Top 50+ Solved Financial Management For Marketing and Advertising MCQ Questions Answer
Q. Shareholders Wealth is calculate by which formula ?
a. total profit/ no of shares
b. no. of shares x market value per share
c. total assets - total long term liabilities
d. dividend paid to shareholders
Q. The minimum rate of return that a firm must earn in order to satisfy the expectations of its investor is called as ?
a. cost of capital
b. return on investment
c. business cpaital
d. finance
Q. If Companies Current assets are valued at Rs. 4,50,000 and current liabilies are valued at Rs. 3,00,000 then, What is the current ratio of the company ?
a. 1.5 : 1
b. 1:1.5
c. rs. 1,50,000
d. 0.6667
Q. Debtors turtnover ratio of Company 'A' is 30 days. Company 'B' from same industry has Debtor turnover ratio as 45 days. What does this indicate?
a. no. of debtors of company \a\ are less as compared to debtors of company "b"
b. turnover of company \a\ is more than that of company \b\
c. debtor recovery of company \a\ is better than company \b\
d. company \b\ is a loss making company
Q. If current liabilities of a company is Rs. 1,00,000 and working capital is Rs.2,50,000; What would be the amount of current assets of the company ?
a. rs. 1,50,000
b. rs. 2,50,000
c. rs. 1,00,000
d. rs. 3,50,000
Q. Simple Payback Method' is used in which kind of budgeting ?
a. sales budgeting
b. capital budgeting
c. production budgeting
d. cash budgeting
Q. By using the formula, [Opening Stock + Purchases - Closing Stock] what we get as a result ?
a. cost of goods sold
b. average cost
c. turnover
d. gross profit
Q. When Current Liabilities are deducted from Current Assets, we get ?
a. current ratio
b. cash balance
c. working capital
d. net assets
Q. From the given alternatives, Which is the exmple of Owed Fund ?
a. general reserves
b. right shares
c. 9% preference shares
d. 8% debentures