Standard Corporation sold fully depreciated equipment for Rs.5,000. This transaction will be reported on the cash flow statement as a(n):
A. Operating activity
B. Investing activity
C. Financing activity
D. None of the given options
If a firm uses cash to purchase inventory, its quick ratio will:
A. Increase
B. Decrease
C. Remain unaffected
D. Become zero
Which one of the following terms refers to the risk arises for bond owners from fluctuating interest rates:
A. Fluctuations Risk
B. Interest Rate Risk
C. Real-Time Risk
D. Inflation Risk
How many years will it take to pay off a Rs. 11,000 loan with a Rs. 1,241.08 annual payment and a 5% interest rate:
A. 6 years
B. 12 years
C. 24 years
D. 48 years
Which of the following is measured by retention ratio:
A. Operating efficiency
B. Asset use efficiency
C. Financial policy
D. Dividend policy
Business Finance addresses which of the following:
A. Capital budgeting
B. Capital structure
C. Working capital management
D. All of the given options
A company having a current ratio of 1 will have ____net working capital:
A. Positive
B. Negative
C. zero
D. None of the given options
Which of the given area is NOT addressed by Business Finance:
A. Financing
B. Investing
C. Managing day today expenses
D. None of the given options
In which of the following type of annuity, cash flows occur at the beginning of each period:
A. Ordinary annuity
B. Annuity due
C. Perpetuity
D. None of the given options
Which of the following item provides the important function of shielding part of income from taxes:
A. Inventory
B. Supplies
C. Machinery
D. Depreciation
