Question

Q14

Which of the following is nottrue for a private company?

Select one:

a. It is a common form of business structure for large-sized entities.

Q24

The triple bottom line approach encourages a focus on which performance areas?

Select one:

a. Economic, environmental and sustainability

b. Economic, social and environmental

c. Social, environmental and sustainability

d. Economic, social and sustainability

b. The company name includes the words 'Pty Ltd'.

c. It can have up to 50 shareholders.

d. It is relatively easy to set up.

Q15

How can financial analysis be categorised?

Select one:

a. As ratio analysis

b. As trend analysis

c. As vertical and horizontal analysis

d. All options are correct

Q18

Which of the below statements regarding spontaneous sources of funding is true?

Select one:

a. Spontaneous sources of funding include leases.

b. Spontaneous sources of funding generally include a borrowing charge.

c. All of the options are true.

d. Spontaneous sources of funding arise in a substantially unplanned and unstructured way in the normal course of business.

Q22

Which of the following statements is incorrect regarding the decision rule for ARR?

Select one:

a. Generally, the investment with the highest ARR is to be accepted.

b. Only investments with an ARR higher than the RRR should be considered.

c. The decision rule for ARR varies among entities.

d. Only investments with an ARR equal to the RRR should be considered.

Answer 1

Q 15.

Answer - thr correct option is -C

As per financial analysis can be categorised as vertical analysis & horizontal analysis.

Financial analysis involves the review of an organisational's financial information in order to arrive at business decisions.

Horizontal analysis- this involves the side by side comparison of the financial results of an organisation for a number of consecutive reporting periods .

vertical analysis - this is a proportional analysis of the various expenses on the income statement, measured as a percentage of net sales.