Top 150+ Solved Advanced Financial Management 2 MCQ Questions Answer
Q. Which one of the following is the Regulator of the Credit Rating Agencies in India?
a. RBI
b. SBI
c. SIDBI
d. SEBI
Q. ‘Where Got’ Where Gone’ Statement is also known as
a. Balance Sheet
b. Profit and Loss Statement
c. Funds Flow Statement
d. Capital Budget
Q. Operating Loss is a
a. Application of Fund
b. Source of Fund
c. Loss of Assets
d. None of the Above
Q. Public Deposit accepted by a company represents
a. Use of Fund
b. Source of Fund
c. Application of Fund
d. Equilibrium
Q. Redemption of Debenture by a company represents
a. Application of Fund
b. Source of Fund
c. Loss of the Company
d. None of the Above
Q. Only Current Assets and Current Liabilities are shown in the statement showing
a. Changes in Assets
b. Changes in Liabiliteis
c. Changes in Working Capital
d. Changes in Fixed Capital
Q. Decrease in Working Capital Denotes
a. Application of Fund
b. Source of Fund
c. Disposition of Fund
d. Operating Loss
Q. Which one of the following is not an Application of Fund?
a. Purchase of Fixed Assets
b. Repayment of Loans
c. Operating Loss
d. Operating Profit
Q. When liability decreases it is a ________
a. Source of Funds
b. Profit
c. Application of Funds
d. Loss
Q. Loss on sale of Fixed Assets / Investment will be shown on the credit side of adjustedprofit and loss account.
a. True
b. False
c. none
d. none
Q. The proposed dividend for the Current Year would appear on the debit side of whichaccount?
a. Profit and Loss Account
b. Balance Sheet
c. Adjusted Profit and Loss Account
d. Adjusted Balance Sheet
Q. If the shares are issued at a premium during the year then the amount of premiumreceived will appear as a _______
a. Source of Fund
b. Application of Fund
c. Profit
d. Loss
Q. If we want to prepare the funds flow statement, we should have
a. Balance sheets of two consecutive years
b. Funds flow statements of two consecutive years
c. Budget for next financial year
d. All of the Above
Q. Last year’s proposed dividend has been paid during the current year and hence will beshown as________
a. A source of funds
b. An application of funds
c. Increase in liabilities
d. None of the above