Font size
WorksheetsFinopedia 2.0
Total questions: 45
Worksheet time: 21mins
1. Investment can be defined.
Person’s dedication to purchasing a house or flat
Use of capital on assets to receive returns
Usage of money on a production process of products and services
Net additions made to the nation’s capital stocks
A ________________ is a type of credit score created by the Fair Isaac Corporation. Lenders use borrowers' these scores along with other details on borrowers' credit reports to judge how much the borrower can be trusted to pay back money owed based on their payment history
Debt
Loan
FICO score
Net Income
The inability of a business to meet its fixed financial obligations, like payment of interest, is known as
Business risk
Financial risk
Long-term risk
Market risk
This decision is about the quantum of finance to be raised from various long-term sources.
Investment decision
Financing decision
Dividend decision
Capital budgeting decision
In a financial market, the price to borrow money is called the?
Deposit
Interest Rate
Credit
Cost
The formula to calculate future value.
FV= (P+i)^n
FV= P(1+i)^n/m
FV= P(1+i)^n
FV= P/(1+i)^n
Which of following does not a type of direct foreign investment?
Franchising
International trade
Joint ventures
Acquisition of existing operators
Purchase of treasury stock
Investing Activities
Financing Activites
Operating Activities
The first step in implementing target pricing and target costing is
choosing a target price
determining a target cost.
developing a product that satisfies needs of potential customers.
performing value engineering
In activity based costing, a cost driver is:
an overhead cost
a direct product cost
a resource consuming activity that causes overheads
a variable cost
Which one of the following is not a limitation of cost accounting?
a. Cost of installation of costing system is very high.
b. Difficult to be implemented by small business concerns.
c. Involves an element of judgement or estimation.
d. Cost accounting is not a pure science but is an art.
Statements A & C
Statement D only
Statements B & D
None of the above
Which of the following statements are correct.
a. Prime cost is the total of direct wages and variable overheads.
b. Abnormal cost is uncontrollable.
c. Contract costing method is used in ship building.
d. Cost accounting is a techinique of managerial control.
All statements are correct
Statements A , C & D are correct
Except statement 'C' is correct
Only statements 'C' & 'D' are correct
Under Halsey Plan, the bonus is paid at a fixed percentage of time saved is
40%
20%
30%
50%
What is NOT one of the benefits of budgeting
Planning ahead
Knowing the future will always be correct
Creating early warning system
Motivating personnel
A and B are Partners .A drew Rs 20000 .If the rate of Interest on Drawing is 5% per annum then (a) will amount of interest on drawing.
According to the Garner Vs. Murray rule Capital deficiency of insolvent partner will have to borne by remaining solvent partner--------.
(a)
Which institution is responsible for the overall supervision and regulation of pension in India?
RBI
SEBI
IRDA
PFRDA
It is part of a Debit Card or Credit Card which stores and protects cardholder data.
Card Number
Payment Network Logo
Signature Panel
EMV Chip
RTGS is a real-time gross settlement. What does gross settlement mean?
Transactions are processed in batches with other transactions.
Transactions are processed on one to one basis bunching with other transactions
Transactions are processed on one to one basis without bunching with other transactions.
None of the above
EBIT stands for
Earnings before Interest and Tax
Earnings before Interest and Tariff
Earn before Interest and Tax
Earnings before Investment and Tax
Break-even point is that level of sales revenue at which there is ________
(A) Profit
(B) Loss
(C) No profit no loss
(D) None of the above
External sources of funds are
(A) Funds from long term loans
(B) Sale of fixed assets
(C) Both (A) and (B)
(D) None of the above
IF THE SALES OF A FIRM IS RS 10,00,000 AND CONTRIBUTION IS RS 2,00,000 THEN VARIABLE COSTS ARE
RS 5,00,000
RS 8,00,000
RS 12,00,000
RS 20,00,000
The management of money and financial decisions for a person or family including budgeting, investments, retirement planning and investments is...
Investment
Personal Finance
Economics
Savings
______________ money paid by the borrower for the use of money that was loaned to him/her
Interest
Debt
Loan
Income
Under which of the following circumstances a company is NOT likely to declare a higher dividend?
When the earnings of the company are high
When a company has a lucrative forthcoming business opportunity(Growth opportunity )
When the cash flow position of the company is strong
None of the above
A company is likely to declare higher dividends if
Tax rates are high
Tax rates are relatively lower
Tax rate has no effect on dividend declaration
None of the above
This is a legal business entity created by the government.
Sole Proprietorship
Partnership
Corporation
Cooperative
What is the compound value if you invest Rs. 1,000 at 10% for 3 years?
Rs. 1,331
Rs. 133.1
Rs. 13.31
Rs. 1.331
GROSS PROFIT IS :
COST OF GOODS SOLD + OPENING STOCK
EXCESS OF SALES OVERCOST OF GOODS SOLD
SALES FEWER PURCHASES
NET PROFIT FEWER EXPENSES OF THE PERIOD
Current ratio indicates ……………..
Long term solvency
Profitability
Ability to meet short term obligations
Efficiency of management
An amount of money that is paid back within an agreed amount of time, with interest
Bank loan
Angel investment
Overdraft
Retained profit
Financial markets may either be depositary or non-depositary.
(true or false)
(a)
GAAP stands for?
Generally Accepted Accounting profit
Generally Accepted Accounting Principles
Globally Accepted Assessment Procedure
None of the above
Which of the following assets is not considered as current asset?
Stock
Furniture
Cash
Goodwill
The basic format of an income statement is
Sales - Expenses = Profits
Income - Expenses = EBIT
Sales - Liabilities = Profits
Assets - Liabilities = Profits
This Act shall be known as the "Economic and Financial Literacy Act"
Republic Act No. 10066
Republic Act No. 10665
Republic Act No. 10922
Which of the following is not a financial investment?
Purchase of debenture
Purchase of car
Purchase of machine
Purchase of bond
Which of the following is an example of a cash outflow?
Interest Received
cash from trade receivable
Fresh injection of capital
Payment for raw materials
