Q. Liquid Liability = Current Liability – Bank Overdraft – ___________
✅ Correct Answer: (A)
Cash Credit
Financial Management MCQs and Notes
Q. SPO refers to ________, the second and subsequent time a company raises money from the public directly.
✅ Correct Answer: (B)
Subsequent Public Offering
Q. IPO refers to ____________; the first time a company comes to public to raise money.
✅ Correct Answer: (D)
Initial Public Offering
Q. Collateralized borrowing and lending obligation (CBLO) is a discounted instrument available in electronic book entry for the maturity period ranging from __________.
✅ Correct Answer: (A)
1 day to 19 days
Q. The term _______means manipulation of accounts in a way so as to conceal vital facts and present the financial statements in a way to show a better position than what it actually is.
✅ Correct Answer: (A)
window dressing
Q. Find the present value of Rs. 1,000 receivable 6 years hence if the rate of discount is 10 percent.
✅ Correct Answer: (A)
564.5
Q. Which one is the Benefit(s) of Factoring?
✅ Correct Answer: (D)
All of the above
Q. The lease period in such a contract is less than the useful life of asset. Here we are talking about _______.
✅ Correct Answer: (A)
Operating or Service Lease
Q. Which one of the following is a medium term source?
✅ Correct Answer: (D)
All of the above
Q. Working Capital Management refers to a Trade-off between _____________and Profitability.
✅ Correct Answer: (C)
Both of the above