Top 150+ Solved Accounting for Managerial Decisions MCQ Questions Answer
Q. Cost of good sold+operating expanses=-------------------------
a. Total cost
b. Cost of product
c. Cost of sales
d. Operating cost
Q. Example of activity ratios ------------------------
a. Gross profit ratio
b. Net profit ratio
c. Operating ratio
d. Stock turn over ratio
Q. Example of leverage ratio
a. Debtors velocity
b. Stock turnover ratio
c. Current ratio
d. Solvency ratio
Q. Current ratio is an example of --------------------
a. Leverage ratio
b. Liquidity ratio
c. Activity ratio
d. Turnover ratio
Q. Stock turn over ratio is an example of -------------------
a. Liquidity ratio
b. Leverage ratio
c. Profitability ratios
d. Activity ratios
Q. Ratio analysis is a study of relationship among various --------------- factors in a business
a. Operational
b. Official
c. Financial
d. Others
Q. Liquidity ratios measure the --------- solvency of a firm
a. Long term
b. Short term
c. Average
d. Others
Q. By computing current ratio ---------------- solvency of a concern is assessed
a. Short term
b. Long term
c. Liquidity
d. Profitability
Q. ---------------- ratio studies the firm’s ability to meet its long term financial position
a. Liquidity ratio
b. Profitability
c. Activity
d. Leverage
Q. Operating ratio establishes the relationship between --------------- and net sales
a. Cost of goods sold
b. Cost of sales
c. Cost of production
d. Operating cost
Q. For dividend yield ratio -------------- price of the equity shares is taken into consideration
a. Market
b. Cash
c. Cost
d. None of the above
Q. Coverage of fixed assets by shareholder’s equity is a good tests of----------------
a. solvency
b. liquidity
c. Activity
d. profitability
Q. Net worth refers to owner’s--------------------------
a. Equity
b. Solvency
c. Liability
d. None of these
Q. Ratio to assess the short term debt paying capacity of a firm is----------
a. Debt equity ratio
b. Propriety ratio
c. Liquid ratio
d. Solvency ratios