Top 150+ Solved Accounting for Managerial Decisions MCQ Questions Answer
Q. To arrive at funds from operation ,non-cash expenses must be added to----------
a. Net profit
b. Gross profit
c. Operating profit
d. None of these
Q. Fund flow statement is accompanied by a schedule of-----------------------------
a. Changes in working capital
b. Flow of funds
c. Increase in fund
d. Decrease in fund
Q. Goods purchased on credit-----------inflow of funds
a. Does not result
b. Does result
c. Change
d. None of these
Q. ----------account is prepared to know funds from operation
a. Profit & Loss appropriation account
b. Profit and loss account
c. Trading account
d. Profit & Loss adjustment account
Q. Increases in current liabilities --------------working capital
a. Increase
b. Decreases
c. Added
d. None of these
Q. Increase in current assets-------------working capital
a. Increases
b. Decreases
c. Deducts
d. Reduces
Q. Decrease in current liabilities --------------------working capital
a. Increases
b. Decrease
c. Deducts
d. Reduces
Q. Net increase in working capital results in----------------of funds
a. sources
b. inflow
c. no change
d. application
Q. Net decrease in working capital results in --------------------of funds
a. Source
b. Application
c. No change
d. None of these
Q. -------------------means transfer of economic value of firm from one asset or equity to another.
a. Flow of funds
b. Uses of fund
c. Inflow of funds
d. Application of funds
Q. In the fund flow statement, depreciation is----------------
a. Deducted from net profit
b. Added to net profit
c. Sources of working capital
d. Ignored
Q. Which of the following will affect the flow of fund
a. a transaction affecting current and non-current accounts
b. a transaction affecting both non-current accounts
c. a transaction affecting both current accounts
d. both a) and b)
Q. Which of the following is an application of fund
a. Sale of plant
b. Issue of shares
c. Purchase of funds
d. Payment of creditors