McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Business Administration (BBA) , Bachelor of Management Studies (BMS) .
| 51. |
Cash Flow Statement does not fully reveal the soundness or otherwise of the financial position of the business. |
| A. | True |
| B. | False |
| C. | none |
| D. | none |
| Answer» A. True | |
| 52. |
When liability increases, it is _________________ |
| A. | Source of Funds |
| B. | Application of Funds |
| C. | Decrease in Investments |
| D. | None of above |
| Answer» A. Source of Funds | |
| 53. |
Which of the below is NOT an application of funds? |
| A. | Operating Profit |
| B. | Purchase of Fixed Assets |
| C. | Repayment of Loans or Debentures |
| D. | Operating Losses |
| Answer» A. Operating Profit | |
| 54. |
Which of the below financial statements is static and shows the state of Assets and Liabilities on a particular date? |
| A. | Cash Flow Statement |
| B. | Funds Flow Statement |
| C. | Profit and Loss Statement |
| D. | None of the Above |
| Answer» D. None of the Above | |
| 55. |
Working Capital = ____________ |
| A. | Total Assets- Total Liabilities |
| B. | Current Assets – Current Liabilities |
| C. | Assets – Long-term Bank Borrowings |
| D. | Debt – Assets |
| Answer» B. Current Assets – Current Liabilities | |
| 56. |
Which statement is prepared in the process of Funds Flow Analysis? |
| A. | Schedule of Changes in Working Capital |
| B. | Ratio Analysis |
| C. | Both a and b |
| D. | None of the Above |
| Answer» A. Schedule of Changes in Working Capital | |
| 57. |
Funds Flow Statements are prepared so as to |
| A. | Identify the changes in Working Capital |
| B. | Identify reasons behind change in Working Capital |
| C. | Know the item-wise inflow and outflow of funds during given period |
| D. | All of the above |
| Answer» D. All of the above | |
| 58. |
Bond, Debentures and Term Loans fall under |
| A. | Current Assets |
| B. | Non-current Assets |
| C. | Non-current Liabilities |
| D. | None of the Above |
| Answer» C. Non-current Liabilities | |
| 59. |
Which of the following is NOT a Preoperative Expense? |
| A. | Establishment Expense |
| B. | Travelling Expense |
| C. | Insurance Charges |
| D. | Raw Material Expenses |
| Answer» D. Raw Material Expenses | |
| 60. |
Which of the following is NOT a mean / source of Project Finance? |
| A. | Term Loan |
| B. | Debentures |
| C. | Overdraft |
| D. | Share Capital |
| Answer» C. Overdraft | |
| 61. |
Which of the following is an example of owned capital? |
| A. | Equity Shares |
| B. | Preference Shares |
| C. | Debentures |
| D. | a and b |
| Answer» D. a and b | |
| 62. |
Major components of cost of production are: |
| A. | Material Cost |
| B. | Utilities and Labour Cost |
| C. | Factory overhead Cost |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 63. |
Which one of the following is a Working Capital Advance? |
| A. | Cash Credits |
| B. | Letter of Credit |
| C. | Purchase / discount bills |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 64. |
Higher Debt Service Coverage Ratio denotes |
| A. | Higher Chances of getting a Loan |
| B. | Lower Chances of getting a Loan |
| C. | No Requirement of a Loan at all |
| D. | None of the Above |
| Answer» A. Higher Chances of getting a Loan | |
| 65. |
Term Loan is ______________ borrowing. |
| A. | Unsecured |
| B. | Secured |
| C. | Clean |
| D. | None of the Above |
| Answer» B. Secured | |
| 66. |
If Project is accepted for Term Loan, Bankers issue a ___________ |
| A. | Letter of Credit |
| B. | Letter of Advance |
| C. | Letter of Sanction |
| D. | Letter of Acceptance |
| Answer» C. Letter of Sanction | |
| 67. |
Once the loan is disbursed the bank monitors the project by |
| A. | Regular Reports furnished by the borrower |
| B. | Periodic site visit |
| C. | Discussion with Promoters, Suppliers, Creditors etc. |
| D. | All of the above |
| Answer» D. All of the above | |
| 68. |
Which are the warning signals of industrial unit sickness? |
| A. | Continuous irregularity in Cash Credit Account |
| B. | Low Capacity Utilization |
| C. | Failure to pay statutory liabilities |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 69. |
Which of the following has no role in a remedy to Industrial Unit Sickness? |
| A. | Government |
| B. | Financial Institution |
| C. | Industry Association |
| D. | Customers |
| Answer» D. Customers | |
| 70. |
Which is an external cause of Industrial Unit Sickness? |
| A. | Non availability of skilled personnel |
| B. | Lack of Finance |
| C. | Bad Production Policies |
| D. | Wrong Marketing Policies |
| Answer» A. Non availability of skilled personnel | |
| 71. |
Which is an internal cause of Industrial Unit Sickness? |
| A. | Ineffective Corporate Management |
| B. | Inappropriate Personnel Management |
| C. | Lack of Promoter’s Experience |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 72. |
Revival package of a sick unit includes |
| A. | Provision of Additional Financial Assistance |
| B. | Settlement with Creditors |
| C. | Both a and b |
| D. | None of the Above |
| Answer» C. Both a and b | |
| 73. |
BIFR stands for |
| A. | Bureau of Industrial and Financial Resources |
| B. | Board of Industrial and Financial Reconstruction |
| C. | Board of Investment and Financial Reconstruction |
| D. | Bureau of Investment and Financial Resources |
| Answer» B. Board of Industrial and Financial Reconstruction | |
| 74. |
Industrial Reconstruction Bank of India was set up in which year? |
| A. | 1985 |
| B. | 1986 |
| C. | 1987 |
| D. | 1988 |
| Answer» A. 1985 | |
| 75. |
Sick Industrial Companies Act was passed in which year? |
| A. | 1983 |
| B. | 1984 |
| C. | 1985 |
| D. | 1986 |
| Answer» C. 1985 | |
| 76. |
Revival of a sick unit is necessary because, |
| A. | The Project may be in a sector that is vital to economy |
| B. | Many ancillary units may be dependent on the unit |
| C. | Banks and Financial Institutions would have locked up their money in the unit. |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 77. |
Industrial Sickness is a matter of serious national concern because it affects |
| A. | The Owners and Employees |
| B. | Creditors and Suppliers |
| C. | Adversely to the National Resources and creates social unrest |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 78. |
Industrial Reconstruction Bank of India was established with which specific objective from the below? |
| A. | To assist the rehabilitation of Sick Units |
| B. | To assist the Government |
| C. | To assist construction projects. |
| D. | None of the Above |
| Answer» A. To assist the rehabilitation of Sick Units | |
| 79. |
Which of the following can be objective of a Term Loan? |
| A. | For Setting up the new Projects. |
| B. | Expansion of existing Projects |
| C. | Modernization or Renovation of Projects. |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 80. |
Which is the principle objective for Project Monitoring? |
| A. | To find out opportunities for further advances |
| B. | To ensure timely recovery of dues |
| C. | To establish good lender-borrower relationship. |
| D. | None of the Above |
| Answer» B. To ensure timely recovery of dues | |
| 81. |
Strategic decisions regarding a Project are taken by |
| A. | Middle level Management |
| B. | Employees |
| C. | Top Management |
| D. | None of the Above |
| Answer» C. Top Management | |
| 82. |
Idea generation exercises for a new Project includes study of government guidelines. |
| A. | True |
| B. | False |
| C. | none |
| D. | none |
| Answer» A. True | |
| 83. |
For generating a new project idea which of the below is relevant for an entrepreneur? |
| A. | Analyse economic and social trend |
| B. | Draw clues from consumption abroad |
| C. | Study new technological developments |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 84. |
Which of the below is not a resource for a project? |
| A. | Manpower |
| B. | Capital |
| C. | Budget |
| D. | Machinery |
| Answer» C. Budget | |
| 85. |
Which of the factors should be considered for acceptable risk level at preliminary screening level? |
| A. | Vulnerability to business cycles |
| B. | Technological Changes |
| C. | Competition from imports |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 86. |
To judge adequacy of market during Preliminary Screening which of the following is a factor to be examined? |
| A. | Total present domestic market |
| B. | Price |
| C. | Product features |
| D. | Quality of the product |
| Answer» A. Total present domestic market | |
| 87. |
Which of the following is not a base for demographic segmentation of the market? |
| A. | Gender |
| B. | Age |
| C. | Attitude |
| D. | Family structure |
| Answer» C. Attitude | |
| 88. |
Which of the below can cause a difficulty in getting license for a new project? |
| A. | Lack of consistency with National Priority |
| B. | Adverse Environmental Effects |
| C. | Non availability of foreign exchange |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 89. |
India Year Book is a source of |
| A. | Primary Data |
| B. | Secondary Data |
| C. | Interim Data |
| D. | Intermediate Data |
| Answer» B. Secondary Data | |
| 90. |
India Year Book is an annual publication of ______________ |
| A. | Ministry of Finance |
| B. | Commerce Ministry |
| C. | Ministry of Information and Broadcasting |
| D. | None of the Above |
| Answer» C. Ministry of Information and Broadcasting | |
| 91. |
Statistical Year Book is an annual Publication of ________________ |
| A. | United Nations |
| B. | WHO |
| C. | UNICEF |
| D. | World Bank |
| Answer» A. United Nations | |
| 92. |
Who publishes Economic Survey? |
| A. | RBI |
| B. | Ministry of Finance |
| C. | Ministry of External Affairs |
| D. | Ministry of Industry |
| Answer» B. Ministry of Finance | |
| 93. |
Census provides information on |
| A. | Business Cycle |
| B. | Industrial Development |
| C. | Agriculture Output |
| D. | None of the Above |
| Answer» D. None of the Above | |
| 94. |
RBI Bulletin provides information on |
| A. | Exchange Rates |
| B. | Prices |
| C. | Balance of Payment Position |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 95. |
Indian Textile Bulletin is published by___________ |
| A. | Textile Commissioner |
| B. | Ministry of Textile |
| C. | Textile Mills Union |
| D. | None of the Above |
| Answer» A. Textile Commissioner | |
| 96. |
Which of the following is not one of the driving forces behind the increasing demand for Project Management? |
| A. | Compression of Product Life Cycle |
| B. | Knowledge Explosion |
| C. | More Emphasis on the Product and Less on the Customer |
| D. | Corporate Downsizing |
| Answer» C. More Emphasis on the Product and Less on the Customer | |
| 97. |
In the initial stage of the project the probability of completing the project is____ |
| A. | Zero |
| B. | High |
| C. | Low |
| D. | None of the Above |
| Answer» C. Low | |
| 98. |
Which one of the following is NOT one of the principle sources which cause uncertainties and error in demand forecasting? |
| A. | Data about Past and Present Market |
| B. | Methods of Forecasting |
| C. | Environmental Changes |
| D. | Government Policies |
| Answer» D. Government Policies | |
| 99. |
Which of the following are limitations of Demand Forecasting Methods? |
| A. | Inability to handle unquantifiable factors |
| B. | Unrealistic Assumptions |
| C. | Excessive Data Requirement |
| D. | All of the Above |
| Answer» D. All of the Above | |
| 100. |
The choice of Product Mix is guided by |
| A. | Market Requirements |
| B. | Market Inputs |
| C. | Employee Requirements |
| D. | None of the Above |
| Answer» A. Market Requirements | |
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