31.
The return on investment (ROI) may be calculated as
a
Return on Investment /Net profit ratio
b
( Net profit - preference dividend ) / No. of equity shares
c
Net profit before interest, tax and dividend / Capital employed
d
Net profit after interest, tax and dividend / Shareholder's fund
32.
Unabsorbed depreciation which could not be set off in the same assessment year, can be carried forward for
33.
Which of the following suggestions would improve the ratio?
a
To pay a current liability
b
To purchase stocks for cash
c
To borrow money on an interestbearing promissory note
d
To give an interest-bearing promissory note to a creditor to whom money was owed on current account
34.
YTM of a Bond is not affected by
35.
When one country provides most favored nation status (normal trade relations) for another, it agrees to
a
exports to that nation any products that it wants to purchase
b
charge that nation's products a lower tariff than any other nation's
c
charge that nation's products a higher tariff than any other nation's
d
charge that nation's products a tariff rate no higher than that on any other nation
36.
Capital Budgeting Decisions are based on
37.
Which of the following statement is not correct in relation to cash discount?
a
Cash discount is recorded in account books
b
Cash discount is an allowance in addition to the trade discount
c
Cash discount is always allowed at a rate higher than the rate of trade discount
d
Cash discount is an allowance made by the person who receives cash to the payer for prompt payment
38.
What does the ROI take into account?
d
Shareholder's investment
39.
Which accounting standard deals with Earning per share?
40.
If cost of goods sold is Rs. 100,000, other; operating expenses are Rs. 20,000 and total net sales are Rs. 150,000 the operating ratio will be equal to
41.
The cost of capital method includes
c
growth in dividend method
42.
Payback reciprocal method of ranking investment proposals should be used only when
a
The econontic life of the project is at least twice of the pay back period
b
Annual savings are even for the entire period
43.
The partial integration of agricultural income, is done to compute tax on
c
Both agricultural and non agricultural income
44.
Which is the type of dividend?
45.
Financial statements are aflected by
