Class 12 Business Studies Chapter 9 Financial Management Quiz 7 (60 MCQs)

Quiz Instructions

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1. The set of financial activities that support the OPERATIONS of a business is best described by which main area of finance?
2. What is crucial for safeguarding funds?
3. What does the term "time value of money" imply?
4. What annual rate of return must you earn to double your money in about 9 years? Use the Rule of 72 to determine your answer.
5. Business finance is a part of
6. Working Capital= Current Assets
7. It corresponds to an indicator that defines how many products or services have been produced for each of the resources used in their production (labor, time and capital, among others) within a determined period.
8. .... is also called as opportunity Cost.
9. There is ..... relation between operational expenditures and debt financing
10. Malik receives a pocket money of RM 150 every month from his father. He wants to buy a laptop with the price of RM 2 300 and his father agrees to pay 20% of the laptop's price. Calculate the duration of time needed by Malik to buy the laptop if he saves RM 80 every month from his pocket money.
11. All fixed assets and part of the permanent will be financed by long-term financing. The statement is best described for .....
12. Shares issued to the promoters of a company
13. Which of the following statement is false?a. Horizontal analysis is used in the review of a company's financial statements over multiple periods.b. Horizontal analysis usually depicts percentage growth over the same line item in the base year.c. Horizontal analysis does not allow financial statement users to easily spot trends and growth patterns.
14. Issuance of bonds to obtain cash
15. What would happen if your expenses are greater than your income?
16. The income statement begins with revenue and subtracts various operating expenses until arriving at Earnings Before Interest and Taxes. Next, interest expense is subtracted to find the taxable income for the period. Then the appropriate taxes are calculated and subtracted. We finally arrive at the ..... , the so-called bottom line of the income statement.
17. .Long term finance is required for .....
18. Long-term financial objectives are:
19. Are the following statements true or false? True False 1. Cash flow forecasting is primarily the responsibility of financial reporting. 2. Whether to undertake a particular new project is a financial management decision.
20. Other term for working capital
21. With the help of financial planning capital can be made available at ..... cost.(a) (b) (c) (d)
22. When considering each financial decision alternative or possible action in terms of its impact on the share price of the firm's stock, financial managers should accept only those actions that are expected to increase the firms profitability.
23. Criteria that measures how quickly project will return its original investment is?
24. Used to borrow money to gain something you cannot afford at one time
25. The cash conversion cycle is:
26. Dividend decisions involve
27. In the grocery store, the food displays at the end of the aisle are the best buys.
28. Current assets of a business firm should be financed through:
29. What is a common financial ratio used to assess liquidity?
30. Hal mana yg tidak termasuk dalam working capital?
31. ARP is a charity providing transport for people visiting hospitals.Which of the following performance measures would BEST fit with efficiency in a value for money review?
32. What is the value of the firm usually based on?
33. Prinsip investasi adalah?
34. What is the purpose of investment analysis?
35. Cash flow from assets is derived from .....
36. Employees Provident Fund is an example of a financial institution.
37. What percentage of income does the 40-30-20-10 rule allocate to savings?
38. Return on investment is computed as?
39. .... maintains the foreign exchange reserves in India?
40. If for the next 40 years you place $ 3, 000 in equal year-end-deposits into an account earning 8% per year, how much money will be in the account at the end of that time period?
41. Money invested in a business in return for a share in the profits from the business.
42. Reason for time value of money
43. Net pay is the pay you receive each pay period
44. Why are financial statements important for entrepreneurs?
45. The ..... model is usually considered the best of the capital budgeting decision-making models.
46. Factoring deals with .....
47. Progressive tax rate schedule, average tax rate:tax divided by the pretax income
48. Efficient management of every business is closely linked with efficient management of its finances.
49. If an SME's quick ratio is significantly lower than its current ratio, what might be a potential concern?
50. Four years ago, Robert's annual salary was $ 52, 500. Today, he earns $ 73, 800. What has been the average annual rate of growth of Robert's salary?
51. How much is Puan Soffia's monthly saving if she wanted to pay the down payment(10%) for a RM650, 000 house in five years?Berapakah simpanan bulanan yang perlu Puan Soffia simpan jika dia ingin membayar wang pendahuluan (10%) untuk sebuah rumah yang bernilai RM 650, 000 dalam tempoh masa 5 tahun?
52. Reena is a government employee, for which she gets a handsome package, accommodation & conveyance. Identify the different types of family income of her.a. Money incomeb. Indirect incomec. Psychic incomed. Direct income
53. Sale of land from book value
54. Purchased from the post office or other outlets and used to pay for goods, services or debts
55. The financial objectives in terms of decision criteria may be:
56. Ratios that measure the ability of the firm to pay its long-term financing and the extent of a firm's financing.
57. What is an agreement between a lender and a borrower, who promises to repay the lender at a later date, with interest?
58. The time value of money means that money today is generally worth more than the same amount in the future
59. Effective Working Capital Management is primarily concerned with:
60. The government finance which includs the principles and practices relating to the Procurement and management of funds for Central Government, and Local bodies is known as: