Accounting Ratios

Accounting Ratios

12th Grade

22 Qs

quiz-placeholder

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Accounting Ratios

Accounting Ratios

Assessment

Quiz

Other

12th Grade

Practice Problem

Hard

Created by

Meena Thakur

Used 81+ times

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22 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the accounting standard governing accounting ratios?

IAS 2

IFRS3

IFRS 10

There is no standards for ratios

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

The expenses to sales ratios for a business improved over the years. Which one of the below action most probably done to achieve the above results?

Reduction in distribution costs

Tax rebates

Repayment of loans

None of the above

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

what is the definition of capital employed for public limited companies?

Equity Capital + Reserves

Equity capital+ PSC + Reserves

Equity capital+PSC+Reserves+NCL

Equity Capital only

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

The following ratio is affected by Net Profit Margin and Asset Turnover....

Returns on equity

ROCE

Returns on shareholders fund

None of the above

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the optimum ratio suggested for current ratio?

1:1

1:2

4:1

2:1

6.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Gearing ratio and interest cover are normally used to measure.......

Profitability

Earnings capability

Long Term Risk

Short term Rick

7.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

In order to calculate the EPS, the shares to be used must be......

Equity and preference shares

Preference shares only

Equity shares only

None of the above

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