McqMate
Chapters
| 201. |
The ratio which measures the relationship between the cost of goods sold and the amount of average inventory is |
| A. | stock turnover ratio. |
| B. | debtors velocity ratio. |
| C. | creditors velocity ratio. |
| D. | working capital turnover ratio. |
| Answer» A. stock turnover ratio. | |
| 202. |
Sales – Gross Profit = . |
| A. | net profit. |
| B. | administrative expenses. |
| C. | cost of production. |
| D. | cost of goods sold. |
| Answer» D. cost of goods sold. | |
| 203. |
Opening stock + purchases + direct expenses – closing stock = |
| A. | net profit. |
| B. | cost of production |
| C. | administrative expenses. |
| D. | cost of goods sold |
| Answer» D. cost of goods sold | |
| 204. |
Which ratio measures the number of times the receivables are rotated in a year in terms of sales? |
| A. | stock turnover ratio. |
| B. | debtors turnover ratio. |
| C. | creditors velocity ratio. |
| D. | working capital turnover ratio. |
| Answer» B. debtors turnover ratio. | |
| 205. |
Debtors turnover ratio is also called . |
| A. | stock turnover ratio. |
| B. | debtors velocity ratio. |
| C. | creditors velocity ratio. |
| D. | working capital turnover ratio |
| Answer» B. debtors velocity ratio. | |
| 206. |
Creditors turnover ratio is also called . |
| A. | stock turnover ratio. |
| B. | debtors velocity ratio. |
| C. | accounts payables ratio. |
| D. | working capital turnover ratio. |
| Answer» C. accounts payables ratio. | |
Done Reading?