Financial Management MCQs and Notes
Q. Current ratio is 2:5.Current liability is Rs.30000.The Net working capital is
✅ Correct Answer: (D)
Rs.(-)18000
Q. Current ratio is 4:1.Net Working Capital is Rs.30,000.Find the amount of current Assets.
✅ Correct Answer: (B)
Rs.40,000
Q. Current ratio of a concern is 1,its net working capital will be
✅ Correct Answer: (C)
Nil
Q. Proprietary ratio is calculated by
✅ Correct Answer: (D)
Proprietors’’ Funds/Total
Q. Authorised capital of a company is Rs.5 lac, 40% of it is paid up. Loss incurred during the year is Rs.50,000. Accumulated loss carried from last year is Rs.2 lac. The company has a Tangible Net Worth of
✅ Correct Answer: (C)
(-)Rs.50,000
Q. In last year the current ratio was 3:1 and quick ratio was 2:1.Presently current ratio is 3:1 but quick ratio is 1:1.This indicates comparably
✅ Correct Answer: (B)
higher stock
Q. In the balance sheet amount of total assets is Rs.10 lac, current liabilities Rs.5 lac & capital & reserves are Rs.2 lac . What is the debt-equity ratio?
✅ Correct Answer: (D)
none of the above.
Q. If a company issues bonus shares the debt equity ratio will
✅ Correct Answer: (C)
Will improve