MCQS SUBJECT: MANAGEMENT

Chapter 5 : FINANCIAL MANAGEMENT

Q.1 ___________budget is the projection of cash inflow and outflow for

a particular time period in future.
a. Cash
b. Sales
c. Selling expenses
d. Capital expenditure
Q.2 In P and L , net profit is given by:
a. Total Revenue –Total Expenses-Exceptional items- Extraordinary
items
b. Total Revenue –Exceptional items- Total Expenses- Extraordinary
items
c. Total Revenue –Total Expenses-Exceptional items- Extraordinary
items-Tax
d. None of the Above.
Q.3 An indirect tax levied on all goods manufactured:
a. Luxury tax
b. VAT
c. Excise tax
d. Stamp duty
Q.4 Budgets are prepared for ………….period of time.
a. Definite
b. Long
c. Short
d. A fixed
Q.5 Financial management aims at:
a. Financial control
b. Control of cash
c. Management of earnings
d. All of the above.

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 MCQS SUBJECT: MANAGEMENT
Q.6 Every business transaction is entered in a book known as a ______
a. Journal
b. Maintenance book
c. Dairy
d. Ledger
Q.7 Tax includes the current tax as well as ……….. tax.
a. income
b. expenses
c. excise
d. deferred
Q.8 Excise Duty is the amount of duty paid on ________ of goods.
a. Sales
b. Production
c. Excise
d. Trading
Q.9 _________budget provides about sales of various kinds of products
in different regions.
a. Sales
b. Master
c. Materials
d. Manufacturing
Q.10 __________ is a source of working capital.
a. Loans from commercial banks.
b. Public deposits.
c. Debenture
d. Subcontracting.
Q.11 ______ is one of the routine finance functions:
a. Safety of document
b. Capital structure decision
c. Management of fixed assets
d. Profits
Q.12 What are the types of capital?
a. Fixed and Unfixed
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 MCQS SUBJECT: MANAGEMENT
b. Favorable and workable
c. Small and big
d. Fixed and working
Q.13 The sum that every shareholder gets is known as :
a. Amount
b. Dividend
c. Shares
d. capital
Q.14 The amount to be collected by a company is divided in equal
number of parts known as……….
a. Capital
b. Business
c. Shares
d. Management
Q.15 The capital invested in assets which cannot be easily converted into
money is called:
a. Fixed capital
b. Working capital
c. Equity capital
d. None of the above
Q.16 Fixed capital is the capital invested in assets over:
a. A short period
b. One year period
c. A long period
d. None of the above
Q.17 When the company has confirmed export order and is in need of
finance , the banks provide short term credit . It is known as:
a. Import finance
b. Import duty
c. Export finance
d. None of the above
Q.18 Which one of the following is not a type of custom duty?
a. Protective duty
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 MCQS SUBJECT: MANAGEMENT
b. Export duty
c. Additional duty
d. Dumping duty
Q.19 _________ duty is a tax levied on goods imported into the country
as well as on goods exported out of the country.
a. Custom duty
b. Duty on boundary
c. Anti-dumping duty
d. Basic duty
Q.20 Which one of the following is not charged by the state government?
a. Income tax
b. Land revenue
c. Luxury tax
d. Taxes on properties

Answers : Chapter 5

1.a 2.d 3.c 4.a 5.d 6.a 7.d 8.c 9.a 10.a 11.a 12.d 13.b

14.c 15.a 16.d 17.c 18.d 19. a 20.a

21.

Chapter 6 : MATERIALS MANAGEMENT

Q.1 Raw material includes

a. Semi-finished components
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 MCQS SUBJECT: MANAGEMENT
b. Material in stores
c. Sub-assemblies
d. All of the above
Q.2 The ________ provides the information about when to order and
how much to order
a. MRP
b. ERP
c. Inventory
d. None of these
Q.3 The long form of DOL is:
a. Design on line
b. Direct on line
c. Discuss on line
d. None of these
Q.4 ______ is an integrated system to manage business.
a. ERP
b. MRP
c. DOL
d. EOQ
Q.5 Market research is necessary for
a. To get excessive material in advance
b. Information about market condition and availability of material
c. To store goods at plant
d. both a and c
Q.6 ABC analysis helps senior manager to control :
a. Inventory cost
b. Purchase cost
c. Total cost
d. None of the above
Q.7 Packaging cost means:
a. cost of packaging of goods
b. cost to be paid to customer
c. cost required for movement of material
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d. inspection cost
Q.8 A well-coordinated material management programme may result
into:
a. Inventory
b. Cost increase
c. Cost reduction
d. None of the above
Q.9 _________ helps managers to have selective control and focus
attention only on important items.
a. ABC analysis
b. EOQ
c. Inventory
d. None of these
Q.10 Holding cost is also known as:
a. Receiving cost
b. Carrying cost
c. Holding cost
d. None of these
Q.11 Procurement cost is obtained b plotting _______ against ordered
quantity.
a. Cost
b. Investment
c. Profit
d. None of these

Answers : Chapter 6

1.d 2.a 3.2 4.a 5.b 6.a 7.a

8.c 9.a 10.b 11.a 12.

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