12th Class Accountancy Accounting Ratios Question Bank

done MCQs - Accounting Ratios Total Questions - 117

• question_answer1)
  Current Ratio is:
  A)
  Solvency Ratio done clear
  B)
  Liquidity ratio done clear
  C)
  Activity ratio done clear
  D)
  Profitability Ratio done clear
  View Solution play_arrow

• question_answer2)
  Ideal current ratio is:
  A)
  2:1 done clear
  B)
  1:1 done clear
  C)
  1:2 done clear
  D)
  3:1 done clear
  View Solution play_arrow

• question_answer3)
  Debtors = 22,000; Bills receivable = 10,000; Non-Current Investment = 18,000; Inventory = 15,000; Stores & spares (not included in inventory) = 5,000 Current asset will be (for the calculation of current ratio):
  A)
  70,000 done clear
  B)
  52,000 done clear
  C)
  65,000 done clear
  D)
  47,000 done clear
  View Solution play_arrow

• question_answer4)
  Short-term Borrowings = 50,000; Term Bank loan = 20,000; Creditors = 24,000; Bill receivables = 10,000. Current liabilities will be: 
  A)
  64,000  done clear
  B)
  84,000 done clear
  C)
  94,000 done clear
  D)
  74,000 done clear
  View Solution play_arrow

• question_answer5)
  Total asset =1,00,000; Non-current asset 60,000; Current liabilities = 20,000 Current Ratio will be:
  A)
  3:1 done clear
  B)
  5:1  done clear
  C)
  2:1 done clear
  D)
  1:1 done clear
  View Solution play_arrow

• question_answer6)
  Total assets = 8,00,000; Fixed asset 5,00,000; Trade investment = 1,00,000; Current liability = 2,00,000 Current Ratio will be:
  A)
  3:1 done clear
  B)
  5:1 done clear
  C)
  2:1 done clear
  D)
  1:1 done clear
  View Solution play_arrow

• question_answer7)
  Total asset = 8,00,000; Shareholders fund = 3,00,000; Non-current liability = 4,00,000; Ratio between non-current asset and shareholders fund is 2:1. Current ratio will be:
  A)
  3:1  done clear
  B)
  5:1  done clear
  C)
  2:1 done clear
  D)
  1:1 done clear
  View Solution play_arrow

• question_answer8)
  Working Capital Rs.60,000; Total Debt Rs.1,00,000 and Long-term Debt Rs.80,000. Current ratio will be
  A)
  3:1 done clear
  B)
  4:1 done clear
  C)
  2:1  done clear
  D)
  1:1 done clear
  View Solution play_arrow

• question_answer9)
  Current ratio of the company is 2:1. Redemption of debenture during the year amounting to Rs.10,000 would result in
  A)
  Increase in Current ratio done clear
  B)
  Decrease in Current ratio done clear
  C)
  No Change in current ratio done clear
  D)
  Both a and b done clear
  View Solution play_arrow

• question_answer10)
  Current ratio of the company is 2:1. Sale of Non-current investment Rs.10,000 would result in:
  A)
  Increase in Current ratio done clear
  B)
  Decrease in Current ratio done clear
  C)
  No Change in current ratio done clear
  D)
  Both a and b done clear
  View Solution play_arrow

• question_answer11)
  Current ratio of the company is 2:1. B/R endorsed to creditors are dishonoured amounting to Rs.10,000 would result in
  A)
  Increase in Current ratio done clear
  B)
  Decrease in Current ratio done clear
  C)
  No Change in current ratio done clear
  D)
  Both a and b done clear
  View Solution play_arrow

• question_answer12)
  Current ratio of the company is 1:1. Purchase of Loose Tools for Rs.10,000 against cheque would result in:
  A)
  Increase in Current ratio done clear
  B)
  Decrease in Current ratio done clear
  C)
  No Change in current ratio done clear
  D)
  Both a and b done clear
  View Solution play_arrow

• question_answer13)
  Current ratio of the company is 1:1. Sale of goods for Rs.2,00,000 (Cost Rs.1,50,000) would result in:
  A)
  Increase in Current ratio done clear
  B)
  Decrease in Current ratio done clear
  C)
  No Change in current ratio done clear
  D)
  Both a and b done clear
  View Solution play_arrow

• question_answer14)
  Which of the following transaction will improve the current ratio (If current ratio is 2:1) :
  A)
  Cash collected from trade receivable done clear
  B)
  Purchase of goods for cash done clear
  C)
  Payment of trade payables done clear
  D)
  Credit purchase of goods done clear
  View Solution play_arrow

• question_answer15)
  The ratio of Current Assets (Rs.10,00,000) to Current Liabilities (Rs.4,00,000) is 2.5 :1. The accountant of the firm is interested in maintaining a Current Ratio of 1.8 : 1, by acquiring some Current Assets on Credit. Current asset acquired will be:
  A)
  3,50,000 done clear
  B)
  2,80,000  done clear
  C)
  1,50,000 done clear
  D)
  3,00,000 done clear
  View Solution play_arrow

• question_answer16)
  The ratio of Current Assets (Rs.6,00,000) to Current Liabilities (Rs.5,00,000) is 1.2 ; 1. The accountant of the firm is interested in maintaining a Current Ratio of 2 : 1, by paying off a part of the Current Liabilities. Current liability paid will be:
  A)
  3,00,000  done clear
  B)
  2,00,000 done clear
  C)
  1,00,000 done clear
  D)
  4,00,000 done clear
  View Solution play_arrow

• question_answer17)
  Liquid assets do not include:
  A)
  Bill receivable done clear
  B)
  Debtors done clear
  C)
  Prepaid expense done clear
  D)
  Bank balance done clear
  View Solution play_arrow

• question_answer18)
  Current Assets Rs.40,000; Inventory Rs.12,000; Prepaid Expenses Rs.2,000 and Working Capital Rs.30,000. Liquid ratio will be:
  A)
  4:1  done clear
  B)
  2.6:1 done clear
  C)
  2.8 : 1  done clear
  D)
  1.4 : 1 done clear
  View Solution play_arrow

• question_answer19)
  Working Capital Rs.2,50,000; Total Debts Rs.3,00,000; Long-term Debt Rs.2,20,000; Inventory Rs.2,00,000; prepaid Expenses Rs.10,000. Liquid ratio will be:
  A)
  1.5:1 done clear
  B)
  3.125 : 1 done clear
  C)
  4.125 : 1 done clear
  D)
  1.625 : 1 done clear
  View Solution play_arrow

• question_answer20)
  Working Capital Rs.2,50,000; Current ratio 2.6:1; Prepaid expense Rs.6,250. Liquid ratio will be:
  A)
  1.56:1 done clear
  B)
  1.6:1 done clear
  C)
  2.56:1 done clear
  D)
  2.6:1 done clear
  View Solution play_arrow

• question_answer21)
  Liquid ratio 1.6:1; current ratio 2:1; inventory 2,00,000. Current liabilities will be:
  A)
  5,00,000 done clear
  B)
  10,00,000 done clear
  C)
  8,00,000 done clear
  D)
  4,00,000 done clear
  View Solution play_arrow

• question_answer22)
  Working Capital 30,000; current ratio 3:1 Current liabilities will be:
  A)
  500 done clear
  B)
  15,000 done clear
  C)
  22,500 done clear
  D)
  30,000 done clear
  View Solution play_arrow

• question_answer23)
  Current Ratio 3:1; Quick ratio 1.2:1. If a working capital is 1,50,000. Inventories will be:
  A)
  2,25,000 done clear
  B)
  90,000 done clear
  C)
  1,35,000 done clear
  D)
  45,000 done clear
  View Solution play_arrow

• question_answer24)
  Rishi ltd. has Inventory of Rs.2,25,000. Liquid asset 1,50,000 and quick ratio is 2:1. Current ratio will be:
  A)
  2:1 done clear
  B)
  3:1  done clear
  C)
  4:1  done clear
  D)
  5:1 done clear
  View Solution play_arrow

• question_answer25)
  On the basis of following data, the liquid ratio of a company will be: Current Ratio 5 : 3; Current Liabilities 90,000 and Inventory 30,000
  A)
  2:1 done clear
  B)
  1:2  done clear
  C)
  3:4  done clear
  D)
  4:3 done clear
  View Solution play_arrow

• question_answer26)
  Current ratio of a firm is 5 :2. Its current liabilities are Rs.60,000. Inventory is Rs.30,000. Its Liquid Ratio will be:
  A)
  2:1 done clear
  B)
  1:2  done clear
  C)
  2:5 done clear
  D)
  5:2 done clear
  View Solution play_arrow

• question_answer27)
  Total asset = 10,00,000; Non-current asset = 6,00,000; Shareholders fund = 4,00,000; Reserve & surplus = 1,00,000; Non-current liability = 3,00,000 Current Ratio will be :
  A)
  2:1 done clear
  B)
  1:2 done clear
  C)
  3:4 done clear
  D)
  4:3 done clear
  View Solution play_arrow

• question_answer28)
  Working Capital Rs.5,40,000; Current Ratio 2.5:1; Inventory Rs.2,50,000. Quick Ratio will be :
  A)
  1.44:1 done clear
  B)
  1.38:1 done clear
  C)
  2.5:1 done clear
  D)
  1.81:1 done clear
  View Solution play_arrow

• question_answer29)
  Quick Ratio 1.5; Current Assets Rs.1,00,000; Current Liabilities Rs.40,000. Inventory will be:
  A)
  60,000 done clear
  B)
  1,00,000 done clear
  C)
  40,000 done clear
  D)
  1,40,000 done clear
  View Solution play_arrow

• question_answer30)
  Match the followings: Current asset 2,00,000; Current Liability 1,00,000. Current ratio will be:

  (1)	Sale of goods for Rs.50000 (Cost Rs.45000).	(a)	3:1
  (2)	Bill Receivable endorsed to a Creditor amounting to Rs.50000.	(b)	1.67:1
  (3)	B/R dishonoured at maturity amounting to Rs.50000.	(c)	4:9
  (4)	Redemption of Debentures amounting to Rs.50000 by way of issue of equity share	(d)	2.05:1

  A)
  1-[b]; 2-[c]; 3-[d]; 4-[a] done clear
  B)
  1-[b]; 2-[d]; 3-[a]; 4-[c] done clear
  C)
  1-[d]; 2-[a]; 3-[b]; 4-[c] done clear
  D)
  1-[d]; 2-[c]; 3-[a]; 4-[b] done clear
  View Solution play_arrow

• question_answer31)
  Match the followings:

  (1)	Current asset- Current Liability	(a)	Total debt
  (2)	Current asset –stock- prepaid expense- advance tax	(b)	Working capital
  (3)	Total asset shareholders fund	(c)	Current liability
  (4)	Total asset - capital employed	(d)	Liquid asset

  A)
  1-[b]; 2-[c]; 3-[d]; 4-[a] done clear
  B)
  1-[b]; 2-[d]; 3-[a]; 4-[c] done clear
  C)
  1-[d]; 2-[a]; 3-[b]; 4-[c] done clear
  D)
  1-[d]; 2-[c]; 3-[a]; 4-[b] done clear
  View Solution play_arrow

• question_answer32)
  Match the followings: If current asset is 5,00,000 and current liability is 2,00,000. Current ratio will be

  (1)	Sale of fixed asset (Book value 50,000) in 60,000	(a)	2.45: 1
  (2)	Sale of fixed asset (Book value 60,000) in 50,000	(b)	2.8:1
  (3)	Sale of goods (Book value 60,000) in 50,000	(c)	2.55:1
  (4)	Sale of goods (Book value 50,000) in 60,000	(d)	2.75:1

   
  A)
  1-[b]; 2-[c]; 3-[d]; 4-[a] done clear
  B)
  1-[b]; 2-[d]; 3-[a]; 4-[c] done clear
  C)
  1-[d]; 2-[a]; 3-[b]; 4-[c] done clear
  D)
  1-[d]; 2-[c]; 3-[a]; 4-[b] done clear
  View Solution play_arrow

• question_answer33)
  Debt Equity Ratio comes under:
  A)
  Solvency Ratio done clear
  B)
  Liquidity ratio done clear
  C)
  Activity ratio done clear
  D)
  Profitability Ratio done clear
  View Solution play_arrow

• question_answer34)
  Debt equity ratio is calculated by using the formula:
  A)
  Debt/ Equity  done clear
  B)
  Total Asset / Debt done clear
  C)
  Equity/ Total asset done clear
  D)
  Debt/ Total asset done clear
  View Solution play_arrow

• question_answer35)
  Long term Borrowings 1,20,000; Long term Provisions 80,000; Short term provision 50,000. Debt will be
  A)
  1,20,000 done clear
  B)
  2,00,000 done clear
  C)
  2,50,000 done clear
  D)
  1,30,000 done clear
  View Solution play_arrow

• question_answer36)
  10% Debentures 5,00,000; Term Loan from Bank 2,00,000; 9% Bonds 1,00,000; Short term provision 50,000. Amount of Debt will be:
  A)
  7,00,000 done clear
  B)
  8,00,000 done clear
  C)
  8,50,000  done clear
  D)
  5,00,000 done clear
  View Solution play_arrow

• question_answer37)
  Total Debt 2,60,000; Current Liabilities 40,000. Amount of Debt will be:
  A)
  2,60,000 done clear
  B)
  40,000 done clear
  C)
  2,20,000 done clear
  D)
  3,00,000 done clear
  View Solution play_arrow

• question_answer38)
  Total Debt 15,00,000; Trade Payables 2,00,000; Outstanding Expenses 25,000; Bank Overdraft 2,50,000, Amount of Debt will be:
  A)
  12,50,000 done clear
  B)
  10,25,000 done clear
  C)
  12,75,000 done clear
  D)
  10,50,000 done clear
  View Solution play_arrow

• question_answer39)
  Capital employed is equal to:
  A)
  Total asset – total debt done clear
  B)
  Total asset – current liability done clear
  C)
  Shareholders fund + Current liability done clear
  D)
  Shareholders fund + Non - current liability + current liability done clear
  View Solution play_arrow

• question_answer40)
  Total Debt 15,00,000; Working Capital Rs.2,50,000; Current Assets Rs.4,40,000 Amount of Debt will be:
  A)
  13,10,000 done clear
  B)
  12,50,000  done clear
  C)
  10,60,000 done clear
  D)
  15,00,000 done clear
  View Solution play_arrow

• question_answer41)
  Capital Employed 50,00,000; Shareholders' fund 32,00,000; Current liabilities 8,00,000. Amount of Debt will be:
  A)
  32,00,000 done clear
  B)
  18,00,000 done clear
  C)
  10,00,00 done clear
  D)
  42,00,000 done clear
  View Solution play_arrow

• question_answer42)
  Share Capital 10,00,000; Reserve & Surplus 2,00,000; Current Liabilities 70,000; Non-current liability 3,30,000. Shareholders fund will be:
  A)
  16,00,000 done clear
  B)
  12,70,000 done clear
  C)
  12,00,000 done clear
  D)
  15,30,000 done clear
  View Solution play_arrow

• question_answer43)
  Equity Share Capital 3,00,000; Preference Share Capital 1,00,000; General Reserve 1,20,000; Securities Premium Reserve 50,000; Profit & Loss Balance (Dr.) 30,000. Shareholders fund will be:
  A)
  4,40,000 done clear
  B)
  5,70,000 done clear
  C)
  6,00,000 done clear
  D)
  5,40,000 done clear
  View Solution play_arrow

• question_answer44)

  Land & Building	12,00,000
  Plant & Machinery	7,00,000
  Intangible Assets	2,00,000
  Inventories	6,00,000
  Trade Receivables	2,00,000
  Trade Payables	1,80,000
  Total debt	5,00,000

  Shareholders fund will be:
  A)
  29,00,000 done clear
  B)
  24,00,000  done clear
  C)
  22,20,000 done clear
  D)
  25,80,000 done clear
  View Solution play_arrow

• question_answer45)

  Total Assets	9,00,000
  Total Debt	3,40,000
  Current Liabilities	40,000

  Shareholders fund will be:
  A)
  5,60,000 done clear
  B)
  5,20,000 done clear
  C)
  6,00,000 done clear
  D)
  5,00,000 done clear
  View Solution play_arrow

• question_answer46)

  Fixed Assets	12,00,000
  Non-Current Investments	3,00,000
  Current Assets	8,00,000
  Total Debts	9,50,000
  Trade Payables	1,40,000
  Outstanding Expenses	25,000
  Bank Overdraft	85,000

  Shareholders fund will be:
  A)
  20,50,000 done clear
  B)
  16,00,000 done clear
  C)
  11,00,000 done clear
  D)
  13,50,000 done clear
  View Solution play_arrow

• question_answer47)

  Capital Employed	36,00,000
  Non-current liability	12,00,000
  Current Liabilities	5,00,000

  Shareholders fund will be:
  A)
  24,00,000 done clear
  B)
  19,00,000 done clear
  C)
  29,00,000 done clear
  D)
  31,00,000 done clear
  View Solution play_arrow

• question_answer48)

  Equity Share Capital	2,00,000
  Preference Share Capital	2,00,000
  General Reserve	1,00,000
  Securities Premium Reserve	70,000
  Statement of Profit & Loss (Profit)	70,000
  10% Debentures	4,00,000
  Term Loan from Bank	4,00,000
  Current Liabilities	20,000

  Debt Equity Ratio will be:
  A)
  1.25:1 done clear
  B)
  0.80 done clear
  C)
  1.28:1 done clear
  D)
  0.78:1 done clear
  View Solution play_arrow

• question_answer49)

  Total Assets	7,00,000
  Total Debt	2,50,000
  Current Liabilities	20,000

  Debt Equity Ratio will be:
  A)
  0.44:1 done clear
  B)
  0.56:1 done clear
  C)
  0.67:1 done clear
  D)
  0.36:1 done clear
  View Solution play_arrow

• question_answer50)

  Shareholder's Funds	10,00,000
  Total Debts	12,00,000
  Current Liabilities	4,00,000

  Debt Equity Ratio will be:
  A)
  1.2:1 done clear
  B)
  1.25:1 done clear
  C)
  0.8:1 done clear
  D)
  0.83:1 done clear
  View Solution play_arrow

• question_answer51)

  Capital Employed	25,00,000
  Shareholder's Funds	20,00,000
  Current Liabilities	4,80,000

  Debt Equity Ratio will be:
  A)
  0.19:1 done clear
  B)
  0.24:1 done clear
  C)
  0.20:1 done clear
  D)
  0.25:1 done clear
  View Solution play_arrow

• question_answer52)
  Total asset to debt ratio is a :
  A)
  Solvency Ratio done clear
  B)
  Liquidity ratio done clear
  C)
  Activity ratio  done clear
  D)
  Profitability Ratio done clear
  View Solution play_arrow

• question_answer53)
  Total Debt 30,00,000; Shareholder's Funds 18,00,000; Reserve & Surplus 6,00,000; Current Assets 15,00,000; Working Capital 9,00,000. Total asset to debt ratio will be:
  A)
  2:1 done clear
  B)
  1.6:1 done clear
  C)
  1: 2  done clear
  D)
  2.5:1 done clear
  View Solution play_arrow

• question_answer54)

  Long-Term Borrowings	1,00,000
  Long-Term Provisions	50,000
  Current Liabilities	25,000
  Non-Current Assets	1,80,000
  Current Assets	45,000

  Total asset to debt ratio will be:
  A)
  9:1 done clear
  B)
  1.25:1  done clear
  C)
  1.5:1 done clear
  D)
  0.67 : 1 done clear
  View Solution play_arrow

• question_answer55)
  Debt equity ratio = 2:1; Total asset to debt ratio = 2:1; Total asset = 4,00,000 Shareholders fund will be:
  A)
  1,00,000 done clear
  B)
  2,00,000 done clear
  C)
  4,00,000 done clear
  D)
  8,00,000 done clear
  View Solution play_arrow

• question_answer56)
  Total Assets Rs.2,00,000; Total Debt Rs.1,20,000; Current Liabilities Rs.30,000. Total asset to debt ratio will be:
  A)
  20:9 done clear
  B)
  9:20 done clear
  C)
  20:3 done clear
  D)
  3:20 done clear
  View Solution play_arrow

• question_answer57)
  Shareholders fund 30,00,000; Reserve & surplus 12,00,000; Total debt 25,00,000; Trade payable 5,60,000; Bank Overdraft 40,000. Total asset to debt ratio will be:
  A)
  2.89:1 done clear
  B)
  0.55: 1 done clear
  C)
  0.63:1 done clear
  D)
  3:1 done clear
  View Solution play_arrow

• question_answer58)
  Total Debt Rs.7,00,000; Share Capital Rs.15,00,000; Reserve and Surplus Rs.10,00,000; Current Liabilities Rs.5,00,000; Working Capital Rs.7,00,000. Total asset to debt ratio will be:
  A)
  0.78:1 done clear
  B)
  1.28:1 done clear
  C)
  16:1 done clear
  D)
  1:16 done clear
  View Solution play_arrow

• question_answer59)
  Debt equity ratio = 2:1; Total asset to debt ratio = 1:1; Total asset = 4,00,000 Proprietary ratio will be:
  A)
  2:1 done clear
  B)
  0.5:1  done clear
  C)
  3:1 done clear
  D)
  0.67:1 done clear
  View Solution play_arrow

• question_answer60)

  6% Debentures	10,00,000
  Loan from IDBI	12,00,000
  Trade Payables	15,00,000
  Equity Share Capital	30,00,000
  Reserves	10,00,000
  Statement of Profit & Loss (Profit)	5,00,000
  Goodwill	8,00,000
  Other Non-Current Assets	45,00,000
  Current Assets	29,00,000

  Proprietary ratio will be:
  A)
  0.55:1  done clear
  B)
  1.82:1 done clear
  C)
  1:1 done clear
  D)
  0.82:1 done clear
  View Solution play_arrow

• question_answer61)

  Equity Share Capital	25,00,000
  6% Preference Share Capital	8,00,000
  General Reserve 10,00,000	10,00,000
  Statement of Profit & Loss (Loss)	(7,00,000)
  Fixed Assets 30,00,000	30,00,000
  Proprietary Ratio	0.75 : 1

  Current asset will be:
  A)
  6,00,000 done clear
  B)
  12,00,000 done clear
  C)
  18,00,000 done clear
  D)
  24,00,000 done clear
  View Solution play_arrow

• question_answer62)

  Net Profit after Interest and Tax	1,20,000
  Rate of Income Tax	50%
  12% Debentures	1,00,000
  10% Mortgage Loan	1,00,000

  Interest coverage ratio will be:
  A)
  11.91 times done clear
  B)
  21 times done clear
  C)
  25 times done clear
  D)
  6.45 times done clear
  View Solution play_arrow

• question_answer63)

  Net Profit after Interest and Tax	1,20,000
  Rate of Income Tax	50%
  10% Debentures	?
  Interest coverage ratio	3 times

  Interest on 10% debenture will be:
  A)
  1,20,000 done clear
  B)
  1,00,000 done clear
  C)
  1,40,000 done clear
  D)
  80,000 done clear
  View Solution play_arrow

• question_answer64)
  Match the followings:

  1.	Debt equity ratio	(a)	Net profit before interest and tax/Fixed interest charges
  2.	Total asset to debt ratio	(b)	Debt/Equity
  3.	Proprietary ratio	(c)	Total asset/ debt
  4.	Interest coverage ratio	(d)	Equity/ Total asset

   
  A)
  1-[b]; 2-[c]; 3-[d]; 4-[a] done clear
  B)
  1-[b]; 2-[d]; 3-[c]; 4-[a] done clear
  C)
  1-[d]; 2-[b]; 3-[c]; 4-[a] done clear
  D)
  1-[d]; 2-[c]; 3-[a]; 4-[b] done clear
  View Solution play_arrow

• question_answer65)
  Opening inventory Rs.15,000; Closing inventory Rs.25,000; Purchases Rs.90,000; Wages Rs.10,000; Carriage outwards Rs.5,000; Returns outwards Rs.2,000; Revenue from operations Rs.1,20,000; Carriage inwards Rs.4,000; Rent Rs.5,000. Cost of revenue from operation will be:
  A)
  1,27,000 done clear
  B)
  1,22,000 done clear
  C)
  94,000 done clear
  D)
  92,000 done clear
  View Solution play_arrow

• question_answer66)
  Credit sales 1,00,000; cash sales 80,000; Return inward 30,000; Gross profit ratio is 25% on cost of revenue from operation. Cost of revenue from operation will be:
  A)
  1,50,000 done clear
  B)
  1,25,000  done clear
  C)
  1,20,000 done clear
  D)
  1,10,000 done clear
  View Solution play_arrow

• question_answer67)
  Opening Inventory Rs.52,000; Closing Inventory Rs.50,400; Revenue from Operations (Sales) Rs.3,20,000; Gross Profit Ratio 20% on Revenue from Operations. Inventory Turnover ratio will be:
  A)
  5 times done clear
  B)
  6 times done clear
  C)
  7 times done clear
  D)
  4 times done clear
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• question_answer68)

  Opening Inventory	28,000.
  Closing Inventory	52,000
  Cost of Revenue from Operations	6,00,000
  Gross Profit	25 % on cost of revenue from operations

  Inventory Turnover ratio will be:
  A)
  17.75 times done clear
  B)
  18.75 times done clear
  C)
  15 times done clear
  D)
  16 times done clear
  View Solution play_arrow

• question_answer69)
  Cost of Revenue from Operations (Cost of Goods Sold) 6,00,000

  Purchases	5,80,000
  Direct Expenses	40,000
  Opening Inventory	70,000

  Closing Inventory will be:
  A)
  90,000 done clear
  B)
  50,000 done clear
  C)
  20,000 done clear
  D)
  70,000 done clear
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• question_answer70)
  Revenue from Operations (Sales) Rs.16,00,000; Average Inventory Rs.1,76,000; Gross Loss Ratio 10%. Inventory turnover ratio will be:
  A)
  9 times done clear
  B)
  9.10 times  done clear
  C)
  8.18 times done clear
  D)
  10 times done clear
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• question_answer71)
  Revenue from Operations: Rs.2,00,000; Gross Profit; 25% on cost; Opening Inventory was Half of the value of Closing Inventory. Closing Inventory was 20% of Revenue from Operations. Inventory turnover ratio will be:
  A)
  4 times done clear
  B)
  8 times done clear
  C)
  5.33 times done clear
  D)
  4.33 times done clear
  View Solution play_arrow

• question_answer72)
  Cost of Revenue from Operations Rs.6,40,000; Gross Profit 25% on Cost; Closing Inventory is 4 times of Opening Inventory; Opening Inventory : 10% of Revenue from Operations. Inventory turnover ratio will be:
  A)
  3.2 times done clear
  B)
  8 times done clear
  C)
  2 times done clear
  D)
  4 times done clear
  View Solution play_arrow

• question_answer73)
  Inventory turnover ratio 7 times; Cost of revenue from operation is 3,50,000; opening inventory is Rs.10,000 less than the closing inventory. Opening inventory will be:
  A)
  55,000 done clear
  B)
  45,000  done clear
  C)
  50,000 done clear
  D)
  60,000 done clear
  View Solution play_arrow

• question_answer74)
  Inventory turnover ratio 5 times; Cost of revenue from operation is 1,50,000; Closing inventory is Rs.5,000 less than the opening inventory. Opening inventory will be:
  A)
  25,000 done clear
  B)
  27,500 done clear
  C)
  30,000 done clear
  D)
  32,500 done clear
  View Solution play_arrow

• question_answer75)
  Inventory turnover ratio 10 times; Cost of revenue from operation is 2,20,000; closing inventory was 3 times that in the opening inventory. Opening inventory will be:
  A)
  11,000 done clear
  B)
  22,000 done clear
  C)
  33,000 done clear
  D)
  44,000 done clear
  View Solution play_arrow

• question_answer76)
  Inventory turnover ratio 4 times; Cost of revenue from operation is 2,00,000; closing inventory was 3 times more than that in the beginning. Opening inventory will be:
  A)
  50,000 done clear
  B)
  1,00,000 done clear
  C)
  20,000 done clear
  D)
  80,000 done clear
  View Solution play_arrow

• question_answer77)
  Average Inventory 60,000; Inventory turnover ratio 8 times; selling price 25% above cost. Revenue from operation will be;
  A)
  4,80,000 done clear
  B)
  6,00,000 done clear
  C)
  3,60,000 done clear
  D)
  5,00,000 done clear
  View Solution play_arrow

• question_answer78)
  Average Inventory 1,25,000; Inventory turnover ratio 4 times; Gross profit 10% of cost of revenue from operation. Gross profit will be:
  A)
  50,000 done clear
  B)
  80,000 done clear
  C)
  12,500 done clear
  D)
  40,000 done clear
  View Solution play_arrow

• question_answer79)
  Total Revenue from Operations for the year 2,00,000; Cash Revenue from Operations for the year 70,000; Average trade receivable = 10,000. Trade Receivables Turnover Ratio will be :
  A)
  7 times done clear
  B)
  13 times  done clear
  C)
  20 times done clear
  D)
  27 times done clear
  View Solution play_arrow

• question_answer80)
  Total Revenue from Operations for the year 4,00,000; Cash Revenue from Operations is 20% of Total Revenue from Operations ; Average trade receivable = 25000. Trade Receivables Turnover Ratio will be :
  A)
  12.8 times done clear
  B)
  16 times done clear
  C)
  19.2 times done clear
  D)
  5 times done clear
  View Solution play_arrow

• question_answer81)
  Credit Revenue from Operations 24,00,000; Trade receivable turnover ratio 6 times trade receivable beginning of the year 3,00,000. Trade Receivable at the end of the year will be:
  A)
  3,00,000 done clear
  B)
  5,00,000 done clear
  C)
  8,00,000 done clear
  D)
  1,00,000 done clear
  View Solution play_arrow

• question_answer82)
  A firm made credit Revenue from Operations is Rs.8,20,000 during the year. If the trade receivables turnover ratio is 10 times, closing trade receivables are more by Rs.8,000 than the opening trade receivables. Closing Trade Receivable will be:
  A)
  78,000 done clear
  B)
  82,000 done clear
  C)
  86,000 done clear
  D)
  90,000 done clear
  View Solution play_arrow

• question_answer83)
  A firm made credit Revenue from Operations is Rs.10,00,000 during the year. If the trade receivables turnover ratio is 10 times, closing trade receivables are three times in comparison to opening trade receivables. Closing trade receivable will be:
  A)
  50,000 done clear
  B)
  1,00,000 done clear
  C)
  1,50,000 done clear
  D)
  2,00,000 done clear
  View Solution play_arrow

• question_answer84)
  A firm made credit Revenue from Operations is Rs.10,00,000 during the year. If the trade receivables turnover ratio is 10 tunes, closing trade receivables are two times more in comparison to opening trade receivables. Closing trade receivable will be:
  A)
  50,000 done clear
  B)
  1,00,000 done clear
  C)
  1,50,000 done clear
  D)
  2,00,000 done clear
  View Solution play_arrow

• question_answer85)
  A firm made credit Revenue from Operations is Rs.10,00,000 during the year. If the trade receivables turnover ratio is 10 times, closing trade receivables are 1/3rd of opening trade receivables. Closing trade receivable will be:
  A)
  50,000 done clear
  B)
  1,00,000 done clear
  C)
  1,50,000 done clear
  D)
  2,00,000 done clear
  View Solution play_arrow

• question_answer86)
  A firm made Revenue from Operations is Rs.10,00,000 during the year. Cash revenue from operation is 25% of credit revenue from operation; Trade receivables turnover ratio is 5 times, closing trade receivables are 1/4th of opening trade receivables. Closing trade receivable will be:
  A)
  64,000 done clear
  B)
  2,56,000 done clear
  C)
  3,20,000 done clear
  D)
  32,000 done clear
  View Solution play_arrow

• question_answer87)
  Trade receivable turnover ratio 6 times; Average trade receivable 80,000; Cash revenue from operation 25% of total revenue from operation. Cash revenue from operation will be:
  A)
  1,60,000 done clear
  B)
  3,20,000 done clear
  C)
  4,80,000 done clear
  D)
  6,40,000 done clear
  View Solution play_arrow

• question_answer88)
  Cost of Revenue from operation 10,00,000; Gross profit 20% on revenue from operation; Cash revenue from operation 20% of total revenue from operation; Trade receivable turnover ratio 10 times; closing trade receivables are 1/4th of opening trade receivables. Closing trade receivable will be:
  A)
  40,000 done clear
  B)
  80,000 done clear
  C)
  1,20,000 done clear
  D)
  1,60,000 done clear
  View Solution play_arrow

• question_answer89)
  Credit purchase during the year 10,00,000; Opening creditors 80,000; Closing creditors 1,20,000. Trade payable turnover ratio will be:
  A)
  12.5 times done clear
  B)
  10 times done clear
  C)
  8.33 times done clear
  D)
  15 times done clear
  View Solution play_arrow

• question_answer90)
  Total purchase during the year 10,00,000; cash purchase is 25% of total purchase. Opening creditors 1,30,000; Closing creditors 1,70,000. Trade payable turnover ratio will be:
  A)
  6.67 times  done clear
  B)
  7.69 times done clear
  C)
  5.89 times done clear
  D)
  5 times done clear
  View Solution play_arrow

• question_answer91)
  Total purchase during the year 12,00,000; cash purchase is 25% of Credit purchase. Opening creditors 1,00,000; Closing creditors 1,40,000. Trade payable turnover ratio will be:
  A)
  8 times done clear
  B)
  9.6 times done clear
  C)
  6.86 times done clear
  D)
  7 times done clear
  View Solution play_arrow

• question_answer92)
  Total purchase during the year 2,00,000; cash purchase is 25% of Credit purchase. Opening creditor was 2 times of closing creditor; Opening creditor 50,000. Trade payable turnover ratio will be
  A)
  4.27 times done clear
  B)
  2.67 times done clear
  C)
  3 times done clear
  D)
  4 times done clear
  View Solution play_arrow

• question_answer93)
  Credit revenue from operation 15,00,000; Cash revenue from operation 25% of total revenue from operation; Liquid asset 2,00,000; Inventory 1,00,000; Current liability 1,20,000. Working capital turnover ratio will be:
  A)
  8.33 times done clear
  B)
  6.67 times done clear
  C)
  11.11 times done clear
  D)
  12.22 times done clear
  View Solution play_arrow

• question_answer94)
  Which of the following ratio is not covered under profitability ratio?
  A)
  Gross Profit Ratio done clear
  B)
  Proprietary ratio done clear
  C)
  Return on investment  done clear
  D)
  Operating profit ratio done clear
  View Solution play_arrow

• question_answer95)
  Gross Profit ratio will be:
  A)
  Gross Profit/cost of revenue from operation done clear
  B)
  Gross Profit/revenue from operation done clear
  C)
  Net Profit/cost of revenue from operation done clear
  D)
  Net Profit/revenue from operation done clear
  View Solution play_arrow

• question_answer96)
  Opening inventory 50,000; Purchases 3,00,000; return outward 10,000; Wages 10,000; Carriage outward 12,000; Revenue from operation 5,40,000; Closing inventory 60,000. Gross profit will be:
  A)
  2,50,000 done clear
  B)
  2,38,060 done clear
  C)
  2,30,000 done clear
  D)
  2,60,000 done clear
  View Solution play_arrow

• question_answer97)
  Net profit after tax 1,20,000, Tax rate 40%, Salary 10,000; wages 25,000; carriage outward 30,000. Gross profit will be:
  A)
  2,40,000 done clear
  B)
  4,15,000 done clear
  C)
  4,35,000 done clear
  D)
  4,60,000 done clear
  View Solution play_arrow

• question_answer98)
  Credit revenue from operation 5,00,000; Cash revenue from operation- 20% of total revenue from operation: Excess of closing inventory over opening inventory 75,000; Purchases 4,55,000. Gross profit ratio will be:
  A)
  30% done clear
  B)
  40% done clear
  C)
  38.20% done clear
  D)
  39.20% done clear
  View Solution play_arrow

• question_answer99)
  Credit revenue from operation 5,00,000; Cash revenue from operation- 20% of total revenue from operation; Excess of opening inventory over closing inventory 75,000; Purchases 3,62,500. Gross profit ratio will be:
  A)
  30% done clear
  B)
  40% done clear
  C)
  38.20% done clear
  D)
  39.20% done clear
  View Solution play_arrow

• question_answer100)
  Gross profit ratio is 25%, Purchase of stock would result in
  A)
  Increase the gross profit ratio done clear
  B)
  Decrease the gross profit ratio done clear
  C)
  No change in Gross profit ratio done clear
  D)
  Both a and b done clear
  View Solution play_arrow

• question_answer101)
  Gross profit ratio is 25% on cost. Revenue from operation 10,00,000. Gross profit will be:
  A)
  2,00,000 done clear
  B)
  2,50,000 done clear
  C)
  3,33,333 done clear
  D)
  1,80,000 done clear
  View Solution play_arrow

• question_answer102)
  Opening inventory 10,000; Closing inventory 20,000; Inventory turnover ratio 5 times; Selling price 1/3rd above cost. Gross profit ratio will be:
  A)
  33.33% done clear
  B)
  25%  done clear
  C)
  50% done clear
  D)
  16.67% done clear
  View Solution play_arrow

• question_answer103)
  Operating ratio will be:
  A)
  (Cost of revenue from operation-Operating expense-operating income)/(Revenue from operation) done clear
  B)
  (Cost of revenue from operation-Operating expense + operating income)/(Revenue from operation) done clear
  C)
  (Cost of revenue from operation + Operating expense-operating income)/(Revenue from operation) done clear
  D)
  (Cost of revenue from operation + Operating expense + operating income)/(Revenue from operation) done clear
  View Solution play_arrow

• question_answer104)
  Revenue from operation 10,00,000; Gross profit 25% on cost; Depreciation 10,000; selling expense 40,000; Administration expense 50,000. Operating ratio will be:
  A)
  90% done clear
  B)
  10% done clear
  C)
  20% done clear
  D)
  80% done clear
  View Solution play_arrow

• question_answer105)
  Revenue from operation 10,00,000; Gross profit 25%; Depreciation 50,000; selling expense 90,000; Administration expense 50,000; Lose on sale of asset 10,000. Operating ratio will be:
  A)
  94% done clear
  B)
  6%  done clear
  C)
  80% done clear
  D)
  20% done clear
  View Solution play_arrow

• question_answer106)
  Operating profit ratio will be:
  A)
  (Operating profit)/(Revenue from operation) \[\times \] 100 done clear
  B)
  (Operating profit)/(Cost of Revenue from operation) \[\times \] 100 done clear
  C)
  (Operating cost)/(Revenue from operation) \[\times \] 100 done clear
  D)
  (Operating cost)/(Cost of Revenue from operation) \[\times \] 100 done clear
  View Solution play_arrow

• question_answer107)
  Revenue from operation 10,00,000; Gross profit 25% on cost; Operating expense 50,000. Operating profit ratio will be:
  A)
  15% done clear
  B)
  20% done clear
  C)
  25% done clear
  D)
  30% done clear
  View Solution play_arrow

• question_answer108)
  Which of the following is not a part of operating ratio:
  A)
  Office expense done clear
  B)
  Administration expense done clear
  C)
  Selling expense done clear
  D)
  Loss by firm done clear
  View Solution play_arrow

• question_answer109)
  Revenue from operation 10,00,000; Cost of revenue from operation 6,00,000; Operating expense (including loss by fire 20,000) 80,000; Operating income 30,000. Operating profit ratio will be:
  A)
  63%  done clear
  B)
  37% done clear
  C)
  60% done clear
  D)
  40% done clear
  View Solution play_arrow

• question_answer110)
  Which of the following is a non-operating income;
  A)
  Gain on sale of Fixed asset  done clear
  B)
  Interest received on investment done clear
  C)
  Commission received  done clear
  D)
  Both [a] and [b] done clear
  View Solution play_arrow

• question_answer111)
  Which of the following is a operating income:
  A)
  Profit on sale of Fixed asset done clear
  B)
  Interest received on investment done clear
  C)
  Commission received done clear
  D)
  Both [a] and [b] done clear
  View Solution play_arrow

• question_answer112)
  Net profit 5,00,000; Dividend received 50,000; Profit on sale of furniture 10,000; Interest on debenture 70,000; Bad debt 20,000; Revenue from operation 12,00,000. Operating profit ratio will be:
  A)
  42.5%  done clear
  B)
  40.83% done clear
  C)
  39.17%  done clear
  D)
  41.67% done clear
  View Solution play_arrow

• question_answer113)
  Net profit ratio will be :
  A)
  (Net profit)/(Revenue from operation) \[\times \] 100 done clear
  B)
  (Net profit)/(Cost of Revenue from operation) \[\times \] 100 done clear
  C)
  (Gross profit)/(Revenue from operation) \[\times \] 100 done clear
  D)
  (Gross profit)/(Cost of Revenue from operation) \[\times \] 100 done clear
  View Solution play_arrow

• question_answer114)
  Revenue from operation 5,00,000; Cost of revenue from operation 3,00,000; Operating expense 30,000; Not operating expense 10,000; operating income 15,000; Non-operating income 5,000. Net profit ratio will be:
  A)
  37% done clear
  B)
  39% done clear
  C)
  36% done clear
  D)
  38% done clear
  View Solution play_arrow

• question_answer115)
  Operating profit 20,000; Operating expense 10,000; Non-operating expense 5,000; revenue from operation 50,000. Net profit ratio will be:
  A)
  30%      done clear
  B)
  50% done clear
  C)
  40%  done clear
  D)
  20% done clear
  View Solution play_arrow

• question_answer116)
  Net Profit after Interest and Tax Rs.6,00,000; 10% Debentures Rs.10,00,000; Tax @ 40%; Capital Employed Rs.80,00,000. Return on investment will be:
  A)
  12.50% done clear
  B)
  8.75% done clear
  C)
  13.75% done clear
  D)
  7.5 % done clear
  View Solution play_arrow

• question_answer117)
  Net Profit after Interest before Tax Rs.4,00,000; 10% Debentures Rs.10,00,000; Tax @ 60%; Shareholders fund 20,00,000; Reserve & surplus 10,00,000; Non-current liability 10,00,000. Return on investment will be:
  A)
  3.67% done clear
  B)
  8.75% done clear
  C)
  16.67% done clear
  D)
  10% done clear
  View Solution play_arrow