ADM July 2023-Quiz 2

What does "close" mean in a share market table?

• The opening price of a share for the day
• The highest price of a share for the day
• The lowest price of a share for the day
• The final price of a share for the day

Which of the following best describes the primary objective of General Purpose Financial Report?

• Providing detailed operational information to internal management for decision-making
• Presenting financial information for specific regulatory compliance purposes.
• Communicating financial information to external users for making informed economic decisions.
• Sharing confidential financial data exclusively with shareholders.

Which of the following is a key general performance indicator used to gauge the overall performance of Germany's share market?

• NASDAQ Composite Index
• FTSE 100 Index
• Nikkei 225 Index
• DAX 30 Index

What does "move" indicate in a share market table?

• The change in price of a share from the previous day's closing price
• The change in volume of shares traded from the previous day
• The change in the company's net income from the previous year
• The change in the company's market capitalization from the previous quarter

What does "dividend yield" indicate in a share market table?

• The percentage of net income paid out to shareholders in the form of dividends
• The total value of dividends paid out to shareholders during a specific period
• The percentage change in the company's stock price over a period of time
• The amount of annual dividends per share divided by its stock price

Which of the following is a primary responsibility of a financial accountant?

• Developing financial strategies
• Conducting cost analyses
• Preparing financial statements for external stakeholders
• Researching tax laws and regulations

How can a tax accountant assist individuals and businesses?

• By conducting internal audits to assess compliance
• By providing advice on cost reduction strategies
• By researching and analyzing tax laws and regulations
• By developing financial strategies to achieve business goals

Which of the following financial alternatives is typically considered the least risky?

• Speculative shares
• Dot.com company shares
• Fixed deposits
• Blue chip company shares

What is a blue chip company?

• A company that has a high market capitalization and is considered a leader in its industry
• A company that has a low market capitalization and is considered a start-up
• A company that is involved in speculative investments
• A company that is involved in high-risk ventures

What is a dividend?

• A payment made by a company to its shareholders as a distribution of profits
• A payment made by a shareholder to a company as a loan
• A payment made by a company to its creditors as an interest payment
• A payment made by a company to the government as a tax payment