Practice Financial Management Questions and Answers

•   Which of the following contracts are not traded on exchanges?
• Depreciation is charged on __________ as per the ___________ of accounting.
• For a company, Bank Overdrafts and Outstanding Expenses will be termed as
• Where are the fictitious assets shown in the financial statements?
• Contingent liabilities are recorded in:
• How capital adequacy ratio is calculated:
• Rahul bought 100 shares of Reliance for price of Rs.2500 per share. After one year he sold the shares for Rs.2700. Reliance paid out a dividend of Rs.100 p...
• Which of the following is in the correct order?
• The cost of capital for a firm _______.
• It is a special account that a firm prepares to show the distribution of profits/losses among the partners or shareholders. Name of such account is:
• Firm's Cost of Capital is the average cost of:
• Marketable securities are primarily:
• Which among the following may be defined as the cost of raising an additional rupee of capital?
• Which of the following model/ method makes use of Beta (β) in the calculation of the cost of equity?
• Cost or expenses must be recorded at the same time as the revenue to which they correspond is specified by which principle?
• What does the term "capital structure" refer to in the context of corporate finance?
• Which of the following is not a discounted cash flow methods for evaluating capital investment proposals:
• Under the Statutory Liquidity Ratio (SLR) all Scheduled Commercial Banks in India must maintain an amount in the form of?       I.        Cash ...
• Which among the following is not a risk management technique:
• “Revenues and expenses must be recorded in the accounting period in which they were earned or incurred, no matter when cash receipts or outlays occur”....
• Which type of operational risk event does tax evasion falls into Basel II?
• Book-keeping is mainly concerned with?
• All the following items are classified as fundamental accounting assumptions except?
• The term 'net 50' implies that the customer will make payment:
• Financial statements are part of
• Which of the following entities are banks prohibited from granting loans or advances to, as per the provisions of Section 20?
• Calculate Gross profit ratio:
• Calculate Operating Ratio:
• Calculate Net operating Profit Ratio:
• Calculate Net Profit Ratio:
•  Calculate Rate on Return on Capital Employed:
• Calculate Proprietary Ratio
• Calculate Debt ‐ Equity 
• Calculate Capital Gearing Ratio
• Calculate Debtors Ratio (365 days of the year.)
• Calculate Rate of Return on Shareholders' Funds
• Calculate Rate of Return on Equity shareholders fund:
• Calculate the inventory turnover ratio:
• Calculate the average age of inventory(Assume 360 days in a year):
• What is the maximum value of gold ornaments and jewellery against which loans can be sanctioned?