Practice Financial Management Questions and Answers

• Expected sales + desired closing stock – estimated opening stock =____________.
• Buffer stock’ is the level of stock
• .......... represents that quantity of material which is normally ordered when a particular material reaches the ordering level. 
• Which department or role is typically responsible for maintaining bin card?
• The classification of fixed and variable cost has a specific significance in the preparation of
• Which of the following statements regarding the classification of financial markets is/are correct? 1. Debt markets are primarily concerned with long term ...
• Consider the following statements about Credit Rating Agencies (CRAs) in India: 1. CRISIL Ltd. is primarily promoted by Standard & Poor's. 2. ICRA Limited ...
• Consider the following about financial market instruments: 1. Commercial Papers are unsecured, short-term instruments issued by corporations to meet immedi...
• Which of the following features correctly describe different types of bonds? 1. Zero Coupon Bonds do not make periodic interest payments and are issued at ...
• Which of the following statements about mutual funds is/are accurate? 1. Open-ended mutual funds allow investors to buy and sell units at any time based on...
• Which of the following statements are true about the role of SEBI in regulating the Social Stock Exchange? I. SEBI oversees the registration and operations...
• Match the following types of demand with their correct descriptions: 1. Market Demand 2. Autonomous Demand 3. Individual Demand Schedule A. When the demand...
• Match the following measures of money supply with their correct descriptions: 1. M1 2. M2 3. M3 A. M1 + Savings deposits with post office savings banks. B....
• What is the primary difference between nominal GDP and real GDP?
• What does the term "IS curve" represent in the ISLM model?
• During a severe recession, businesses are reluctant to invest, and consumer spending has declined significantly. Unemployment rates are high, and there is ...
• Country Y is experiencing high inflation rates due to a combination of factors, including supply chain disruptions, rising energy prices, and loose monetar...
• Match the following inflation types with their correct descriptions: 1. Stagflation 2. Core Inflation 3. Reflation A. When the government deliberately gene...
• Match the following:
• Which of the following statements accurately reflects the procedural requirements for the constitution of the National Company Law Appellate Tribunal as pe...
• Which of the following statements correctly outlines the qualifications required for a person to be appointed as a Judicial Member according to the provisi...
• X has the following assets and liabilities as on 31st March, 2024. Determine his capital: Cash: ₹25,000 Bank: ₹47,500 Debtors: ₹18,000 Creditors: ₹...
• What does the abbreviation "AIS" stand for in the context of Indian Income Tax?
• XYZ Corporation is financed by 30% equity and 70% by debt. The company has an after-tax cost of debt of 9% and the beta of shares in XYZ is 2. The risk-fre...
• Payoff to a short position in a forward contract where the forward price is Rs.30 and spot price at maturity is Rs.55 will be _____
• Determine the Economic Batch Quantity (EBQ) for the following data: Annual requirement of parts: 36,000 units Inventory holding cost: 20% of the part value...
• Compute the Total Assets to Debt Ratio from the following information: Share Capital: ₹12,00,000 Reserves and Surplus: ₹8,00,000 Long-term Borrowings: ...
• Trade Payables are ₹50,000, Working Capital is ₹18,00,000, and Current Liabilities are ₹6,00,000. Calculate the Current Ratio.
• Original cost = 12,60,000; Salvage value = Nil; Useful life = 6 years. Depreciation for the first year under sum of years digits method will be:
• Which of the following statements accurately describes the relationship between price and quantity demanded/supplied, considering potential exceptions?
• The exchange rate between the Indian rupee (INR) and the US dollar (USD) has been fluctuating significantly due to global economic uncertainties and change...
• Which of the following is NOT a component of the expenditure approach to calculating Gross Domestic Product (GDP)?
• Evaluate the following statements regarding leadership styles and identify the option that accurately reflects their correctness or incorrectness: Statemen...
• If the Value of work certified is 300000 and the Value of Work uncertified is 100000, and the contractee is paying 180000 to the contractor, then what is t...
• B Ltd. issued equity shares of Rs.10 each at 10% premium; all shares were issued and subscribed. Amount called up: - On application Rs.3 each, on allotment...
• In the preparation of a company's balance sheet, various classifications of capital are recorded to reflect the financial structure and ownership equity of...
• From the following information, calculate the Inventory Turnover Ratio: Net Sales: ₹4,00,000 Average Inventory: ₹55,000 Gross Loss on Sales: 10%
• State whether the following statements are true/false: 1 A fixed budget is prepared for only Range of activity. 2 A flexible budget is prepared for Two lev...
• When the shares are issued for consideration other than cash which account will be debited
• X Ltd. Forfeited 1,000 shares of Rs. 10 each for the non-payment of final call of Rs. 2. The account will be debited for called up price of a share at the ...