Advanced Questions - Section 7

11:  

Match the following

Part-1                                          Part-II

(A) Total Debt Ratio                    (i) Total Debt/Capital Employed

(B) Debt-Equity Ratio                  (ii) Total Debt/Net Worth

(C) Total Capital - Equity Ratio   (iii) Capital Employed/Net Worth

(D) Interest  Coverage Ratio       (iv) EBIT/Interest

A.

Code:

(a) (b) (c) (d)

(i) (ii) (iii) (iv)

B.

Code:

(a) (b) (c) (d)

(ii) (i) (iii) (iv)

C.

Code:

(a) (b) (c) (d)

(i) (ii) (iv) (iii)

D.

Code:

(a) (b) (c) (d)

(i) (iii) (iv) (ii)

 
 

Option: B

Explanation :

Click on Discuss to view users comments.

Write your comments here:



12:  

Which test we normally apply for Qualitative data?

A.

‘t’ test

B.

'F' test

C.

x2 chi-square test

D.

‘z’ test

 
 

Option: A

Explanation :

Click on Discuss to view users comments.

Write your comments here:



13:  

Consider the following steps in the process of Capital Budgeting

(i) Identification of investment proposals.

(ii) Fixing priorities.

(iii) Evaluation of various proposals.

(iv) Selection and preparation of Capital Budgets.

(v) Implementation.

(vi) Performance Review.

Which of the sequence of these steps is correct

A.

(i) (ii) (iii) (iv) (v) (vi)

B.

(ii) (i) (iii) (iv) (v) (vi)

C.

(i) (iii) (ii) (iv) (v) (vi)

D.

(i) (iv) (iii) (ii) (v) (vi)

 
 

Option: C

Explanation :

Click on Discuss to view users comments.

Write your comments here:



14:  

Historical data shows the following is the correct ordering of returns on financial securities (from highest to the lowest).

A.

Treasury Bills, Government Bonds, Corporate Bonds, Common Stocks.

B.

Corporate Bonds, Common Stocks, Government Bonds, Treasury Bills.

C.

Common Stocks, Corporate Bonds, Government Bonds, Treasury Bills.

D.

Common Stocks, Government Bonds, Corporate Bonds, Treasury Bills.

 
 

Option: D

Explanation :

Click on Discuss to view users comments.

Write your comments here:



15:  

How are the following items arranged in the liability side of the Balance Sheet of a Company?

(i) Current Liability and Provisions

(ii) Secured Loans

(iii) Share Capital

(iv) Unsecured Loans

(v) Reserve and Surplus

A.

(i) (ii) (iii) (iv) (v)

B.

(iii) (i) (ii) (iv) (v)

C.

(iii) (v) (ii) (iv) (i)

D.

(iii) (v) (ii) (i) (iv)

 
 

Option: D

Explanation :

Click on Discuss to view users comments.

Write your comments here: