Top 550+ Solved Management Accounting MCQ Questions Answer
Q. Powerful tool for analyzing financial statement is ----------
a. Trend analysis
b. Ratio analysis
c. Analysis
d. Interpretation
Q. The relationship between two amount or variables is measured with the help of ------------
a. Ratio
b. Trend
c. Comparative
d. Common size
Q. The main aim of the ratio analysis is to help the ----------of the firm
a. Owners
b. Officials
c. Departments
d. Management
Q. Ratios help the management in evolving market strategies through -----------
a. Inter firm comparison
b. Intra firm comparison
c. Ratios
d. None of the above
Q. Ratios may be used as a measure of -------------
a. Efficiency
b. Solvency
c. Profitability
d. None of the above
Q. An example of Balance Sheet ratio is ---------------
a. Net profit ratio
b. Inventory turn over ratio
c. Current ratio
d. Fixed asset turn over ratio
Q. Income statement ratios are also called -----------
a. Operating ratio
b. Liquidity ratio
c. Activity ratio
d. Trend ratio
Q. Leverage ratios are also known as -------------- ratios
a. Short term solvency ratios
b. Long term solvency ratios
c. Solvency ratio
d. Liquidity ratio
Q. The ratios that shows the capacity of the business unit to meet its short term obligation out of its short term resources is known as --------------
a. Solvency ratio
b. Leverage ratio
c. Liquidity ratio
d. Trend Ratio
Q. The ratio that highlight the end result of business activities are known as ---------------- ratios
a. Liquidity
b. Leverage
c. Activity
d. Profitability
Q. The efficiency of the management can be measured with the help of ------------------
a. Activity ratio
b. Leverage ratio
c. Liquidity ratio
d. Profitability ratio
Q. The ratio of current asset to current liability is known as --------------
a. Liquid ratio
b. Current ratio
c. Absolute liquid ratio
d. Turn over ratio
Q. The asset, the amount of which can be realized within a period of one year are known as ----------------
a. Current liability
b. Current asset
c. Liquid liability
d. Fixed asset
Q. The ratio which shows the relationship between borrowed funds and owners capital is ---------------
a. Proprietary ratio
b. Debt equity ratio
c. Capital gearing ratio
d. Fixed asset ratio