Practice Financial Management Questions and Answers

• 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 ...
• Calculate the Total Assets to Debt Ratio given the following information: Non-current Assets: ₹40,00,000 Current Assets: ₹40,00,000 Long-term Borrowing...
• In the context of corporate finance, companies often utilize various sources of funding to support their long-term investments and operations. These source...
• In the realm of corporate accounting and finance, companies often need to allocate funds for various purposes ahead of time. One such allocation involves t...
• In the preparation and presentation of financial statements, certain components are essential to provide a complete and transparent view of a company's fin...
• If Current Ratio of N Ltd. is 2.5: 1 and its Current Liabilities are Rs.800, 000. Working Capital will be?
• Given below are two statements, one labelled as Assertion (A) and the other labelled as Reason (R). You are to examine these two statements carefully and s...
• Total sales Rs. 20,00,000; Fixed expenses Rs. 4,00,000; P/V Ratio 40%; Break-even capacity in percentage is__________.
• Form 26AS provides which of the following details to a taxpayer?
• In income tax terminology, TIS stands for:
• Which category do Bad debt fall under? 
• In the context of cost accounting, overheads refer to indirect costs that are allocated to cost units or cost centres. The process of absorbing overheads i...
• If a company makes an offer of securities beyond the one-year validity period of the shelf prospectus, what is required?
• Which of the following statements correctly describes the requirements for filing an information memorandum under the shelf prospectus regulations?
• Based on the provisions of the Companies Act, which of the following statements correctly reflects the Board meeting requirements for a company?
• As per the Companies Act the conditions under which a person is ineligible for appointment as a director of a company ____________
• Which of the following statements about the filing of a shelf prospectus is accurate according to the provisions of the Companies Act?
• When publishing an advertisement for a prospectus of a company, which of the following requirements must be specified according to the Companies Act?
• According to the Companies Act, which of the following statements accurately describes the rules regarding the issuance of shares at a discount?
• Who appoints the auditor for a government company, and what is the time frame for this appointment?
• Which of the following is the correct full form of CAS, in the context of mutual funds and securities?