Top 250+ Solved Analysis of Financial Statements MCQ Questions Answer
Q. Which of the following is not included in current assets.
a. debtors
b. stock
c. cash at bank
d. cash in hand
Q. Liquidity ratios are expressed in
a. pure ratio form
b. percentage
c. rate or time
d. none of the above
Q. Working capital turnover ratio can be determined by :
a. ( gross profit / working capital )
b. ( cost of goods sold / net sales )
c. ( cost of goods sold / working capital)
d. none of the above
Q. Determine Working capital turnover ratio if, Current asset is Rs 1,50,000, current liability is Rs 1,00,000& cost of goods sold is Rs 3,00,000.
a. 5 times
b. 6 times
c. 3 times
d. 1.5 times
Q. Profit for the objective of calculating a ratio may be taken as
a. profit before tax but after interest
b. profit before interest &tax
c. profit after interest & tax
d. all the above
Q. If sales is Rs 5,00,000 & net profit is Rs 1,20,000 Net profit ratio is
a. 24%
b. 41%
c. 60%
d. none of the above
Q. Determine stock turnover ratio if, Opening stock is Rs 31,000 , Closing stock is Rs 29,000, Sales is Rs3,20,000 & Gross profit ratio is 25% on sales.
a. 31 times
b. 11 times
c. 8 times
d. 32 times
Q. The ratios which reveal the final result of the managerial policies and performance is .
a. turnover ratios.
b. profitability ratios.
c. short term solvency ratio.
d. long term solvency ratio.
Q. Return on investment is a
a. turnover ratios.
b. short term solvency ratio.
c. profitability ratios.
d. long term solvency ratio.
Q. Net profit ratio is a .
a. turnover ratio.
b. long term solvency ratio.
c. short term solvency ratio
d. profitability ratio.
Q. Stock turnover ratio is a .
a. turnover ratio.
b. profitability ratio.
c. short term solvency ratio.
d. long term solvency ratio.
Q. Current ratio is a
a. short-term solvency ratio.
b. long-term solvency ratio.
c. profitability ratio.
d. turnover ratio.
Q. Proprietary ratio is a
a. short-term solvency ratio.
b. long-term solvency ratio.
c. profitability ratio.
d. turnover ratio.