Financial Statement Analysis One Mark Questions

12th Standard EM

    Reg.No. :
  •  
  •  
  •  
  •  
  •  
  •  

Accountancy

Time : 00:30:00 Hrs
Total Marks : 10
    10 x 1 = 10
  1. Which of the following statements is not true?

    (a)

    Notes and schedules also form part of financial statements

    (b)

    The tools of financial statement analysis include common-size statement

    (c)

    Trend analysis refers to the study of movement of figures for one year

    (d)

    The common–size statements show the relationship of various items with somecommon base, expressed as percentage of the common base

  2. Balance sheet provides information about the financial position of a business concern

    (a)

    Over a period of time

    (b)

    As on a particular date

    (c)

    For a period of time

    (d)

    For the accounting period

  3. Which of the following statements is not true?

    (a)

    All the limitations of financial statements are applicable to financial statement analysis also.

    (b)

    Financial statement analysis is only the means and not an end.

    (c)

    Expert knowledge is not required in analysing the financial statements

    (d)

    Interpretation of the analysed data involves personal judgement

  4. A limited company’s sales has increased from Rs.1,25,000 to Rs.1,50,000. How does this
    appear in comparative income statement?

    (a)

    + 20 %

    (b)

    + 120 %

    (c)

    – 120 %

    (d)

    – 20 %

  5. In a common-size balance sheet, if the percentage of non-current assets is 75, what
    would be the percentage of current assets?

    (a)

    175

    (b)

    125

    (c)

    25

    (d)

    100

  6. Different tools are used for analysing the

    (a)

    balance sheet

    (b)

    financial statement

    (c)

    income statement

    (d)

    none of these

  7. The term fund refers to

    (a)

    Working capital

    (b)

    Opening capital

    (c)

    Closing capital

    (d)

    None of these

  8. When figure relating to several years are considered for the purpose of analysis, the analysis is called

    (a)

    Horizontal analysis

    (b)

    Vertical analysis

    (c)

    Trend analysis

    (d)

    Cash flow analysis

  9. Comparative statement and trend percentages are examples of

    (a)

    Cash flow analysis

    (b)

    Trend analysis

    (c)

    Horizontal analysis

    (d)

    Vertical analysis

  10. Preparation of common size statements and computation of ratios are examples of

    (a)

    Ratio analysis

    (b)

    Vertical analysis

    (c)

    Horizontal analysisNone of these

    (d)

    None of these

*****************************************

TN 12th Standard EM Accountancy free Online practice tests

Reviews & Comments about 12th Standard Accountancy - Financial Statement Analysis One Mark Question and Answer

Write your Comment