AFS Mid Term Set 1

Bottom up Investing Approach means?

• Company>Industry>Economy

• Economy>Company>Industry

• Industry>Company>Economy

• Company>Economy>Industry

How many quarters are there in a year?

• 1

• 2

• 3

• 4

Which financial statement provides a snapshot of a company's financial position at a specific point in time?

• Income Statement

• Balance Sheet

• Cash Flow Statement

• Retained Earnings

Which of the following is NOT an example of an operating expense?

• Rent Expense

• Cost of Goods Sold

• Interest expense

• Marketing expense

The formula for calculating Net Income is

• Total Assets - Total Liabilities

• Total Revenue - Total Expenses

• Total Revenue - Cost of Goods Sold

• Total Equity - Retained Earnings

Which of the following is NOT a component of shareholders' equity?

• Common Stock

• Retained Earnings

• Preferred Stock

• Accounts Payable

Which of the following is a cause of demand-pull inflation?

• Decrease in consumer spending

• Increase in government spending

• Decrease in money supply

• Decrease in production costs

Cost-push inflation occurs when

• Aggregate demand increases faster than aggregate supply

• The cost of production inputs increases, leading to an increase in prices

• The government increases taxes

• The central bank decreases the money supply

When was the Union Budget 2024 declared?

• February 01,2023

• February 01,2024

• February 05,2024

• March 03,2024

The debt-to-equity ratio is calculated as

• Total Debt / Total Equity

• Total Equity / Total Debt

• Total Assets / Total Equity

• Total Equity / Total Assets