Finance MCQs
Finance MCQs Test Preparation | Latest 2025 Quiz FPSC, NTS, KPPSC, PPSC, SPSC, BPSC, OTS, UTS, PTS, CTS, ATS, ETEA MCQs Test Questions.
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
zero
Which of the following equation is known as Cash Flow (CF) identity?
A: CF from Assets = CF to Creditors “ CF to Stockholder
B: CF from Assets = CF to Stockholders “ CF to Creditors
C: CF to Stockholders = CF to Creditors + CF from Assets
D: CF from Assets = CF to Creditors + CF to Stockholder
CF from Assets = CF to Creditors + CF to Stockholder
The difference between current assets and current liabilities is known as____________?
A: Surplus Asset
B: Short-term Ratio
C: Working Capital
D: Current Ratio
Working Capital
Which of the following costs are reported on the income statement as the cost of goods sold?
A: Product cost
B: Period cost
C: Both product cost and period cost
D: Neither product cost nor period cost
Product cost
Standard Company had net sales of Rs. 750,000 over the past year. During that time, average receivables were Rs. 150,000. Assuming a 365-day year, what was the average collection period?
A: 5 days
B: 36 days
C: 48 days
D: 73 days Read More Details about this Mcq
73 days
Which of the following terms refers to the use of debt financing?
A: Operating Leverage
B: Financial Leverage
C: Manufacturing Leverage
D: None of the given options
Financial Leverage
In which type of market, new securities are traded?
A: Primary market
B: Secondary market
C: Tertiary market
D: None of the given options
Primary market
Which of the following ratios are particularly interesting to short-term creditors?
A: Liquidity Ratios
B: Long-term Solvency Ratios
C: Profitability Ratios
D: Market Value Ratios
Liquidity Ratios
Quick Ratio is also known as_______________?
A: Current Ratio
B: Acid-test Ratio
C: Cash Ratio
D: Solvency Ratio
Acid-test Ratio
A portion of profits, which a company retains itself for further expansion, is known as:
A: Dividends
B: Retained Earnings
C: Capital Gain
D: None of the given options
Retained Earnings