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Question-1
_________ratio are a measure of the speed with which various accounts are converted into sales or cash.
(A)
Activity
(B)
Liquidity
(C)
Debt
(D)
Profitability
Question-2
_________ ratio is the proportion of current assets to current liabilities.
(A)
Liquid
(B)
Current
(C)
Net profit
(D)
None of these
Question-3
The following groups of ratios primarily measure risk.
(A)
Liquidity, activity and profitability
(B)
Liquidity, activity and common stock
(C)
Liquidity, activity and debt
(D)
Activity, debt and profitability
Question-4
The __________ ratio establishes the relationship between the cost of goods sold plus other operating expenses to net sales.
(A)
Net profit
(B)
Operating
(C)
Gross profit
(D)
None of these
Question-5
________ ratio are computed to measure the efficiency of a business.
(A)
Profitability
(B)
Solvency
(C)
Liquidity
(D)
None of these
Question-6
Activity Ratios are called _________ ratio.
(A)
Liquidity
(B)
Profitability
(C)
Turnover
(D)
Solvency
Question-7
The_________ ratios provide the information critical to the long-run operation of the firm.
(A)
Liquidity
(B)
Activity
(C)
Solvency
(D)
None of these
Question-8
__________ ratios are computed to judge the ability of a firm to pay off its long - term liabilities.
(A)
Liquidity
(B)
Solvency
(C)
Activity
(D)
None of these
Question-9
The __________ ratio will helps to determine the efficiency with which production and/or purchase operation are carried on.
(A)
Operating
(B)
Net Profit
(C)
Gross Profit
(D)
None of these
Question-10
The _____ ratio are primarily measures of return.
(A)
Liquidity
(B)
Activity
(C)
Debt
(D)
None of these
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Plus 2 Commerce
CBSE
Practice in Related Chapters
Accounting Not For Profit Organisation
Accounting for Partnership: Basic Concepts
Reconstitution of a Partnership Firm: Admission of a Partner
Dissolution of Partnersip Firm
Accounting for share capital
Issue and Redemption of Debentures
Financial Statements of a Company
Analysis Of Financial Statement
Cash Flow Statement
Accounting Ratios
Reconstitution of a Partnership Firm: Retirement/Death of a Partner
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