1. ______________ is a summary of all transactions relating to particular account.
a) Balance sheet
b) Trial Balance
c) Ledger
d) Journal
2. Amount of salary paid to Suresh should be debited to ____________
a) Account of Suresh
b) Salaries account
c) Cash account
d) Outstanding expenses
3. Modern Method of Accounting was introduced by
a) M. S. Gosav
b) Wheldon
c) LucoPacioli
d) R. N. Carter
4. If a company has contingent liabilities, they appear in the ______________
a) Balance Sheet
b) Director’s Report
c) Foot note down the balance sheet
d) Chairman’s report
5. The use of management accounting is
a) Compulsory
b) Optional
c) Obligation
d) Statutory requirement
6. Financial account state the ______________ position of a concern.
a) Financial
b) Economic
c) Non financial
d) None of these
7. Which group of ratios relates profits to sales and investment?
a) Liquidity ratios
b) Debt ratios
c) Coverage ratios
d) Profitability ratios
8. Process that involves decision making with respect to investment in fixed asset
a) Valuation
b) Breakeven analysis
c) Capital budgeting
d) Material management decision
9. When a Bond's Yield to Maturity is greater than the Bond's Coupon Rate, the Bond
a) Is selling at a Premium
b) Has reached its Maturity Date
c) Is priced at Par
d) Is selling at a Discount
10. The ______________ is a common term for the market consensus value of the required return on a
stock.
a) Dividend payout ratio
b) Intrinsic value
c) Market capitalization rate
d) Plowback rate