation: The volume of investment depend upon the following two factors: (1) rate of interest: and (2) marginal efficiency of capital. Before ... partly on expectations of future yields and partly on the actual price of the capital good concerned.

Description : Rate of interest is determined by (1) The rate of return on the capital invested (2) Central Government (3) Liquidity preference (4) Commercial Banks

Last Answer : Liquidity preference

Description : ‘Marginal efficiency of capital’ is (1) expected rate of return on new investment (2) expected rate of return of existing investment (3) difference between rate of profit and rate of interest (4) value of output per unit of capital invested

Last Answer :  expected rate of return on new investment

Description : R, an assessee carries on business in respect of which it holds tenancy rights. It carries out improvements to the said building at a cost of Rs. 2 lakhs and claims depreciation @ 10% thereon. Which one of ... Deduction will be allowed of Rs. 2 Lakh d) The amount of Rs.2.2 lakh will be capitalized

Last Answer : b) Depreciation will be allowed of Rs.20 thousand

Description : Is cash float a current asset or a non current asset?

Last Answer : Need answer

Description : With regard to the rate of return on investment (ROI), which one of the following statements is not valid ? (A) It is an overall indicator of the profitability of an enterprise (B) It is a ... superior measure compared to the cash flow generated per share (D) It was first developed by Dupont, USA

Last Answer : Answer: It is a superior measure compared to the cash flow generated per share

Description : Which of the following is an example of an intangible asset ? 1. building 2. machinery 3. patent 4. cash 5. None of these

Last Answer : patent

Description : Which of the following methods is included in ‘Asset based approach’ (cost-based approach)? a) Comparable Companies’ Multiple Method b) Replacement Method c) Earnings Capitalization Method d) Discounted Cash Flow Method

Last Answer : b) Replacement Method

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 : Cash from operations is equal to------------------ a) net profit afer tax b) net profit plus increase in current asset c) net profit plus decrease in current liabilities d) net profit plus non-cash expenses plus decrease in current

Last Answer : d) net profit plus non-cash expenses plus decrease in current

Description : Rahul invested a certain amount in buying Rs. 25 shares of a company, which pays a dividend of 12%. If the earns 10% per annum on his investment, then

Last Answer : Rahul invested a certain amount in buying Rs. 25 shares of a company, which pays a dividend of ... , then find the market value of each share.

Description : Determine the amount that is to be invested in Rs.200 shares available at a premium of Rs.40, so that the annual income earned is Rs.4800 from the inv

Last Answer : Determine the amount that is to be invested in Rs.200 shares available at a premium of Rs.40, ... the investment if the dividend offered is `12%`.

Description : The amount invested in Kisan Vikas Patra(KVP) would get doubled in ________ months. A. 100 B. 105 C. 110 D. 115

Last Answer : C. 110 Explanation: The amount invested in Kisan Vikas Patra would get doubled in 110 months or nine years and two months. The interest rate of KVP is 7.8 per cent annually.

Description : Minimum amount that can be invested in Kisan Vikas Patra(KVP) Certificate is _________ A. Rs.100 B. Rs.200 C. Rs.500 D. Rs.1000

Last Answer : D. Rs.1000 Explanation: KVP certificates are available in the denominations of Rs 1000, Rs 5000, Rs 10000 and Rs 50000. The minimum amount that can be invested is Rs 1000. However, there is no upper limit on the purchase of KVPs.

Description : Mr. Xavier invested a certain amount in Debit and Equity funds in the ratio of 4 : 5 respectively. At the end of one year, he earned a total dividend of 30% on his investment. After one year he reinvested the amount including ... . 81,000/- (c) Rs. 60,000/- (d) Rs. 65,000/- (e) None of these

Last Answer : (a) Rs. 75,000/-

Description : An investor invested Rs. 5 lakhs in Company Q in 1996. After one year, the entire amount along with the interest was transferred as investment to Company P in 1997 for one year. What amount will be received from Company P, by ... . 5, 80,425 C. Rs. 5, 77,800 D. Rs. 5, 77,500 E. None of these

Last Answer : B. Rs. 5, 80,425

Description : An investor invested a sum of Rs. 12 lakhs in Company P in 1998. The total amount received after one year was re-invested in the same Company for one more year. The total appreciation received by the investor on his investment ... 2, 42,200 C. Rs. 2, 25,600 D. Rs. 2, 16,000 E. None of these

Last Answer : C. Rs. 2, 25,600

Description : In 2000, a part of Rs. 30 lakhs was invested in Company P and the rest was invested in Company Q for one year. The total interest received was Rs. 2.43 lakhs. What was the amount invested in Company P? A. Rs.9 lakh B. Rs.11 lakh C.Rs. 12 lakh D.Rs.18 lakh E. None of these

Last Answer : D.Rs.18 lakh

Description : In a company M and O invested amount in the ratio 3 : 2 whereas the ratio between amounts invested by M and N was 4 : 3. If Rs.1,80,000 was their profit, how much did N receive?(calculate approximate value) A) 75432 B) 74483 C) 76854 D) 76443

Last Answer : Answer: B) M : O = 3:2 O: M= 2:3 = 8:12 M:N = 4 :3 =12:9 O:M:N = 8:12:9 Therefore N’s share = Rs (1,80,000 * 12/29) =Rs(2160000/29) = Rs.74483(approx.)

Description : In a work A and B invested amounts in the ratio 7:9, whereas the ratio between amounts invested by A and C was 5:11. If Rs. 12750 was their profit, how much amount did B gained? a) 2546 b) 2475 c) 2842 d) 2656

Last Answer : Answer: C)  A &B ratio =7:9 B & A post ratio = 9:7 A & C post ratio=5:11 A:B:C = 45:35:77 Amount received by B =35/157*12750=Rs.2842

Description : Three partners A, B, C invest a total sum of Rs,114000. At the end of the year A gets Rs 6000 and B gets 5000 and C gets Rs 8000 as profit. Find the average amount invested by A and C. A) 46677 B) 42000. C) 53000. D) None

Last Answer : Answer: B)  Profits of A,B &C is 6000,5000, 8000 rupees  Ratio of their profits is, A:B:C =6:5:8 Investment of A,B,C be 6x,5x,8x 6x+5x+8x=114000 =>x=6000 Average amount invested by A &C is 6000/2 *14 =Rs.42000

Description : Sole trading" has ____________ owner(s) 1. One 2. Two 3. More than 3 4. More than 10 5. None of these

Last Answer : One