IC89 - Management Accounting -18

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Management Accounting IC89 Questions- Click Here


Q1.Considering that shares of White and Green Ltd. are quoted at a P / E ratio of 7.5 times and retained earnings per share being 40% is Rs. 4 per share, compute the following:
   a) 10.28%
   b) 18.8%
   c) 26.24%
   d) 32.54%
 
Q2.Debt instruments that have a maturity of less than one year at the time of issue are considered as ____.
   a) Mutual fund investments
   b) Real Estate
   c) Money Market investments
   d) None of these
 
Q3.What is the maximum period of maturity for money market instruments?
   a) Two years
   b) One year
   c) Three years
   d) Five years
 
Q4.A system that interacts with the environment by taking action and adapting itself is called____.
   a) Deterministic System
   b) Probabilistic System
   c) Closed System
   d) Open System
 
Q5.What is the rate at which the currency of one country is exchanged for or converted into the currency of another country?
   a) Exchange
   b) Exchange rate Quotations
   c) Spot transaction
   d) Foreign transaction
 
Q6.__which is one of the apprising techniques of investment decisions can be defied as The firm's decision to invest its current assets most efficiently and effectively in the long-term projects and activities with the objective of earning a good return on investment.
   a) Financial accounting
   b) Capital budgeting
   c) Financial statement
   d) Investment avenues
 
Q7.It is a quotation that indicates the unit of domestic currency as against a single unit of the foreign currency?
   a) Direct Quotation
   b) Indirect Quotation
   c) Forward Quotation
   d) Spot Quotation
 
Q8.Which of the following is correct about a Non-life insurer's financial statements?
   a) Revenue Account (Form A- RA)
   b) Profit and Loss Account(Form PL)
   c) Profit and Loss Account(Form A-PL)
   d) Revenue Account (Form RA)
 
Q9.M/S Y Company Ltd is planning for capital investment Rs.1,00,00,000 in E-commerce in 2007 with the following estimation of increase in cash inflows from business operation for Rs.20,00,00, Rs.30,00,00, Rs.40,00,00, Rs.50,00,00, Rs.30,00,00 in next 5 years. The cost of capital is 10%. Calculate Net Present Value
   a) 15,79,000
   b) 25,78,000
   c) 35,28,000
   d) 54,24,9854
 
Q10.The Public Provident Fund is a long-term investment that locks up your money for ____.
   a) 8 years
   b) 10 years
   c) 15 years
   d) None of these

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Management Accounting IC89 Questions- Click Here