Top 80+ Solved Analysis & interpretation of financial statement MCQ Questions Answer
Q. __________ analysis is the process of studying a series of ratios for a companyand/or industry over time.
a. dupont
b. trend
c. common size
d. all of the above
Q. The most precise test of liquidity is
a. quick ratio
b. current ratio
c. absolute liquid ratio
d. none of the above
Q. Debt-equity ratio is a sub-part of
a. short-term solvency ratio
b. long-term solvency ratio
c. debtors turnover ratio
d. none of the above
Q. Quick ratio is 1.8:1, current ratio is 2.7:1 and current liabilities are Rs 60,000.Determine value of stock.
a. rs 54,000
b. rs 60,000
c. rs 1, 62,000
d. none of the above
Q. Funds flow statements are prepared so as to
a. to identify the changes in working capital
b. to identify reasons behind change in working capital
c. to know the item-wise outflow of funds during given period
d. all of the above
Q. Net Profit ratio is calculated by
a. (gross profit/gross sales) *100
b. (gross profit/net sales) *100
c. (net profit/net sales) *100
d. none of the above
Q. If sales is Rs 5, 00,000 and net profit is Rs 1, 20,000 Net Profit ratio is
a. 24%
b. 41%
c. 60%
d. none of the above
Q. Operating ratio is calculated by
a. (operating cost/gross sales) *100
b. (operating cost/gross sales) *100
c. (operating cost/net sales) *100
d. none of the above