MCQsforMCOMExitExam

General

1.Atangibleitemistermedas:
a. aservice b. agood
c. anidea d. aconcept
2.Thepracticeofintroducinganewproductatahighpriceforabriefperiodinthe
hopeofcoveringproductionscostsrefersto__________________
a. marketpenetrationpricing b. pricelining
c. marketskimmingpricing d. quantitydiscounts
3.AbrandisBESTdefinedasa____________________
a. registereddesignorsymbolthatisdisplayedontheproduct.
b. relatedgroupofwordsthatdescribetheproduct.
c. name,symbol,design,orcombinationofthesethatidentifiesaseler's
products.
d. copyrightedword(s)thatgivethemanufacturerexclusiveownership
4.Whichofthefolowingisthefinalphaseintheproductdevelopmentprocess?
a. buildingaprototype b. testmarketing
c. businessanalysis d. commercialization
5.Theexchangerateis___________________
a. thegrowthratedifferentialbetweentwocountries
b. thevalueofonecurrencyintermsofanother
c. therateatwhichgoodsaresoldinacountry
d. theinterestratedifferentialbetweentwocountries.
6.Thedifferencebetweenexportsandimportsofacountryiscaled________________
a. balanceofpayment b. balanceoftrade
c. foreignexchange d. noneofthese
7.Macroeconomicsdealswiththe________________
a. behavioroffirms b. behavioroftheelectronics
industry
c. activitiesofindividualunits d. economicaggregates
8.Thestudyofinflationispartof___________________
a. microeconomics b. descriptiveeconomics
b. macroeconomics d. normativeeconomics
9.Aggregatesupplyisthetotalamount_____________________
a. ofgoodsandservicesproducedinaneconomy
b. ofgoodsproducedbythegovernment
c. ofproductsproducedbyagivenindustry
d. oflaborsuppliedbyalhouseholds
10.Liabilityofasoleproprietoris_______________
a. limited b. unlimited
c. bothofabove d. noneofabove
11.Arecessionisaperiod_________________
a. ofdecliningprices b. ofveryrapidlydecliningprices
c. ofdecliningunemployment d. when aggregate output
declines
12.Ifmarginalbenefitisgreaterthanmarginalcost,arationalchoiceinvolves:
a. moreorless,dependingonthebenefitsofotheractivities
b. nomoreofactivity
c. lessoftheactivity

1
 d. moreoftheactivity.
13.Opportunitycostis
a. thecostincurredinthepastbeforedecidingaboutwhattodointhefuture
b. acostthatcannotbeavoided,regardlessofwhatisdoneinthefuture
c. whatweforgo,orgiveup,whenwemakeachoiceoradecision
d. theadditionalbenefitofbuyinganadditionalunitofaproduct
14. isamethodofprimarydatacolection
a. questionnaire b. interview
c. bothoftheabove d. noneoftheabove
15.Inaneffectivemarketingsystem,aconsumerisnotdisilusionedby
__________________
a. multiplegrades b. adulteration
c. multipleprices d. alofthese
16.Thepolicywhichisusedtoregulategovt.revenueandexpendituresiscaled
____________
a. monetarypolicy b. openmarketoperations
c. fiscalpolicy d. moneysupply
17.Lawpassedbylegislativebodyorparliamentofcountryarecaled_________
a. Act b. Rule
c. Ordinance d. noneofthem
18.Marketvalueofalgoodsandservicesproducedwithinacountryinagivenperiod
a. GNP b. NNP
c. GDP d. NGP
19. segmentationisbasedonageandgenderetc.ofconsumers
a. geographic b. behavioral
c. demographic d. psychographic
20.Thefinancialconditionofacompanyatcertaindateandprovidedetailsoftheitems
thatcompanyowns(assets)andtheamountthecompanyowes(liabilities).
a. cashflowstatement b. owner’sequitystatement
c. incomestatement d. balancesheet
21.Theprocessofcreatingthedesiredimageinthecustomer’smindisknownas
a. positioning b. segmentation
c. targeting d. management
22.Responsivenessofconsumerstochangeinpricesistermedas____________________
a. elasticityofdemand b. elasticityofsupply
c. bothoftheabove d. noneoftheabove
23. isartificial'legalbeing'endowedbylawwiththepowers,rights,
liabilities,anddutiesofanaturalperson.
a. soleproprietorship b. cooperative
c. partnership d. corporation
24. isthedevelopmentofalternativeplansforpossible business conditions

a. strategicplanning b. contingencyplanning
c. tacticalplanning d. noneofthese
25.Managementfunctionsincludeexcept________________________
a. planning b. directing
c. organizing d. alofthese
26.Marketingmixincludesthefolowingexcept____________________________
a. price b. promotion
c. place d. Purchase

2
27.Newproductadoptionprocessincludesthefolowingexcept_____________________
a. awareness b. interest
c. evaluation d. competition
28.Consumerdecisionmakingprocessbeginswith__________
a. informationsearchandevaluation b. problemrecognition
c. purchasingprocess d. alofthese
29.Developmentstage,introductorystageanddecliningstagearethestagesof
______________
a. newproductadoption c. newtechnologyadoption
c. productlifecycle d. alofthethese
30.Apersonwhomakesmoneybystartingorrunningbusinessespecialywhenit
involvestakingfinancialrisksistechnicalycaled______________________
a. entrepreneur b. industrialist
c. farmer d. bureaucrat
31. playsacentralroleinmanagementfunctions
a. directing b. downsizing
c. planning c. communication
32.Differencebetweenassetsandliabilitiesisknownas_____________________
a. incomestatement b. owner’sequity
c. balancesheet d. cashflowstatement
33.TheamountbywhichexpenditureoffederalGovt.exceedsitsrevenueinayearis
caled___
a. budgetdeficit b. budgetsurplus
c. bothoftheabove d. noneoftheabove
34.Goodsthathavebeenproducedbutremainunsold_______________
a. inventory b. damaged
c. deficit d. noneofthese
35.Increaseinmoneysupplycauses__________________
a. inflation b. deflation
c. boom d. noneofthem
36. arevariousformsofmoney.
a. curencynotes b. coins
c. creditcards d. alofthese
37.A company uses a segmentation strategy forits sandwiches based on
characteristicssuchasage,genderandincome.Itisusingwhichgroupof
segmentationvariables?
a. demographic b. psychographic
c. geographic d. education
38.Theprocessofdividingatotalmarketintomarketgroupssothatpersonswithin
eachgrouphaverelativelysimilarproductneedsiscaled_______________________
a. segmenting b. differentiating
c. targetmarketing d. concentrating
39.When marginal cost is equal to marginal revenue, the firm should
___________________
a. spendmoreonadvertising
b. producelesstodecreasetotalcosts
c. providediscountstoencouragepurchases

3
 d. stopproducingadditionalunitstomaximizeprofits
40.Priceisakeyelementinthemarketingmixbecauseitrelatesdirectlyto
a. thesizeofthesalesforce b. qualitycontrols
c. thegenerationoftotalrevenue d. brandimage
41.The oldest form of exchange ‘trading of products’ is known as
________________________
a. credit b. purchasing
c. barter d. pricing

42. isamodernview ofmarketingbasedonthepropositionof

customerorientationandcoordinationofalcustomerrelatedactivitiesandprofit direction.

a. marketingconcept b. selingconcept
c. productconcept d. productionconcept

43.Currently,thedominantsectorofPakistan’seconomyintermsofcontributionto GDPis___

a. agriculture b. services
c. manufacturing d. industrial
44.WTOstandsfor___________________
a. WorldTechnologyOrganization b. WorldTimeOrganization
c. WorldTradeOrganization d. WorldTourismOrganization
45.Traininginstructionforasmalgroup,whichemployssuchtechniquesasrole-
playingorsimulationetc.andencountersgiveandtakesessionsandproblem-
solvingtechniquesiscaled___________________________
a. Careercounseling
b. Workshop
c. DevelopmentPlan
d. Onthejobtraining
46.Barrierstocareeradvancementinclude_______________________
a. Lackoftime
b. Rigidjobspecifications
c. Short-termfocus
d. Alofthegivenoptions
47.Thebasicskilspossessedbytheindividualthatarerequiredtogivecertain
performancearetermedas_____________________________
a. Ability
b. Motivation
c. Experience
d. Performance
48.Usingthe__________approach,managersevaluateorganizationaleffectiveness.
a. Externalresource
b. Internalsystems
c. Technical
d. Systems
49.Acareerstageinwhichonebeginstosearchforworkandfindsafirstjobis:
a. Explorationperiod
b. Establishmentperiod
c. Middlestage
d. Noneofthegivenoptions
50.Withoutproperfeedbackaboutanemployee’seffortanditseffectonperformance,

4
 weruntheriskofdecreasinghis/her .
a. Salary
b. Experience
c. Motivation
d. Performanceappraisal
51.The_____problem occurswhensupervisorstendtoratealtheirsubordinates
consistentlyhigh.
a.Centraltendency
b.Leniency
c.Strictness
d.Haloeffect
52.CurrentlyOrganizationsareprovidingbenefitstotheiremployees;
a.Toatractnewbloodintheorganization
b.Tocreatestrongercustomerrelationship
c.Toenhancethemarketshare
d.Aloftheabove
53.FolowingarealexamplesofdirectcompensationEXCEPT;
a.Pension
b.Salary
c.Bonus
d.Income
54.Tobeeffective,leadersmustprovidea_________________thatisageneralstatement
oftheorganization’sintendeddirectionthatevokespositiveemotionalfeelingsin
organizationmembers.
a. Vision
b. Mission
c. Goal
d. Declaration
55.Goalsetingis______________________________________
a.Topdownprocess
b.Botomupprocess
c.Aprocessoftopdownsupportandbotomupdevelopment
d.Afunctionofseniormanagement
56.Whenthefirmchangesthewayitoperates,theprocessisknownas
a.Downsizing
b.Braindrain
c.Restructuring
d.Outsourcing

57.Whichoneisnotincludedinthehiringprocess?
a.Recruitment
b.Socialization
c.Selection
d.Jobspecification
58.Extentsofindividualfreedom anddiscretionemployeeshaveinperformingtheir
jobsisKnownas
a.Capitation
b.Flextime
c.Empowerment
d.Autonomy
59.Whatismeantbytheterm'managementbyobjectives?
a.Asystemofgivingtheauthoritytocaryoutcertainjobsbythoselowerdownthe

5
 managementhierarchy
b.Thesystemofmanagementthatisbasedonbringingtogetherexpertsintoa team

c.Thesetingofobjectivestobringabouttheachievementofthecorporategoals
d.Thecontroloftheorganizationbythoseinthe'headoffice'
60.Anadvantageofrecruitmentfromoutsidethecompanyis
a.thatitischeaperthaninternalrecruitment
b.thatthereisnoneedtoadvertisethevacancy
c.thatitbringsinnewexperienceandskilstothefirm
d.thatitavoidsjealousywithinthefirm
61.WhendesigninghishierarchyofneedstriangleMaslowdidNOTincludeoneofthese. Wasit?

a.Goodwagesandsalariesandworkingconditions
b.Theneedtofeelsecureatworkwithadequatefinancialrewardssuchas
pensionstoassistonelaterinlife
c.Theneedtobuildacareerpath
d.Opportunitiesforteamworkingandsocialeventsthatalowasenseof
belongingtoemerge
62.Thefirstformalstageofthedisciplinaryprocedureis
a. WritenVerbalWarning
b. WritenWarning
c. EmployeeSeparation
d. Show-CauseNotice

63.ToBecomeaLeaderdoalexcept
a. BuildYourPowerBase
b. DevelopYourJudgment
c. UseYourManagementSkils
d. Donottrustanyone

64.AlternativeworkarangementsincludealofthefolowingEXCEPT;
a.Part-timework
b.Flexiblehours
c.On-sitechildcare
d.Jobsharing
65.Mr.Ahmedisacashierandhefeelsdissatisfiedatwork.Whatbestjustifiesthis situation?

a.Hisjobmaynotbestructuredtosuithispreferences
b.Itinvolvesphysicaltoughness
c.Itrequiresmentaltoughness
d.Itinvolvestoomuchcustomerinteraction

66.Organizationalefficiencyisexpressedas:
a.Planningforlong-rungoals
b.Makingthebestuseofscarceresources
c.Goalatainment
d.Meetingdeadlines
67.WhichoneisnotbasiccomponentofOB(OrganizationalBehavior)Model?
a.Organization
b.Group
c.Team

6
 d.Individual
68.Essentialcomponentofanorganizationis:
a.Team
b.Structure
c.Individual
d.Noneofthegivenoptions

69.Appraisalofaworker’sperformancecanbedescribedas:
a.PlanningActivity
b.OrganizingActivity
c.ControlingActivity
d.LeadingActivity
70.Processofworkingwithdifferentresourcestoaccomplishorganizationalgoalsis knownas

a.Strategicmanagement
b.HumanResourcemanagement
c.Management
d.Teamwork
71.Theconceptofhowapersonbehavesinagroupcanbeatributedto:
a.Thermodynamics
b.GroupDynamics
c.MBO(Managementbyobjectives)
d.GroupBehavior
72.Ingeneral,accordingtoSalesTaxAct1990,taxperiodisaperiodof
a.onemonth
b.sixmonths
c.ninemonths
d.oneyear
73.Theduedatetofurnishareturnattheendofthetaxperiodisthe_____dayofthe
folowingmonth.
th
a.7
th
b.10
th
c.15
d.18th
74.GeneralSalesTax(GST)ischargedon
a.SelingPrice
b.RetailPrice
c.ManufacturingCost
d.Noneofthese
75.SelingPriceisequalto

a.RetailPrice+GST
b.RetailPrice−GST
c.ManufacturingCost+GST
d.ManufacturingCost−GST

76.AccordingtoIncomeTaxOrdinance2001,theNormaltaxyearisaperiodoftwelve

7
 monthsfrom_____to .

a.1January,31December
b.1April,30March
c.1July,30June
d.1September,31August

77.Theincomeofaresidentpersoniscomputedbytakingintoaccountamountsthat
are:I.Pakistan-sourceincomeandI.Foreign-sourceincome

a. Ionly
b. Ionly
c. I+I
d. I−I
78.Theincomeofanon-residentpersoniscomputedbytakingintoaccountamounts thatare:

I.Pakistan-sourceincomeandI.Foreign-sourceincome

a.Ionly
b.Ionly
c.I+I
d.I−I
79.Retailermeansa person supplying goodsto __________forthepurposeof
consumption.

a.departmentalstores
b.generalpublic
c.wholesaler
d.shops

80.WhichfromthefolowingtaxesisnotincludedintheRetailPrice?

a.Salestax
b.Exciseduty
c.Utilities
d.Capitalvaluetax

81.Valueofsupplyisequalto

a.TaxableSupply
b.Taxablesupply+AlTaxes
c.TaxableSupply+Altaxes+DutyPaid
d.TaxableSupply+Altaxes−DutyPaid

82.Forthepurposesoftheimpositionoftaxandthecomputationoftotalincome,al
incomeshalbeclassifiedunderthefolowingheadsexcept

a.donation
b.salary
c.incomefromproperty
d.incomefrombusiness

83. meansanyamountreceivedorreceivablebytheowneroflandorabuilding
asconsiderationfortheuseoroccupationof,ortherighttouseoroccupy,theland
orbuilding,andincludesanyforfeiteddepositpaidunderacontractforthesaleof
landorabuilding.

a.Income
b.rent
c.deposit

8
d.advance

84.Anyincomefromthehireorleaseoftangiblemovablepropertywilbeaddedtothe head

a.incomefromproperty
b.incomefrommoveableproperty
c.capitalgains
d.incomefrombusiness

85.Apersonaccountingforincomechargeabletotaxunderthehead"Incomefrom
Business"onanaccrualbasisshalderiveincomewhenitisduetothepersonand
shalincurexpenditurewhenitispayablebythepersoniscaled________

a.Accrualtaxaccounting
b.Accrualaccounting
c.Accruedaccounting
d.Accrualbasisaccounting

86. meanslaborcostsdirectlyrelatedtothemanufactureorproductionof stock-intrade

a.Laborcost
b.costoflabor
c.directlaborcost
d.indirectlaborcost

87.Forthepurposeofrecoveringanytaxduebyataxpayer,the__________mayserve
uponthetaxpayeranoticeintheprescribedform requiringhim topaythesaid
amountwithinsuchtimeasmaybespecifiedinthenotice.

a.Inspectorinlandrevenue
b.Inlandrevenueofficer
c.Commissioner
d.AssistantCommissioner

88.PakistanFiscalyearstartsfrom:

a.1stSeptember
b.1stJanuary
c.1stApril
d.1stJuly

89.WhichisprovincialtaxinPakistan?

a.Excisetax
b.SalesTax
c.ImportDuty
d.Motorstokentax

90.Corporatetaxisleviedon:

a.Landlords
b.Municipalcorporation
c.Jointstockcompanies
d.Importers

91.Ifwedeductdirecttaxfrompersonalincome,weget:

a.Netnationalincome
b.Personalsaving

9
c.Disposableincome
d.Percapitaincome

92.Thelargestpartofnationalincomeis

a.Consumption
b.Investment
c.Transferpayments
d.Saving

93.Themostimportantsourceofagovernmentis:

a.Foreignloans
b.Taxes
c.Printingofnewmoney
d.Saleofgovernmentproperty

94.InPakistan,taxesareleviedby:

a.PrimeministerofPakistan
b.PresidentofPakistan
c.FederalCabinetofministers
d.NationalAssembly

95.Governmentfinanceiscaled

a.NationalFinance
b.Publicfinance
c.Privatefinance
d.Bothaandb

96.Adirecttaxisthatwhich:

a.Isheavyburdenonthetaxpayer
b.Canbedirectlydepositedinthebanks
c.Cannotbeevaded
d.Ispaidbythepersononwhomitislevied

97.InPakistangovernmentbudgetispreparedby:

a.NationalAssembly
b.PresidentofPakistan
c.MinistryofFinance
d.StateBankofPakistan

98.Taxesoncommoditiesare:

a.Directtaxes
b.Indirecttaxes
c.Progressivetaxes
d.Proportionaltax

99.Govt.preparesitsbudget:

a)Weekly
b)Monthly
c)Annualy
d)Quarterly

100. DUPONTAnalysisdealswith:

10
(a)AnalysisofCurrentAssets
(b)AnalysisofProfit
(c)CapitalBudgeting
(d)AnalysisofFixedAssets.

101. XYZLtd.hasaDebtEquityRatioof1.5ascomparedto1.3Industryaverage.It
meansthatthefirmhas:
(a)HigherLiquidity
(b)HigherFinancialRisk
(c)HigherProfitability
(d)HigherCapitalEmployed.

102. RatioAnalysiscanbeusedtostudyliquidity,turnover,profitability,etc.ofafirm.
WhatdoesDebt-EquityRatiohelptostudy?
(a)Solvency
(b)Liquidity
(c)Profitability
(d)Turnover

103. InInventoryTurnovercalculation,whatistakeninthenumerator?
(a)Sales
(b)CostofGoodsSold
(c)OpeningStock
(d)ClosingStock.

104. Afirm hasCapitalofRs.10,00,000;SalesofRs.5,00,000;GrossProfitofRs.

2,00,000andExpensesofRs.1,00,000.WhatistheNetProfitRatio?
(a)20%
(b)50%
(c)10%
(d)40%

105. XYZLtd.hasearned8%ReturnonTotalAssestsofRs.50,00,000andhasaNet
ProfitRatioof5%.FindouttheSalesofthefirm.
(a)Rs.4,00,000,
(b)Rs.2,50,000
(c)Rs.80,00,000
(d)Rs.83,33,333.

106. SuppliersandCreditorsofafirmareinterestedin
(a)ProfitabilityPosition
(b)LiquidityPosition
(c)MarketSharePosition
(d)DebtPosition
107. FinancialPlanningdealswith:
(a)PreparationofFinancialStatements
(b)PlanningforaCapitalIssue
(c)PreparingBudgets
(d)Aloftheabove.

108. Financialplanningstartswiththepreparationof:
(a)MasterBudget
(b)CashBudget
(c)BalanceSheet
(d)Noneoftheabove.

11
109. WhichofthefolowingisnotshowninCashBudget?
(a)ProposedIssueofCapital
(b)LoanRepayment
(c)Interestonloan
(d)Depreciation.

110. WhichofthefolowingmaynotbeapartofprojectedFinancialStatements?
(a)ProjectedIncomeStatement
(b)ProjectedTrialBalance
(c)ProjectedCashFlowStatement
(d)ProjectedBalanceSheet.

111. ProcessofFinancialPlanningendswith:
(a)PreparationofProjectedStatements
(b)PreparationofActualStatements
(c)ComparisonofActualwithProjected
(d)Orderingtheemployeesthatprojectedfigurescometrue.

112. WhichofthefolowingisnottrueforcashBudge?
(a)Thatshortageorexcessofcashwouldappearinaparticularperiod
(b)Alinflowswouldarisebeforeoutflowsforthoseperiods
(c)Onlyrevenuenaturecashflowsareshown
(d)Proposedissueofsharecapitalinshownasaninflow

113. CapitalBudgetingisapartof:
(a)InvestmentDecision
(b)WorkingCapitalManagement
(c)MarketingManagement
(d)CapitalStructure.

114. CapitalBudgetingdealswith:
(a)Long-termDecisions
(b)Short-termDecisions
(c)Both(a)and(b)
(d)Neither(a)nor(b).

115. WhichofthefolowingisnotusedinCapitalBudgeting?
(a)TimeValueofMoney
(b)SensitivityAnalysis
(c)NetAssetsMethod
(d)CashFlows.
116. CapitalBudgetingDecisionsare:
(a)Reversible
(b)Ireversible
(c)Unimportant
(d)Aloftheabove.

117. Savingsinrespectofacostistreatedincapitalbudgetingas:
(a)AnInflow
(b)AnOutflow
(c)Nil
(d)Noneoftheabove.

12
118. RiskinCapitalbudgetingissameas:
(a)UncertaintyofCashflows
(b)ProbabilityofCashflows
(c)CertaintyofCashflows
(d)VariabilityofCashflows

119. Whichofthefolowingisariskfactorincapitalbudget¬ing?
(a)Industryspecificriskfactors
(b)Competitionriskfactors
(c)Projectspecificriskfactors
(d)Aloftheabove
120. CashBudgetdoesnotinclude
(a)DividendPayable
(b)PostalExpenditure
(c)IssueofCapital
(d)TotalSalesFigure.

121. Whichofthefolowingisnotamotivetoholdcash?
(a)TransactionaryMotive
(b)PrecautionaryMotive
(c)CapitalInvestment
(d)Noneoftheabove

122. Chequesdepositedinbankmaynotbeavailableforimmediateusedueto
(a)PaymentFloat
(b)ReceiptFloat
(c)NetFloat,
(d)PlayingtheFloat.

123. DifferencebetweenbetweenthebankbalanceasperCashBookandPassBook
maybedueto:
(a)Overdraft
(b)Float
(c)Factoring
(d)Noneoftheabove.

124. ConcentrationBankinghelpsin
(a)ReducingIdleBankBalance
(b)IncreasingColection
(c)IncreasingCreditors
(d)ReducingBankTransactions.

125. DeepDiscountBondsareissuedat
(a)FaceValue
(b)MaturityValue
(c)PremiumtoFaceValue
(d)DiscounttoFaceValue.

126. Principalvalueofabondiscaledthe
(a)MaturityValue
(b)IssuePrice
(c)ParValue
(d)MarketPrice.

13
127. Iftherequiredrateofreturnofaparticularbondislessthancouponrate,itis knownas

(a)DiscountBond
(b)PremiumBond
(c)ParBond
(d)JunkBond.

128. Marketinterestrateandbondpricehave
(a)Positiverelationship
(b)Inverserelation
(c)Norelationship
(d)Samerelationship

129. Intheformulake(D1/P0)+g,D1/P0refersto
(a)Capitalgainyield
(b)Dividendyield
(c)Interestyield
(d)Noneoftheabove

130. Therateofinterestpayableonabondisalsocaled
(a)EffectiveRateofInterest
(b)YieldtoMaturity
(c)CouponRate
(d)InternalRateofReturn.

131. Along-termbondissuedwithcolateraliscaled
(a)JunkBond
(b)TreasuryBils
(c)Debenture
(d)PreferenceShare.

132. IfCouponrateislessthanRequiredRateofReturn;asthematurityapproaches
thediscountonbond
(a)Increases
(b)Decreases
(c)RemainsConstant
(d)Noneoftheabove.

133. Aninvestorbuysabondtodayandselsafter3monthstherateofreturnrealised
isknownas

(a)YieldtoMaturity
(b)Currentyield
(c)HoldingPeriodReturn
(d)RequiredRateofReturn.

134. NetProfitRatioSignifies:
(a)OperationalProfitability
(b)LiquidityPosition
(c)Big-termSolvency
(d)ProfitforLenders.

135. InRatioAnalysis,thetermCapitalEmployedrefersto:
(a)EquityShareCapital
(b)Networth
(c)Shareholders'Funds

14
(d)Noneoftheabove

136. InNetProfitRatio,thedenominatoris
(a)NetPurchases
(b)NetSales
(c)CreditSales
(d)Costofgoodssold.

137. Thecorectformofaccountingequationis
a.Assets+Liabilities=Equity b.Assets–
Liabilities=Equity c.Assets–Receivable=Equity
d.Assets+Receivable=Equity

138. Asystematicwaytomaintainthebooksofaccountsiscaled ? a.Accountancy

b.BookKeeping
c.Economics
d.Auditing

139. Modernsystemofbookkeepingiscaled ?
a.Doubleentrysystem
b.Americansystem
c.Singleentrysystem
d.Italicsystem
140. Discountreceivedisan:
a.Asset
b.Expense
c.Liability
d.Revenue
141. ObligationsoftheBusinessareknownas ?
a.Liabilities
b.Revenues
c.Expenses
d.Asset

142. Theamountinvestedbytheproprietortostartthebusinessiscaled:
a.Drawings
b.Capital

c.Financing
d.Alofthem

143. Whengoods,inwhichbusinessdeals,aresold,itiscaled ? a.Purchases

b.Returninward

15
 c.Sales
d.Returnoutwards
144. Salesreturnisalsoknownas ?
a.Returnoutward
b.Returninward
c.Returnreceived
d.ReturnPayed

145. Theconcessionreceivedonthepriceofdefectivegoodsiscaled:
a.Discount

b.Cashdiscount
c.Alowance
d.Tradingdiscount

146. Buildingandfurnitureusinginabusinessarecaled ? a.Currentasset

b.Fictitiousasset
c.Tangibleasset
d.Fixedassets

147. Assetshavingphysicalexistencearecaled ?
a.Currentasset
b.Intangibleasset
c.Tangibleasset
d.Liquidasset

148. Theassetswhichhavesomemarketvaluearecaled ? a.Fixedasset

b.Quickasset
c.Fictitiousassets
d.Realassets
149. Debtswhicharepayablewithinayeararecaled?

a.External b.Fixed c.Current d.Liquid

liabilities liabilities liabilities Liabilities

150. Theunsoldgoodsare ?

a.Equity b.Salereturn c.Inventory d.Purchases

151. CashsaletoMr.Awilcreditedto

a.Mr.A’s b.Cash c.Sales d.Goods

account account account account

152. Cariageinwardis

16
 a.Indirect b.Direct c.Seling d.Operating
expense expense expense expense

153. Debtorsarealsoknownas

a.Owners b.Accounts c.Bilpayable d.Accounts

receivable payable

154. Netsalesareequaltosalesminus

a.Return b.Return c.Costof d.Cariageon

inward outward goodssold sale

155. Transactionwhichisanaccountantforgettorecordisknownas

a.Erorsof b.Erorsof c.Erorsof d.Noneof

omission commission equipments these
156. Baddebtarisesfrom

a.Saleon b.Cashsales c.Account d.Account

account receivable payable

157. Sharesoflistedcompaniesaretradedinthe
a.stock b.option c.future d.Alofthem
exchange market exchange
158. Whatfromthefolowingisanintegralpartofbusiness?
a.Profit b.Risk c.Certainty d.Botha&b

159. Whatstandardsareusedtopreparefinancialstatementsbymostofthe
countriesandcompanies?
a.International b.International c.International d.International
Financial Financial Accounting& Risk
Reporting Accounting Auditing Management
Standards Standards Standards Standards
160. Theaccountingprocessofalocationcostofintangibleassetsiscaled

a.Amortization b.Depletion c.Going ResidualValue

Concern d.
161. Depreciationisnormalychargedas
a.payable b.Receivable c.Expenses d.Advances
162. Returnsofgoodsbythecustomershouldbedebitedto:

a.Sales b.Customer c.Purchases d.Cash

return A/c returnA/c A/c
A/c

163. Althoseaccountswhichkeepstherecordsofexpenses,income,profit&loss arecaled

a.PersonalA/c b.RealA/c c.NominalA/c d.Noneofthem

164. CategoriesofaccountsunderAmericanapproachare

17
 a.3 b.4 c.5 d.6

165. Goodslostbyfireshouldbecreditedto
a.Goods b.Purchase c.Drawings d.Noneof
account account account these

166. Anentryinwhichmorethanoneaccountisdebitedandmorethanoneaccount
iscreditediscaled
a.Singleentry b.Doubleentry c.Compound d.Simpleentry
entry

167. Thechequewhichisreturnedbythebankunpaidiscaled
a.Cross b.Bearer c.Ordercheque d.Dishonour
cheque cheque cheque

168. Theactofsingingatthebackofthechequeinordertotransferittosomebody elseiscaled

a.Endorsement b.Drafting c.Closing d.Noneof

these

169. Bankreconciliationstatementisusualyprepared
a.Anytime b.Weekly c.Monthly d.Yearly

170. Chequedepositedintobankbutnotcolectedarecaled
a.Unpresented b.Uncredited c.Dishonour d.Noneof
cheque cheque cheque these
171. Whenapersonselshisbilofexchangetobankbeforematurityitiscaled

a.Renewal b.Retirement c.Endorsement d.Discounting

172. Retirementofabilofexchangemeans

a.Paymentat b.Payment c.Payment d.Noneof

maturitydate aftermaturity before these
date maturitydate
173. Whichofthefolowingdisclosethefinancialpositionofafirm?
a.Income b.Owner’s c.Balance d.Cashflow
statement equity sheet statement
statement
174. Theexcessofcurentassetsovercurrentliabilitiesiscaled
a.Working b.Surplus c.Drawings d.Noneof
capital these
175. Thelegaltenureofabilofexchangeis

a.60days b.70days c.80days d.90days

176. RegularitybodiesworkinginPakistanare?

a.SBP b.SECP c.NBFI’s d.a&b

177. Whichbankfocusonpromotingeconomicgrowthratherthanearningprofit?

18
a.Microfinance b.Islamic c.Central d.Commercial

178. Achequeispaidon?

a.Demand b.Promise c.Maturity d.Noneofthese 179.

WhichofthefolowingscaledBanker’sCheque?
a.PayOrder b.DemandDraft c.TreasuryBils d.BilofExchange

180. Whenacustomer“Pledges”hisgoodsordocumentswithbanktherelationshipis
knownas?
a.Mortgagor b.Bailor c.Pawner d.Lessor
Mortgagee Bailee Pawnee Lessee
181. GraceDaysarealowedonthematurityof?

a.PromissoryNote b.Cheque c.TreasuryBils d.BilofExchange

182. Whichoneisthenotareasonofdishonoringofacheque?

a.Solvency b.FigureAlteration c.FrozenAccount d.Inadequate

Funds
183. _______Accountisalsoknownis“DemandDepositA/c”?
a.SavingA/c b.homeSavingA/c c.FixedA/c d.CurentA/c
184. Bankprovideoverdraftfacilitiestoitscustomersunder¬¬¬¬¬______Account
a.SavingA/c b.CurrentA/c c.homeSaving d.FixedA/c
A/c
185. CAPMstandsfor
a.Current b..Current c.CapitalAsset d.Noneof
AssetPricing Asset Predictor these
Model Predictor Model
Model
186. Parvaluecanalsobenamedas.
a.Redemption b.Market c.Facevalue d.Alofthese

value valued
187. Whichofthefolowingenjoyslimitedliability?

a.Asole b.Ageneral c.Acorporation d.Alofthese

proprietorshi partnership
p
188. Thepurposeoffinancialmarketsisto:

a.increasetheprice b.Alocatesavings c.controlinflation d.Lowertheyield

ofcommonstocks efficiently onbonds

189. Financialmarkets(yearorless)thatdealswithshorttermsecuritiescaled

a.CapitalMarket b.Secondary c.StockMarket d.MoneyMarket

Market

19
190. Agencyproblemsareleastlikelytoariseinwhichorganizationalform?

a.Sole b.partnership c.Privatefirm d.Publicfirm

proprietorship

191. _____measuresthefirm’sabilitytomeetitsshorttermobligations

a.LiquidityRatio b.ProfitabilityRati c.LeverageRati d.CurrentRatio

o o

192. Whichoneisanotcurentasset?

a.Tradedebtor b.Bankoverdraf c.Marketablesecuritie d.Cashinhand

s t s

193. LiquidRatioisalsoknownas_____

a.QuickRatio b.AcidTestRatio c.Botha&b d.Noneof

these

194. Netprofitratioisalsocaled_____

a.NetprofitMargin b.Profitaftertaxe c.Operatingprofit d.Noneof

s margin these

195. _____isthetotalofdirectmaterialscost,directlabourcostandchargeable expenses

a.Factorycost b.Primecost c.directcost d.Totalcost

196. WhichofthefolowingwilNOTequatethefuturevalueofcashinflowstothe
presentvalueofcashoutflows?

a.Internalrate b.Discountrate c.Multiple d.Profitability

ofreturn Internalrate index
ofreturn

197. 84.WhenFOHisunderappliedandchargedtoNetProfit,thetreatmentwouldbe:
a.Under b.Under c.Under d.Noneof
appliedAdd appliedLess appliedLess these
netprofit netprofit operating
expense

198. Factoryoverheadcostisthetotalof?

a.Alindirect b.Aldirect c.indirectand d.Alspecific

costs costs directcosts costs

199. Fixedcostperunitdecreaseswhen:

a.Production b.Production c.Variablecostp d.Variable

volume volumedecrea erunit costper
increases se decreases unit

20
 increases

200. Primecost+Factoryoverheadcostis:

a.Conversion b.Production c.Totalcost d.Noneof

cost cost these

201. Thecostexpendedinthepastthatcannotberetrievedonproductorservice

a.ProductCost b.Relevant c.Irelevant d.SunkCost

Cost Cost

202. Islamicbankingstructureisbasedon
a.Premium b.Interest c.Risk d.Noneof
sharing sharing sharing these

203. Ageneralriseinthepricesofgoodsandservicesovertime?
a.Inflation b.Deflation c.Reinflation d.Stagflation

204. WhatdoesGDPstandfor?
a.Good b.Gross c.Global d.Global
Distributi Domestic Detection DataPool
on Product Probabilit
Practice y

205. Whichofthefolowingbusinesstype,hastopaydoubletaxestothegovernment?
a.Sole b.Partnership c.Jointstock d.Noneof
proprietorshi company these
p
206. Simplydefinedissatisfyinghumanandsocialneedsprofitably
a.Marketing
b.Marketingmix
c.Market
d.Management

207.Statesofdeprivationthatcanbe:Physical—food,clothing,warmth,safety: Social—
belongingandaffection:Individual—knowledgeandself-expressionare knownas

a.Needs
b.Wants
c.Wish
d.Demand
208.Formthatneedstakeastheyareshapedbycultureandindividualpersonality
a.Needs
b.Wants
c.Wish
d.Demand
209.Wantsbackedbybuyingpower
a.Needs
b.Wants
21
 c.Wish
d.Demand
210.Somecombinationofproducts,services,information,orexperiencesofferedtoa
markettosatisfyaneedorwantarecaled
a.Marketingvalue
b.Marketingimage
c.Marketofferings
d.Marketingmyopia
211.Focusingonlyonexistingwantsandlosingsightofunderlyingconsumerneeds is

a.Marketingvalue
b.Marketingimage
c.Marketofferings
d.Marketingmyopia
212.Theactofobtainingadesiredobjectfrom someonebyofferingsomethingin returnis

a.Exchange
b.Transfer
c.Sale
d.Swapping
213.Thesetofactualandpotentialbuyersofaproduct
a.Market
b.Product
c.Targeting
d.Segments
214.The artand science ofchoosing targetmarkets and building profitable
relationshipswiththemis
a.FinancialManagement
b.Marketingmanagement
c.HumanResourceManagement
d.Management
215.Whichofthefolowingreferstodividingthemarketsintosegmentsofcustomers
a.Valueproposition
b.TargetMarket
c.Marketsegmentation
d.MarketingOffering
216.Setofbenefitsorvaluesacompanypromisestodelivertocustomerstosatisfy theirneeds

a.Valueproposition
b.TargetMarket
c.Marketsegmentation
d.MarketingOffering
217.Whichofthefolowingistheideathatconsumerswilfavorproductsthatare
availableorhighlyaffordable
a.Productionconcept
b.Marketingconcept

22
 c.Selingconcept
d.Productconcept

218.Whichoneistheideathatconsumerswilfavorproductsthatofferthemost
quality,performance,andfeatures. Organizationshouldthereforedevoteits
energytomakingcontinuousproductimprovements.
a.Productionconcept
b.Marketingconcept
c.Selingconcept
d.Productconcept

219.Whichconceptisoftheideathatacompanyshouldmakegoodmarketing decisions
byconsidering consumers’wants,the company’s requirements, consumers’long-
terminterests,andsociety’slong-runinterests
a.Productionconcept
b.Marketingconcept
c.Selingconcept
d.Societalmarketingconcept

220.Comprehensiveplanthatcommunicatesanddeliverstheintendedvalueto
chosencustomers.
a.Marketingmix
b.Marketintegration
c.Integratedmarketingprogram
d.Marketingbuzz

221.Whichistheoveralprocessofbuildingandmaintainingprofitablecustomer
relationshipsbydeliveringsuperiorcustomervalueandsatisfaction
a.Customerpromise
b.Customerengagement
c.Customerfriendship
d.Customerrelationshipmanagement

222.Folowingisusedtodirectandcoordinatethemarketingeffortandiscreatedat
thestrategicandtacticallevel
a.Planning
b.StrategicPlan
c.MarketingPlan
d.Aloftheabove

223.Thesystematicdesign,colection,analysis,andreportingofdataandfindings
relevanttoaspecificmarketingsituationfacingthecompany.
a.MarketingResearch
b.Designresearch
c.Relevantresearch
d.Situationresearch
224.Alreadycolecteddatacanbeusedforaresearchwhichiscaled

23
 a.SecondaryData
b.Primarydata
c.Availabledata
d.Dataset
225._______________istheperceivedmonetaryvalueofthebundleofeconomic,
functional,andpsychologicalbenefitscustomersexpectfrom agivenmarket
offeringbecauseoftheproduct,service,people,andimage
a.Customerperceivedvalue
b.CustomerLifetimeValue
c.CustomerDeterminingValue
d.Customerbase
226.___________isthetotalityoffeaturesandcharacteristicsofaproductorservice
thatbearonitsabilitytosatisfystatedorimpliedneeds.
a.Quality
b.Standard
c.Need
d.Performance

227. Inarecentstrategicmove,MobilinkhasacquiredWaridnetwork.Thisisan exampleof

a.HorizontalIntegration b.VerticalIntegration
c.Bothofabove d.Noneoftheabove

228. Themainpurposeofadoptingforwardverticalintegrationstrategyisto
a.Gainbeteranddirectaccesstoendusersandbetermarketvisibility

b.Achievethesamescaleeconomiesaswholesaledistributorsand/orretail dealers

c.Controlpricesintheindustry
d.Toimproveproductionefficiency
229. AGoodexampleofverticalintegrationis
a.A globalpublicaccountingfirm acquiringasmallocalorregionalpublic accountingfirm

b.Alargesupermarketchaintransformingintoconveniencefoodstores
c.Acrudeoilrefinerpurchasingafirmengagedindrilingandexploringforoil
d.SonyandEricsoncombiningtheirtechnologicalcapabilities
230. Productdifferentiationreferstothe:
a.abilityofthebuyersofaproducttonegotiatealowerprice.
b.beliefbycustomersthataproductisunique.
c.responseofincumbentfirmstonewentrants.
d.factthatasmoreofaproductisproducedthecheaperitbecomesperunit.
231. Asustainedorsustainablecompetitiveadvantagerequiresthat:
a.thevaluecreatingstrategymustbeinaformulationstage.
b.competitorsmustbesimultaneouslyimplementingthestrategy.
c.othercompaniesmustnotbeabletoduplicatethestrategy.

24
 d.averagereturnsmustbeearnedbythecompany.

232. Introducingpresentproductsorservicesintonewgeographicareasisreferredto as

a.MarketDevelopmentStrategy b.ProductDevelopmentstrategy
c.MarketPenetrationStrategy d:RetrenchmentStrategy

233. Seekingownershiporincreasedcontrolofafirm’ssuppliersisknownas
a.forwardverticalintegration. b.backwardverticalintegration.
c.HorizontalIntegration d.Diversificationstrategy
234. _______________isnotafeatureofTotalQualityManagementParadigm.
a.Accuratemeasurementofthebusinessprocess
b.Concernforcontinualimprovement c.Improvementinthequalityofeverything
d.Centralizationofdecisionmaking

235. OrganizationalcultureisNOT__________________
a.Perception
b.Shared
c.valuebased
d.Quantifiable

236. Whichofthefolowingisrelativelydifficulttochangethantherest?
a.OrganizationalCulture
b.OrganizationalStructure
c.Organizationalstrategy
d.Technology

237. Directsupervisionoftheworkforceistheresponsibilityof
a.FirstLineManagers
b.MiddleLineManagers
c.TopManagement
d.BoardofDirectors
238. OrganizationalDesignisaprocessofmakingdecisionsrelatingtoalofthe
folowingEXCEPT
a.Departmentalization
b.Chainofcommand
c.OrganizationalBehavior
d.Centralizationanddecentralization

239. Groupingjobsonthebasisofterritory/regioniscaled
a.FunctionalDepartmentalization
b.ProcessDepartmentalization
c.GeographicalDepartmentalization
d.CustomerDepartmentalization
240. Inordertoenhancecreativityandinnovationwithinorganizations,organizations

25
 needtoapplyalofthefolowingEXCEPT
a.Freeflowofinformation
b.Centralization
c.EmployeeEmpowerment
d.LowFormalization
241. ChenabTextiles,beingaleadingtextilemanufacturerandexportertookan
initiativetotakecontrolofthedistributionbymakingconceptstoresunderbrand
nameofChenOne.Thisgrowthstrategyiscaled
a.Backwardverticalintegration
b.Forwardverticalintegration
c.Concentration
d.Noneoftheabove
242. Usingacostorqualityadvantagetoexploitaparticularmarketsegmentrathera
largermarketiscaled
a.CostLeadershipStrategy
b.DifferentiationStrategy
c.FocusStrategy
d.Noneoftheabove
243. Zonghasrelativelylowmarketsharebuthighmarketgrowthrate.Wherewould
youplaceZongonBCGMatrix?
a.Stars
b.CashCows
c.QuestionMarks
d.Dogs

244. AlofthefolowingarecharacteristicsofChange-CapableOrganizations,EXCEPT
a.supporttoday-to-dayimprovementsandchanges. b.IntegratingTechnology

c.Talorganizationalstructure
d.Diverseteams.
245. Interloopisplanningtoraiseitsproductioncapacityfrom10,000unitsamonth
to100,000amonthinabidtoreduceitsperunitproductioncost.Whatexactlyare
theyaimingfor?
a.EconomiesofScope b.MarketPenetration
c.Economiesofscale d.Noneoftheabove 246.
Whichofthefolowinghasmorelongtermorientationinrelationtoothers?
a.Mission b.WorkPractice
c.Policy d.Strategy
247. Folowingarethebenefitsofmissionstatements,EXCEPT
a.Tohelporganizationscreateunanimityofpurpose
b.Tohelpinresourcealocation.
c.Toprovidecompetitiveadvantagetocompetitororganizations.
d.Toserveasafocalpointfortheworkstructure

26
248. ThefolowingparadigmofManagementparticularlyemphasizestheimportance
offinding‘onebestway’todoeveryjob.
a.StrategicManagement b.ScientificManagement
c.MarketingManagement d.OrganizationalBehavior
249. Authoritywithinorganizationsis
a.Theconceptthatapersonshouldhaveonebossandshouldreportonlytothat
person.

b.Therightsinherentinamanagerialpositiontotelpeoplewhattodoandto
expectthemtodoit.
c.Theobligationorexpectationtoperformfromtheworkforce.
d.Aloftheabove
250. _______________meansthatdecisionmakingauthorityisbeingpusheddownto
themanagerswhoareclosesttotheaction
a.Centralization b.Decentralization
c.EmployeeEmpowerment d.Aloftheabove
251. OrganicOrganizationalStructuresarebestsuitedfor
a.StableandSimpleenvironments b. Dynamic and Complex
environments
c.Centralizedorganizations d.Noneoftheabove
252. FolowingisNOTaCorporatelevelStrategy
a.CostLeadership b.Verticalintegration
c.Horizontalintegration d.Diversification
253. Organizationswithhighmarketshareandlowmarketgrowthrateareplacedin
_________QuarterofBCGMatrix.
a.CashCows b.QuestionMarks
c.Stars d.Dogs
254. Atemptingtocreateauniqueanddistinctiveproductorserviceforwhich
customerswilpayapremiumpriceisknownas
a.DifferentiationStrategy b.FocusStrategy
c.RetrenchmentStrategy d.Noneoftheabove
255. Folowing types of organizations are characterized by free flow of communication

a.TalOrganizations b.Leanorganizations
c.MechanisticOrganizations d.StrongDepartmentalization
256. Afirm'smission
a.isastatementofafirm'sbusinessinwhichitintendstocompeteandthe
customerswhichitintendstoserve.

b.isaninternaly-focusedaffirmationoftheorganization'sfinancial,social,and ethicalgoals.

c.ismainlyintendedtoemotionalyinspireemployeesandotherstakeholders.
d.isdevelopedbyafirmbeforethefirmdevelopsitsvision.
257. ThegeneralenvironmentoftheorganizationstypicalyDONOTinclude
a.Demographicfactors.b.Socioculturalfactors.
c.Substituteproductsorservices.d.Technologicalfactors.
258. Tobeacorecompetency,acapabilitymustsatisfyalofthefolowingcriteria
EXCEPT:
a.havingnumberofsubstitutes. b.be hard forcompeting firms to

27
duplicate.
c.betechnologicalyinnovative. d.bevaluabletocustomers.
259. The__________environmentiscomposedofelementsinthebroadersocietythat
caninfluenceanindustryandthefirmswithinit.
a.Competitor b.General
c.Sociocultural d.Industry
260. Tangibleresourcesinclude:
a.assetsthatarepeopledependentsuchasknow-how.
b.assetsthatcanbeseenandquantified.
c.organizationalculture.
d.afirm'sreputation

261. Mostcrucialandfirststepinmarketingprocessis
a.Designingamarketingstrategy
b.Createcustomerdelight
c.Understandingcustomerneedsandwants
d.Capturingvaluefromcustomers

262. Mr.Junaidisopeningitsretailkurtaoutletsacrossdifferentregionsaroundthe
worldAccordingtoAnsoff’sProduct-MarketExpansionGridwhatkindofstrategyis this

a.Productdevelopmentstrategy
b.DiversificationStrategy
c.MarketDevelopmentstrategy
d.Noneoftheabove
263. ABCInc.isplanningtolaunchanewwar-strategy-basedcomputergameforthe
maleteenagers.Whatkindofsegmentationisthis?
a.Demographicsegmentation
b.Socio-culturalsegmentation
c.Lifestylesegmentation
d.Geodemographicsegmentation
264. Tocreateprofits,companymust
a.Createloyalcustomers
b.Increasemarketshareofmarket

c.Capturelifetimevaleofcustomer
d.Alofabove

265. Folowingareexamplesofinternalconsumerinfluences,EXCEPT
a.Learning b.Demographic;IncomeandSocialclass
c.Perceptionandmemory

d.Motivation
266. OfthefourPsofthemarketingmix,“place”includes .
a.Valuechain b.Publicrelations
c.Distributioncenters d.Financialresources

28
267. Tanyaandhermarketingteam atafastfoodrestaurantarebreakingtheir
company'stargetaudienceintogroupsthathavesharedneedsthataredifferent
fromtheneedssharedbyothergroups.Theyareengagedin .
a.Markettargeting b.ProductPositioning
c.Marketsegmentation d.ProductPlacement
268. -referstothedevelopmentofadistinctimagefortheproductinthe
mindoftheconsumer.
a.Targeting b.Segmenting
c.Placement d.Positioning
269. Whichofthefolowingisanexampleofanon-adjustingevent?
a. Saleofinventoryforlessthanitscaryingvalueshortlyafterthereportingperiod
b. Amountsreceivedinrespectofaninsuranceclaimbeingnegotiatedatthe
periodend
c. Destructionofamachinebyfireafterthereportingperiod
d. Bankruptcyofamajorcustomerwithabalanceowingattheperiodend
270. Whenaleasetransferssubstantialyaltherisksandrewardsofownershipto
lessee,thisiscaled…
a. Afinancelease
b. Anoperatinglease
c. Abuy-to-letagreement
d. Arentalagreement

271. Aleasedassetshouldbedepreciatedoverthe…
a. Shorteroftheleasetermandtheasset’susefullife
b. Longeroftheleasetermandtheasset’susefullife
c. Entireleaseterm
d. Usefullifeoftheasset

272. Operatingleasesaremostly______agreements.
a. Longterm
b. Mediumterm
c. Shortterm
d. Verbal
273. Revenueofentityshalbemeasuredat:
a. Costofsales
b. FairValue
c. Costofproduction
d. Noneoftheabove

274. Whentheoutcomeofthetransactioninvolvingtherenderingofservicescannot
beestimatedreliably,thenrevenueshal:
a. Notberecognized
b. Recognizedtotheextentofexpensesrecognisedarerecoverable
c. Bedefered
d. Recognizedfulyirespectiveoftheoutcome
e. Noneoftheabove

275. Revenuefromsaleofgoodsisrecognizedwhen:
a. Thecashhasbeenreceivedforthesaleofgoods
b. Thesignificantrisksandrewardsofownershiphavebeentransferedtothe buyer

c. Saleorderhasbeenreceived
d. Noneoftheabove
276. Royaltiesshouldberecognisedon:

29
 a. Cashbasis
b. Receiptbasis
c. Paymentbasis
d. Accrualbasis

277. Revenueaccruingtoanentityincludes:
a. Investmentcapitalflowingintoanentity
b. Dividendspaidbytheentity
c. Grossinflowofeconomicbenefitsofordinaryactivities
d. Noneoftheabove

278. Whatisthetermusedtodescribethetimebetweentheacquisitionofassetsfor
processingandtheirrealizationincashorcashequivalents?
a. Processingcycle
b. Turnover
c. Operatingcycle
d. Turnaround

279. Cashpaymentstoandonbehalfofemployeesisanexampleofcashflowsfrom
a. Operatingactivities
b. Financingactivities
c. Investingactivities
d. Noneofthese

280. Theprincipalrevenue-producingactivitiesofanentityarecaled…
a. Operatingactivities
b. Investingactivities
c. Financingactivities
d. Noneofthese

281. In2002StateBankofPakistanissuedtheFirstLicenseofIslamicBank
to………………………….
a.BurjIslamicBank
b.MeezanBanklimited
c.BankIslami
d.DawoodIslamicBank

282. TheframeworkofanIslamicfinancialsystemisbasedonelementsofShari'ah
which………….Riba(Usury)andGharar(uncertainty).
a.Tolerate

b.Prohibit

c.Alocate

d.Surender

283. Thecategoryofharamisthe…….…statusofprohibitioninIslam.
a.Lowest

b.Medium

c.Moderate

30
 d.highest

284. …………………isajointenterpriseorpartnershipstructureinIslamicfinanceinwhich
partnersshareintheprofitsandlossesofanenterprise.

a.Muswama

b.Salam

c.Musharakah

d.Itqad

285. In Musharka Contributions must be subject to profit sharing in

……………………agreedbetweenthepartners.

a.Fixratio

b.Anyratio

c.Variableratio

d.Prefixed

286. Diminishing Musharakah isa typeof…………………………….whereone partner

purchasestheotherpartner'ssharegradualy.

a.Mudarbah

b.Murabah

c.Muswama

d.partnership

287. …………………couldbedefinedas,theExchangeofathing(subjectmater)ofvalue
withanotherthingofvalue,withmutualconsent”

a.Sale

b.Purchase

c.Value

d.goods

288. Foravalidsalethesubjectmaterofsaleshouldbeinthe………….atthetimeof
Sale.

a.ownershipoftheseler

b.OwnershipofthePurchaser

c.Possessionofthethirdparty

d.inthehandofLabor

289. Thepriceofasoldthings……………………………………foravalidsale.

a.don’tcertain

b.mustbecertain

31
 c.alwayshidden

d.knowntotheseleronly

290. IslamicFinanceisaneconomicalsystembasedon………………………………………….
a.Frequency

b.risksharing

c.Profit

d.Fixrateofreturn.

291. …………………isunjustifiedincrementinborrowingorlendingmoney,paidinkindor
inmoneyabovetheamountofloan,asaconditionimposedbythelenderor
voluntarilybytheborrower.
a.Ghurar
b.Inhamac
c.Riba
d.Risk
292. Thewordshariameans"thepath“,thesearethesetofruleswhicharederived
fromthe………………….
a.Quran&Hadis

b.HadisOnly

c.Quranonly

d.IslamicHistory

293. Theabilitytoworkwelwithotherpeople
a.Technicalskils b.Conceptualskils
c.Humanskils

d.Planningskils
294. Doingthingsdifferently,exploringnewterritory,andtakingrisks
a.MarketingManagement
b.Financialmanagement
c.HRM
d.Innovation

295. Whichofthefolowingfactorsdoesnotinfluenceissueintensity?
a.Proximitytovictim
b.Immediacyofconsequences
c.Concentrationofeffect
d.Theindividual'slocusofcontrol

296. Whichofthefolowingisnotanargumentforsocialresponsibility?
a.Ethicalobligation

32
 b.Lackofaccountability.
c.Balanceofresponsibilityandpower
d.Possessionofresources
297. Arrangingandstructuringworktoaccomplishanorganization’sgoals?
a.Planning
b.Organizing

c.Leading
d.Controling
298. ___________isaprocessthatinvolvesdefiningtheorganization'sobjectivesor
goals,establishingstrategy,anddevelopingahierarchyofplans.
a.Managing
b.MBO
c.Informalplanning
d.Planning

299. Plansthatspecifydetailsonhowoveralobjectivesaretobeachievedare
a.Standing
b.Strategic
c.Directional
d.Operational
300. Flexibleplansthatsetoutgeneralguidelinesare:
a.Directional
b.Strategic
c.Specific
d.Operational
301. Anapproachtosetingobjectivesfrom topmanagersdownwardthroughthe
organizationis:
a.Statedobjective
b.Realobjective
c.MBO
d.Traditionalgoalseting

302. Theprocessofmonitoring,comparing,andcorectingiscaled?
a.Controling
b.Coordinating
c.Leading
d.Organizing
303. Assuringtherightpeoplesareonthejob&motivated
a.Planning
b.Leading
c.Organizing

33
 d.Controling
304. Thinoutpoolofapplicantstofindthebestchoiceiscaled_________________
a.Recruiting
b.Training&development
c.Selection
d.Motivation
305. Teachtherules,regulations,goals,andcultureofthecompany
a.Employeedevelopment
b.EmployeeTraining
c.Careerdevelopment
d.Orientation

306. ActivitiesinHRMconcernedwithhelpingemployeesexertathighenergylevels
a.Communications
b.Motivations
c.Employeemaintenance
d.Compensation
307. Helpemployeestomaximizetheirpotential
a.Training&Development
b.Research&Development
c.ConflictManagement
d.Strategicmanagement

308. Determiningwhatjobsneedtobedoneandbywhom
a.Structure
b.Strategy
c.Mission
d.people

309. Includesthedevelopmentofreplacementcharts
a.Strategicplanning b.Successionplanning

c.HRplanning
d.noneofabove

310. Involveslinkingstaffinglevelstoorganizationalgoals
a.Downsizing
b.Rightsizing
c.Recruitment
d.WorkSpecialization

311. Aselectiondevice’sconsistencyofmeasurementiscaled
a.Validity
b.Reliability

34
 c.CutScore
d.noneofabove

312. Future-orientedtrainingthatfocusesonemployeepersonalgrowth
a.Employeetraining
b.Employeedevelopment
c.Jobrotation
d.Changeagent
313. Documentsthatoutlinehowgoalsaretobeaccomplished?
a.Objectives
b.Goals
c.Plans
d.Strategies
314. Establishtheorganization’soveralgoals
a.StrategicPlans
b.OperationalPlans
c.DirectionalPlans
d.SpecificPlans
315. KeyelementofMBO?
a.Goalspecificity
b.Participativedecisionmaking

c.Anexplicitperformance/evaluationperiod&feedback
d.Aloftheabove.
316. Arepetitivedecisionthatcanbehandledbyaroutineapproach?
a.ProgrammedDecision b.Non-
programmedDecision
c.Intuitivedecision
d.Rationaldecision
317. Whatmanagersdotodeveloptheorganization’sstrategies?
a.StressManagement
b.Talentmanagement
c.ConflictManagement
d.Strategicmanagement
318. Arrangingandstructuringworktoaccomplishanorganization’sgoals?
a.Planning
b.Organizing

c.Leading
d.Controling
319. Theformalarangementofjobswithinanorganization?
a.OrganizationalDesign

35
 b.OrganizationalStructure
c.Formalization
d.Noneofabove
320. Thenumberofemployeeswhocanbeeffectivelyandefficientlysupervisedbya
manager?
a.SpanofControl
b.UnityofCommand
c.ChainofCommand
d.WorkSpecialization
321. Someonewhocaninfluenceothersandwhohasmanagerialauthority?
a.Manager

b.Leader
c.Folower
d.Controler

322. Theconceptthatapersonshouldhaveonebossandshouldreportonlytothat person.

a.UnityofCommand
b.Leadership
c.Authority
d.Centralization

323. Thedegreetowhichdecisionmakingisconcentratedatupperlevelsinthe organization

a.Centralization
b.Decentralization
c.EmployeeEmpowerment
d.Departmentalization
324. ASWOTanalysisisanexampleofa:
a.Positionanalysis
b.Strategicanalysis
c.Shareholdervalueanalysis
d.Customerprofitabilityanalysis
325. Researchhasfolowingcharacteristic/characteristics.
a.Dataarecolectedsystematicaly
b.Dataareinterpretedsystematicaly
c.Thereisaclearpurposetofindthingsout
d.Aloftheabove.
326. Tocolectandanalysedatafromeverypossiblecaseorgroupmember(Entire
Population);thisistermeda.
a.Sample
b.Cluster
c.Quote
d.Census
327. The_____________foranyprobabilitysampleisacompletelistofalthecasesin
36
 thepopulationfromwhichyoursamplewilbedrawn.
a.SamplingFrame
b.SampleSize
c.SampleCase
d.SampleRecord
328. ______________samplinginvolvesyouselectingthesampleatregularintervals
fromthesamplingframe.
a.Simplerandom
b.Systematic
c.Cluster
d.Quote
329. ____________________samplingenablesyoutouseyourjudgementtoselect
casesthatwilbestenableyoutoansweryourresearchquestion(s)andtomeet
yourobjectives.
a.QuotaSampling
b.ClusterSampling
c.Snowbalsampling
d.PurposiveSampling
330. A______________variablechangesinresponsetochangesinothervariables.
a.Mediator
b.Moderator
c.Independent
d.Dependent
331. _____________datarefertodatawhosevaluescannotbemeasurednumericaly
butcanbeeitherclassifiedintosets.
a.NumericalData
b.CategoricalData
c.IntervalData
d.RatioData
332. Todescribeandcomparetheextentbywhichvaluesdifferfrom themean,we
use__________
a.StandardDerivation
b.Mode
c.Corelation
d.Regression
333. _______________________issupplementarymaterialattheendofabook,article,
documentoranyotherreport,usualyofexplanatory,statisticalorbibliographic nature.

a.Appendices
b.References
c.Discussion
d.FutureDirections
334. WhichoneisnotaWirelesscommunicationtechnology?
a) WiFi c) BlueTooth.
b) WiMax d) LAN
335. WhichfunctionisnottheresponsibilityofagoodFinancialInformationSystem?
37
 a) Budgeting b) FundsManagement
c) MarketSurveys d) AssetManagement
336. WhichofthefolowingisNOTacashoutflowforthefirm?
a.depreciation.
b.dividends.
c.interestpayments.
d.taxes.
337. Whichofthefolowingarenotamongthedailyactivitiesoffinancial
management?
a.saleofsharesandbonds
b.creditmanagement
c.inventorycontrol
d.thereceiptanddisbursementoffunds
338. Reserves&Surplusarewhichformoffinancing?
a.SecurityFinancing
b.InternalFinancing
c.LoansFinancing
d.InternationalFinancing
339. Theadditionofalcurrentassetsinvestmentisknownas.
a.NetWorkingCapital
b.GrossWorkingcapital
c.TemporaryWorkingCapital
d.Alofthese
340. Anassetisa-
a.Sourceoffund
b.Useoffund
c.Inflowoffunds
d.noneoftheabove.
341. Usesoffundsincludea(an):
a.decreaseincash.
b.increaseinanyliability.
c.increaseinfixedassets.
d.taxrefund.
342. Whichofthefolowingstatementsiscorrect?
a.IftheNPVofaprojectisgreaterthan0,itsPIwilequal0.
b.IftheIRRofaprojectis0%,itsNPV,usingadiscountrate,k,greaterthan0,wil be0.

c.IfthePIofaprojectislessthan1,itsNPVshouldbelessthan0.
d.IftheIRRofaprojectisgreaterthanthediscountrate,k,itsPIwilbelessthan1
anditsNPVwilbegreaterthan0.
343. Infinance,"workingcapital"meansthesamethingas

38
 a.totalassets.
b.fixedassets.
c.curentassets.
d.curentassetsminuscurrentliabilities.
344. ____________isdefinedasthelengthoftimerequiredtorecovertheinitialcash out-
lay.
a.Payback-period
b.Inventoryconversionperiod
c.Discountedpayback-period
d.Budgetperiod
345. ____________isthelengthoftimebetweenthefirm’sactualcashexpenditureand
itsowncashreceipt.
a.Netoperatingcycle
b.Cashconversioncycle
c.Workingcapitalcycle
d.Grossoperatingcycle
346. _______________referstothelengthoftimealowedbyafirmforitscustomersto
makepaymentfortheirpurchases.
a.Holdingperiod
b.Pay-backperiod
c.Averagecolectionperiod
d.Creditperiod
347. Amountsduefromcustomerswhengoodsaresoldoncreditarecaled
.
a.Tradebalance
b.Tradedebits
c.Tradediscount
d.Tradeoff
348.Theprocesswhichisconcernedwiththeacquisition,financingandmanagement
ofassetsiscaled

a.CapitalBudgeting

b.FinancialManagement

c.WorkingCapital

d.CapitalStructure

349.ThemajorfunctionsofaFinancialmanagerare

a.Investment

b.Financing

c.AssetManagement

d.Aloftheabove

350.Anindividualauthorizedbyanotherperson,caledtheprincipal,toactinthe
later’sbehalfiscaled

a.Management

39
 b.Shareholder

c.Agent

d.Alofabove

351. Thesystembywhichthecorporationsaremanagedandcontroledidcaled

a.CorporateSocialResponsibility

b.CorporateGovernance

c.AgencyTheory

d.FinancialManagement

352. Interestpaid(earned)ononlytheoriginalamount,orprincipalborrowed(lent)is caled

a.SimpleInterest

b.CompoundInterest

c.Discount

d.Noneofabove

353. Interestpaid(earned)onanypreviousinterestearned,aswelasontheprincipal
borrowed(lent)iscaled

a.SimpleInterest

b.CompoundInterest

c.Alofabove

d.Noneofabove

354. TheratiosthatShowafirm’sabilitytocoveritscurentliabilitieswithitscurrent
assetsarecaled

a.CurrentRatio

b.FinancialRatio

c.LeverageRatio

d.SolvencyRatio

355. TheratiosthatShowafirm’sabilitytomeetcurrentliabilitieswithitsmostliquid
assetsarecaled

a.CurrentRatio

b.AcidTestRatio

c.LeverageRatio

d.SolvencyRatio

356. Showstheextenttowhichthefirmisfinancedbydebt.

40
 a.CurrentRatio

b.AcidTestRatio

c.LeverageRatio

d.DebttoEquityRatio

357. Showsthepercentageofthefirm’sassetsthataresupportedbydebtfinancing.

a.CurrentRatio

b.DebttoTotalAssetsRatio

c.LeverageRatio

d.DebttoEquityRatio

358. Thefolowingisthemethodofcapitalbudgeting

a.CostofCapital b.InternalRateofReturn

c.WorkingCapital

d.Perpetuity

359. Therealownersofafirmarethe
a.Management

b.Agents

c.Shareholders

d.Alofabove

360. _____isasystemofmarketingbywhichorganizationscommunicatedirectly
withtargetcustomerstogeneratearesponseand/oratransaction.

a.Advertising

b.Salespromotion

c.Directmarketing

d.Publicity

361. Thepersontowhomgoodsaresoldoncreditiscaled ?
a.Buyer
b.Seler
c.Debtor
d.Creditor
362. Whenownerwithdrawcashforitsprivateuse,itiscaled ?
a.Profit
b.Income
c.Expense

41
 d.Drawings
363. Outstandingincomewilappearinbalancesheetas?

a.Aliability b.Anincome c.Anexpense d.Anasset

364. Aldirectexpendituresaretakento
a.Trading b.Profitand c.Balance d.Noneof
account lossaccount sheet these

365. Theprocessoftransferingbusinesstransactionsfromjournaltoledgeriscaled
a.Posting
b.Journalizing
c.Classifying
d.Entry
366. Incomereceivedinadvancebutnotearnediscal
a.Unearned b.Outstanding c.Accrued d.Prepaid
income expenses income expenses

MARKETINGSPECIALIZATION
367. Themajordifferencebetweenalow-costleaderstrategyandafocusedlow-cost
strategyis
a.Whethertheproductisstronglydifferentiatedorweaklydifferentiatedfromrivals
b.Thedegreeofbargainingpowerthatbuyershave
c.Thesizeofthebuyergroupthatacompanyistryingtoappealto
d.Nomajordifferencebetweenthem
368. Themarketingemphasisofacompanypursuingalow-costleadershipstrategy
usualyisto
a. Beatrivalbrandsonpricewithcomparablefeatures

b.publicizedifferentiatingfeaturesandchargeapremiumprice c.Out-
advertiserivalsandmakefrequentuseofdiscountcoupons
d.Beatcompetitiononproductquality
369. Advertisingisamajorpromotionmixingredientthatisa.?
a.Paidformofpersonalcommunication.
b.Paidformofnonpersonalcommunication.
c.Nonpaidformofpersonalcommunication.
d.Nonpaidformofnonpersonalcommunication.
370. ABankairsaseriesofradioadsthatclaim "Wearethelisteningbank."This
campaignwouldbebestdescribedas__________advertising.
a.Pioneer
b.Target
c.Product
d.Institutional

42
371. Advertisingthatpromotesorganizationalimages,ideas,andpoliticalissuesis
__________advertising.
a.defensive
b.Competitive
c.comparative
d.Institutional
372. Softdrinkcompaniesadvertisethattheirproductsbeatthecompetitionin
national"tastetests,"andtheyrefertotherivalbrandsbyname.Thistypeof
advertisingisbestdescribedas…?
a.Pioneer.
b.Competitive.
c.comparative.
d.Selective.
373. Theinitialstageinthedevelopmentofanadvertisingcampaignis…?
a.Creatingthemessage.
b.Setingthebudget.
c.Identifyingandanalyzingtheadvertisingtargetaudience.
d.Creatingtheadvertisingplatform.
374. Thetargetaudienceforanadvertisingcampaignisthe….?
a.Informationbaseonwhichtodevelopthecampaign.
b.Locationandgeographicdistributionofpersons.

c.Groupofpeopletowardwhomtheadvertisementsaredirected.
d.Overalgoaloftheadvertisingcampaign.
375. Purposesofadvertisingagenciesinclude:
a.Advise&counselonmarketingstrategy
b.Advise&counselonadvertisingandmediastrategy

c.Help&counselonsalespromotion&othercommunicationtasks
d.Alofthegivenoptions

376. _______istheprocessandactivitiespeopleengagein-whensearchingfor,
purchasing,using,evaluatinganddisposingofproductsandservicessoasto
satisfytheirneedsanddesires.
a.ConsumerBehavior
b.DecisionMaking
c.Advertising
d.Feedback

377. Aname,term,sign,designoraunifyingcombinationofthem,intendedtoidentify
anddistinguishtheproductorservicefrom competingproductsorservicesis caled .

a.PersonalName
b.TradeName

43
 c.Brand
d.Trademark
378. ________istheartandscienceoffitingtheproductsorservicestooneormore
segmentsofthebroadmarketinsuchawayastosetitmeaningfulyapartfrom
competition.
a.Positioning
b.Branding
c.Marketing
d.Segmentation
379. Price,product,placeandpromotiontogetherformthe:

a.Value

b.promotionalmix

c.marketingmix

d.integratedmarketingcommunication.

380. Priorto the developmentofintegrated marketing communications,the

promotionalfunctioninmostcompanieswasdominatedby:
a.Advertising
b.salespromotion
c.publicrelations
d.directmarketing.

381. _____isdefinedasanypaidformofnonpersonalpresentationofideas,goods,or services

by an identified sponsor using predominantly mass media communication.

a.Advertising

b.Personalseling

c.Thepromotionalmix

d.Publicity

382. _____advertisingisdonebylocalmerchantstoencourageconsumerstoshopat
aspecificstore,usealocalservice,orpatronizeaparticularestablishment.

a.Trade

b.Professional

c.Directresponse

d.Retail

383. _____advertisingistargetedatindividualswhoinfluencethepurchaseofgoods
andservicesusedtomakeotherproducts.

44
 a.Professional

b.Primarydemand

c.Retail

d.Business-to-Business

384. _____includesthosemarketingactivitiesthatprovideextravalueorincentivesfor
purchasingaproductsuchascouponsandpremiums.

a. Advertising

b. Publicrelations

c. Salespromotion

d. Brandequity

385. _____isaformofperson-to-personcommunicationinwhichaseleratemptsto
assistand/orpersuadeprospectivebuyerstopurchasethecompany'sproductor
serviceortoactonanidea.

a.Advertising

b.B.Salespromotion

c.Directmarketing

d.Personalseling

386. Geographicsegmentationisaboutdividing:

a.consumersbasedonlifestyle

b.marketsbasedonlocation

c.consumersbasedonusage

d.consumersbasedonincome.

387. Dividingthemarketonthebasisofpersonalityand/orlifestylesisreferedtoas
.

a.geographicsegmentation

b.demographicsegmentation

c.psychographicsegmentation

d.socioeconomicsegmentation

388. _____involvesignoringsegmentdifferencesandofferingjustoneproductor
servicefortheentiremarket.

45
 a.Marketingmix

b.Positioning

c.Concentratedmarketing

d.Undifferentiatedmarketing

389. _____involvesdeveloping separatemarketing strategiesfora numberof segments.

a.Differentiatedmarketing

b.Undifferentiatedmarketing

c.Concentratedmarketing

d.Behavioristicsegmentation

390. Productpositioningisabout:

a.theperceptionofaproductfromtheviewofcompetitors

b.thepositionoftheproductontheshelfofaretailstore

c.thewaytheproductispacked

d.developingaperceptionaboutaproductorserviceinthemindoftheconsumers.

391. Abrand'smarketpositionreferstoits:

a.relativemarketshare

b.locationonstoreshelves

c.imageinthemindofthecustomers

d.distributionintensity.

392. _____isabundleofbenefitsorvaluesthatsatisfiestheneedsofconsumers.

a.Productusepositioning

b.Market

c.Product

d.Channel

393. Problemrecognitionispartof:

46
 a.Thedecisionprocess

b.Personalinfluence

c.Themarketingmix

d.noneofthese

394. Post-purchaseevaluationmeans:

a.Researchingconsumerswhohavepreviouslyboughttheproduct.

b.Comparingthepurchaseoutcomewithpreviousexpectations.

c.Feelingsofdisappointmentfolowingapurchase. d.BothAandB

395. Obtainingsatisfactionthroughfulfilingone'spotentialiscaled:

a.Esteem.

b.Self-actualisation

c.Perception

d.Noneofthese

396. Thecomponentofatituderelatingtobeliefsanddisbeliefsiscaled:

a. Conative.

b. Cognitive.

c. Affective.

d. Perception

397. Thecomponentofatituderelatingtoemotioniscaled:

a. Conative.

b. Affective.

c. Cognitive.

d. Perception.

398. …………….aresociety'srelativelypermanentandordereddivisionswhosemembers
sharesimilarvalues,interests,andbehaviors.

47
 a. Subcultures

b. Socialclasses

c. Perceptions

d. Purchasedecisions

399. Familyisoneofthe………….factorsthatinfluenceconsumerbehavior.

a. social

b. personal

c. psychological

d. cultural

400. _______includesaltheactivitiesinvolvedinselinggoodsorservicestothefinal
consumersforpersonal,nonbusinessuse.
a)merchandisingc)procurementc)retailingd)alofthese
401. Purposeofretailmanagementisto .
a)savecustomer’stimeb)retaincustomerc)satisfycustomerd)botha&b
402. Retailersoftenactasthecontactbetweenmanufacturers,wholesaleand_______
a)tradersb)intermediariesc)customersd)distributor
403. A¬______storeisasetupwhichofferswiderangeofproductstoendusersunder oneroof.

a)discountb)specialityc)departmentd)botha&b
404. Astoreformatwhichgeneralyselsfoodproductsandhouseholditems,properly
placedandarrangedinspecificdepartments .
a)conveniencestoreb)grocerystorec)supermarketd)mals
405. ______pricingfixoccurswhenagroupofcompetingretailersestablishesafixed
priceatwhichtoselcertainbrandsofproducts.
a)dyadicb)verticalc)horizontald)monopolistic
406. ______pricefixoccurswhenaretailercolaborateswiththemanufactureror
wholesalertoreselanitematanagreed-onprice.
a)dyadicb)verticalc)horizontald)monopolistic
407. _______waranties is eitherwriten orverbalized agreements aboutthe
performanceofaproductandcancoveralatributesofthemerchandiseoronly
oneatribute.
a)explicitb)implicitc)expressedd)implied
408. ______________referstothemanagementofmerchandisecategories,orlines,
ratherthanindividualproducts,asstrategicbusinessunit.
a)CategoryManagement,b)MerchandiseManagement,c)retailmanagement,d)
bothb&c
409. Thenumberofmerchandisebrandsthatarefoundinamerchandiselineis knownas

a)breadth,b)depth,c)assortment,d)botha&c
410. Whichoneofthefolowingaremerchandiseconstrainingfactors?
a)CurencyConstraints,b)SpaceConstraints,c)TurnoverConstrains,d)alof these

48
411. Consignmentiswhenthevendorretainstheownershipofthegoodsandusualy
establishestheselingprice;itispaidonlywhenthegoodsare______bythe retailer.

a)bought,b)sold,c)owned,d)notsold
412. Maintainhighmerchandiseturnoverwhilemaintaining_______margingoalsisan
importantconflictinstockplanning. a)high,b)low,c)equal,d)adequate

413. Reliabilityofdelivery,tradetermsandprojectedmarkuparethecriteriafor selectionof .

a)retailing,b)merchandising,c)wholesaling,d)noneofthese

414. A ___________isofferedasaninducementtopurchaselargequantitiesof
merchandiseinquantitydiscount.
a)pricereduction,b)productreduction,c)pricecontrol,d)increasedprice
415. A discountprovided to retailers ifthey purchase and take delivery of
merchandiseintheoffseason.
a)tradediscount,b)cashdiscount,c)seasonaldiscount,d)promotional
discount.
416. _____________occurswhenanemployeeofoneoftheretailer’svendorssteals
merchandiseasitisdeliveredtotheretailer.
a)Vendorcolusion,b)shrinkage,c)employeetheft,d)customertheft
417. Inthesuppliesdecisionstageacompanyshouldnotin-sourcewhen
a)Uncertaintyofeconomyislow b)uncertaintyofeconomyishighc)Low
competitioninmarketplaced)Lowtransparencyofsupplier
418. Thingstoconsiderinthesupplierevaluationinsupplymanagementarefolowing
except______
a)financialstatusb)procurementmethodsc)trackrecordd)costofproduction
419. InthetotalcostofownershipanalysiswhichoneisnotaDirectcost.
a)materialb)labourc)machineryd)freight
420. InthetotalcostofownershipanalysiswhichoneisnotaIndirectcost.
a)administrationb)depreciationc)variableoverheadd)lease
421. E-martisanexampleof
a)Corporateretailchains,b)Franchises,c)Independents,singlestore,d)
companysponsored
422. IntegrationofTechnologyinvolves
a)Supply Chain Management,b)CustomerManagement,c)Customer
Satisfaction,d)alofthese

FINANCESPECIALIZATION

423. Afirm'soperatingcycleisequaltoitsinventoryturnoverindays(ITD)
a.plusitsreceivableturnoverindays(RTD).

b.minusitsRTD.
c.plusitsRTDminusitspayableturnoverindays(PTD).
d.minusitsRTDminusitsPTD
424. XYZCompanyhadsaleslastyearofRs.265milion,includingcashsalesofRs.

49
 25milion.Ifitsaveragecolectionperiodwas36days,itsendingaccounts
receivablebalanceisclosestto.(Assumea365-dayyear.)
a.Rs.26.1milion
b.Rs.23.7milion
c.Rs.7.4milion
d.Rs.18.7milion
425. Inlastyearthecurrentratiowas3:1andquickratiowas2:1.Presentlycurent
ratiois3:1butquickratiois1:1.Thisindicatescomparably
a.highliquidity
b.higherstock
c.lowerstock
d.lowliquidity
426. Youareconsideringtwomutualyexclusiveinvestmentproposals,projectAand
projectB.B'sexpectedvalueofnetpresentvalueis$1,000lessthanthatforAandA
haslessdispersion.Onthebasisofriskandreturn,youwouldsaythat
a.ProjectAdominatesprojectB.
b.ProjectBdominatesprojectA.
c.ProjectAismoreriskyandshouldoffergreaterexpectedvalue.
d.Eachprojectishighononevariable,sothetwoarebasicalyequal.
427. Whatarethedifferentoptionsotherthancashusedfordistributingprofitsto
shareholders?
a.Bonusshares
b.Stocksplit
c.Stockpurchase
d.Alofthese
428. InWaltermodelformulaDstandsfor
a.Dividendpershare b.DirectDividend
c.DividendEarning

d.Noneofthese
429. Whentotalcurrentassetsexceedstotalcurentliabilitiesitrefersto.
a.GrossWorkingCapital
b.TemporaryWorkingCapital
c.Bothaandb
d.NetWorkingCapital
430. Iftheweightingofequityintotalcapitalis1/3,thatofdebtis2/3,thereturnon
equityis15%thatofdebtis10%andthecorporatetaxrateis32%,whatisthe
WeightedAverageCostofCapital(WACC)?
a.10.533%
b.7.533%
c.9.533%
d.11.350%
431. Whichofthefolowingwouldnotbefinancedfromworkingcapital?
a.Cashfloat.

50
 b.Accountsreceivable.
c.Creditsales.
d.Anewpersonalcomputerfortheoffice.
432. Whatisthedifferencebetweenthecurentratioandthequickratio?
a.Thecurrentratioincludesinventoriesandthequickratiodoesnot.
b.Thecurrentratiodoesnotincludeinventoriesandthequickratiodoes.
c.Thecurrentratioincludesphysicalcapitalandthequickratiodoesnot.
d.Thecurrentratiodoesnotincludephysicalcapitalandthequickratiodoes.
433. Whichofthefolowingisnottheresponsibilityoffinancialmanagement?
a.alocationoffundstocurrentandcapitalassets
b.obtainingthebestmixoffinancingalternatives
c.preparationofthefirm'saccountingstatements
d.developmentofanappropriatedividendpolicy
434. BanksgeneralypreferDebtEquityRatioat:
a.1:1
b.1:3
c.2:1
d.3:1
435. Ifacompanyissuesbonussharesthedebtequityratiowil
a.Remainunaffected
b.Wilbeaffected
c.Wilimprove
d.noneoftheabove.
436. InthebalancesheetamountoftotalassetsisRs.10lac,currentliabilitiesRs.5
laccapital&reservesareRs.2lac.Whatisthedebtequityratio?
a.1;1
b.5:1
c.2:1
d.noneoftheabove.
437. Whichofthefolowingwouldbeincludedinacashestimation/budget?
a.depreciationcharges.
b.dividends.
c.goodwil.
d.patentamortization.
438. Whichofthefolowingwouldbeconsideredanapplicationoffunds?
a.adecreaseinaccountsreceivable.
b.adecreaseincash.
c.anincreaseinaccountpayable.
d.anincreaseincash.
439. AlofthefolowinginfluencecapitalbudgetingcashflowsEXCEPT:
a.accelerateddepreciation.
b.salvagevalue.

51
 c.taxratechanges.
d.methodofprojectfinancingused.
440. Theestimatedbenefitsfromaprojectareexpressedascashflowsinsteadof
incomeflowsbecause:
a.itissimplertocalculatecashflowsthanincomeflows.
b.itiscash,notaccountingincome,thatiscentraltothefirm'scapitalbudgeting
decision.
c.thisisrequiredbytheInternalRevenueService.
d.thisisrequiredbytheSecuritiesandExchangeCommission.
441. Aprofitabilityindexof.85foraprojectmeansthat:
a.thepresentvalueofbenefitsis85%greaterthantheproject'scosts.
b.theproject'sNPVisgreaterthanzero.
c.theprojectreturns85centsinpresentvalueforeachcurentdolarinvested.
d.thepaybackperiodislessthanoneyear.
442. Aproject'sprofitabilityindexisequaltotheratiooftheofaproject'sfuturecash
flowstotheproject's.
a.presentvalue;initialcashoutlay
b.netpresentvalue;initialcashoutlay
c.presentvalue;depreciablebasis
d.netpresentvalue;depreciablebasis
443. ThediscountrateatwhichtwoprojectshaveidenticalisreferredtoasFisher's
rateofintersection.
a.presentvalues
b.netpresentvalues
c.IRRs
d.profitabilityindexes
444. Toincreaseagivenpresentvalue,thediscountrateshouldbeadjusted
a.upward.
b.downward.
c.Nochange.
d.constant
445. Whichofthefolowingwouldbeconsistentwithamoreaggressiveapproachto
financingworkingcapital?
a.Financingshort-termneedswithshort-termfunds.
b.Financingpermanentinventorybuildupwithlong-termdebt.
c.Financingseasonalneedswithshort-termfunds.
d.Financingsomelong-termneedswithshort-termfunds.
446. Whichasset-liabilitycombinationwouldmostlikelyresultinthefirm'shavingthe
greatestriskoftechnicalinsolvency?
a)Increasingcurrentassetswhileloweringcurentliabilities.
b)Increasingcurrentassetswhileincuringmorecurentliabilities.
c)Reducingcurentassets,increasingcurrentliabilities,andreducinglong-termdebt.
d)Replacingshort-termdebtwithequity.

52
447. _______________referstotheamountinvestedinvariouscomponentsofcurrent
assets.
a.Temporaryworkingcapital
b.Networkingcapital
c.Grossworkingcapital
d.Permanentworkingcapital
448. _______________referstoafirmholdingsomecashtomeetitsroutineexpenses
thatareincuredintheordinarycourseofbusiness.
a.Speculativemotive
b.Transactionmotive
c.Precautionarymotive
d.Compensatingmotive
449. CapitalManagement,Cashmanagement,Creditmanagementarethefunctions of

a.Treasurerb.Controlerc.botha&b d.Noneofthem

450. Costaccounting,preparationofbudgets,preparationoffinancialstatements,
forecastingandinternalcontrolarethefunctionsof

a.Treasurerb.Controlerc.BothA&B d.Noneofabove

451. Thevalueatsomefuturetimeofapresentamountofmoney,oraseriesof
payments,evaluatedatagiveninterestrateiscaled

a.FutureValue b.PresentValue c.BothA&B d.Noneofabove

452. Thecurrentvalueofafutureamountofmoney,oraseriesofpayments,
evaluatedatagiveninterestrateiscaled

a.FutureValue b.PresentValue c.BothA&B d.Noneofabove

453. Mr.AliwantstoknowhowlargehisdepositofRs.10,000todaywilbecomeata
compoundannualinterestrateof10%for5years.

a.Rs.16,105b.Rs.18,230 c.Rs.15110 d.Rs.15900

454. Aseriesofequalpaymentsorreceiptsoccurringoveraspecifiednumberof
equidistantperiodsiscaled

a.Future b.PresentValue c.Annuity d.Perpetuity

455. Paymentsorreceiptsoccurattheendofeachperiodiscaled
a.OrdinaryAnnuityb.AnnuityDue c.BothA&B d.Annuity

456. Paymentsorreceiptsoccuratthebeginningofeachperiodiscaled
a.OrdinaryAnnuityb.AnnuityDue c.BothA&B d.Annuity

457. Theactualrateofinterestearned(paid)afteradjustingthenominalratefor
factorssuchasthenumberofcompoundingperiodsperyeariscaled

a.SimpleInterest b.CompoundInterest c.EffectiveAnnualInterestRated.Alof above

458. Atableshowingtherepaymentscheduleofinterestandprincipalnecessaryto
payoffaloanbymaturityiscaled

53
a.PresentValue b.FutureValue c.AmortizationSchedule d.Annuity

459. APersonisborrowingRs.10,000atacompoundannualinterestrateof12%.
Whatwilbetheannualinstalmentifannualpaymentsaremadefor5years?

a.Rs.2,774 b.Rs.2,994 c.Rs.3,014 d.Rs.2,611

460. Anordinaryannuitywhosepaymentsorreceiptscontinueforeveriscaled

a.PresentValue b.FutureValue c.AmortizationSchedule d.Perpetuity

461. A______________isanindexthatrelatestwoaccountingnumbersandisobtained
bydividingonenumberbytheother.

a.LiquidityRatiob.FinancialRatioc.LeverageRatiod.SolvencyRatio

462. ______________Indicatestheeffectivenessoftheinventorymanagementpractices
ofthefirm.

a.CurrentRatio

b.DebtorsTurnoverRatio

c.CreditorsTurnoverRatio

d.InventoryTurnoverRatio

463. _____________Indicatesthefirm’sprofitabilityaftertakingaccountofalexpenses
andincometaxes.

a.CurrentRatio

b.NetProfitRatio

c.LeverageRatio

d.DebttoEquityRatio

464. Thediscountratethatequatesthepresentvalueofthefuturenetcashflows
fromaninvestmentprojectwiththeprojectinitialcashoutflowiscaled

a.InternalRateofReturn

b.PaybackPeriod

c.NetPresentValue

d.ProfitabilityIndex

465. Thepresentvalueofaninvestmentprojectnetcashflowsminusprojectinitial
cashoutflowiscaled

a.InternalRateofReturn

b.PaybackPeriod

c.NetPresentValue

d.ProfitabilityIndex

466. Theratioofpresentvalueofprojectnetfuturecashflowstotheprojectinitial
cashoutflowsiscaled

54
a.InternalRateofReturn

b.PaybackPeriod

c.NetPresentValue

d.ProfitabilityIndex

467. Ifnetpresentvalueofaprojectinvestmentiszeroormore,thenprojectwil

a.Accepted

b.Rejected

c.NoneofAbove

d.BothA&B

468. InMurbahaagreement,thefinancermayappointagentwhich………………

a.Mustbecustomeritself

b.maybethecustomeritself

c.mustbethirdparty

d.mustbeseleritself.

469. Murbahacouldbeusedonlyforthepurchasingof…………………….

a.Freshassets

b.usedasset

c.oldassets

d.futuremadegoods

470. ………………isasalecontractwherethefulpaymentofthegoodsarepaidin advance

a.Murabaha

b.Salam

c.Muswama

d.Normalsale

471. Contractof…………doesn’tvalidfortheproductsthataremustbedeliveredatthe
spot.

a.Salam

b.Muswama

c.Murabah

d.Ijarah

472. …………isasimplesalethatweareusedinourdailyroutinelife.

55
a.Ijarah

b.Istisna

c.paralelsalam

d.Muswama

473. Saleofdebtis………………………

inShariah, a.Alowed

b.notalowed

c.alowedwithsomeconditions

d.notstrictlyalowed

474. A fund where thesubscription amountisinvested in differenttypesof

investments,likeequities,leasing,commodities,etc.isknownas……………………

a.IjarahFund

b.Mixedfund

c.equityfund

d.murbahafund

475. Murabahaisakindofsalewherethecertainprofitaddedtotheactualcostofthe
goodswhichis………………………………

a.hiddenfromthebuyer

b.knowbythebuyer

c.knowntotheseler

d.don’tknowanyone

ACCOUNTINGSPECIALIZATION

476. ___________meansthegeneralyacceptedaccountingprincipleunderwhichthe
valuationofstock-in-tradeisbasedonaweightedaveragecostofunitsonhand
a.Centralaveragemethod
b.Weightedaverage
c.Stockintrademethod
d.Averagecostmethod
477. __________meansthecostofmaterialsthatbecomeanintegralpartofthestock-

56
 intrademanufacturedorproduced,orwhichareconsumedinthemanufacturing
orproductionprocess

a.fixedcost
b.productcost
c.directmaterialcost
d.stock-intrade

478. Theassetswhichcomeintoexistenceuponthehappeningofacertaineventare
caled?
a.Contingentassets
b.Fixedassets
c.Fictitiousassets
d.Quickassets
479. Paymentforfreightonrawmaterialpurchasediscaled

a.Capital b.Revenue c.Defered d.Noneof

payment payment revenue these
payment

480. WhatfromthefolowingisNOTacurrentasset?
a.Patentrights b.Inventory c.Cash d.Trade
receivables

481. Depreciableamount=
a.Costofanasset+Residualvalue
b.Costofanasset–Residualvalue
c.Residualvalue–Costofanasset
d.Noneofthese
482. Accordingtotheconcept,expensesarematchwithrevenuetostudythe businessresults

a.Dualaspect b.Matching c.Businessentity d.Costconcept

concept concept concept
483. Thistypeofriskisavoidablethroughproperdiversification.
a.portfoliorisk b.systematic c.unsystematic d.totalrisk
risk risk

484. Debitbalanceofcashbookisalsocaled
a.Favourable b.Unfavourable c.Credit d.Alofthese
balance balance balance

485. Acopyofcustomeraccountinthebankledgeriscaled
a.Balance b.Bank c.Deposit d.Withdrawal
statement statement statement statement

486. Theamountsetingasideoutofprofitforapossiblelossorliabilitiesiscaled a.Alowance

b.Provision c.Reserves d.Alofthese

487. Costaccountingdepartmentprepares___________thathelpsthem inpreparing

finalaccounts.
a.Cost b.Costofgoodssoldc.Costof d.Material

57
 sheets statement production requisitionform
Report
488. Weightedaveragecostperunitiscalculatedbywhichofthefolowingformula?

a.Costofgoods b.Total c.Costofgoods d.Costof

issued/number Cost/Total manufactured/closing goods
ofunitsissued Units units sold/total
units
489. ________methodassumesthatthegoodsreceivedmostrecentlyinthestoresor
producedrecentlyarethefirstonestobedeliveredtotheirquestioning department?

a.LIFO b.FIFO c.Weighted d.Mostrecent

average pricemethod
method
490. AccountingRatiosareimportanttoolsusedby
a.Managers,
b.Researchers

c.Investors
d.Aloftheabove
491. Whichofthefolowingisanexampleofanon-adjustingevent?
a. Saleofinventoryforlessthanitscaryingvalueshortlyafterthereportingperiod
b. Amountsreceivedinrespectofaninsuranceclaimbeingnegotiatedatthe
periodend
c. Destructionofamachinebyfireafterthereportingperiod
d. Bankruptcyofamajorcustomerwithabalanceowingattheperiodend

492. Aconstructioncontractinwhichthecontractorisreimbursedforpre-defined
costs,plusapercentageoftheseorafixedfeemark-up,iscaled…
a. Fixedpricecontract
b. Pre-definedcontract
c. Costpluscontract
d. Negotiatedcontract

493. Acontractinwhichthecontractoragreestoapre-determinedcontractprice,
whichinsomecasesissubjecttocostescalationclausesiscaleda…
a. Fixedpricecontract
b. Pre-definedcontract
c. Costpluscontract
d. Negotiatedcontract
494. Whichofthefolowingcostscannotbealocatedtoaconstructioncontractcost?
a. Materialusedinconstruction
b. Selingcosts
c. Rectificationwork
d. Designwork

495. Whichofthefolowing isnotarequirementindetermining whetherthe

constructionofaseriesofassetsshouldbetreatedasseparatecontracts?
a. Separateproposalsweresubmited
b. Thecustomercouldusedifferentcontractorsforeachasset
c. Contractswilrunconcurentlyorinasinglesequence
d. Costsandrevenuescanbeseparatedforeachasset

496. Revenueandcostswhicharerecognizedaccordingtothestageofcompletionof
58
 acontractiscaledthe:
a. Estimatedvaluemethod
b. Percentageofcompletionmethod
c. Reliableestimatemethod
d. Costplusmethod

497. Contractrevenueismeasuredat____ofreceivedorreceivablerevenue
a. Fairvalue
b. Presentvalue
c. Cost
d. Amortizedvalue
498. Whichofthefolowingisnotacostrelatingtoaconstructioncontract?
a. Wagesforsitesupervisors
b. Costsofmachinerental
c. Depreciationofidlemachinery
d. Costsofmaterialsused
499. Thechangeinforecastedcontractrevenueorcostsis…
a. achangeinaccountingpolicy
b. achangeinaccountingestimate
c. aneror
d. Noneofthese
500. Afixedpricecontractisacontractinwhichthecontractoragreestoa…
a. Fixedcontractprice,butmustbeartheescalationcosts
b. Fixedcontractpricewhichmightbesubjecttoescalationcosts
c. Fixedrateperunitofoutputwhichisnotsubjecttoescalationcosts
d. Fixedrateperunitofoutputandbearsescalationcosts
501. Whichofthefolowingisnotamethodindeterminingthestageofcompletionof
aconstructioncontract?
a. Proportionofcontractcostsincured
b. Progresspaymentsreceived
c. Surveysofworkperformed
d. Physicalproportionofworkcompleted
502. Whenthecontractcostsarelikelytoexceedcontractrevenue,thenthelosses
shalberecognized…
a. Immediately
b. Withinthesameperiod
c. Withinthenextperiod
d. Whenthelossesareactualyincurred

503. Alocationofgeneraloverheadstoaconstructioncontractshouldbebasedon
____activitylevels.
a. Abnormal
b. Expected
c. Normal
d. Actual
504. Financeleasesareaccountedforinthebooksoflessorinasimilarmannerto
a. Credittransactions
b. Cashtransactions
c. Saleandleasebackagreements
d. Loanforgiveness
505. Inanoperatinglease,ifarebateisreceived,howshoulditberecordedinthe
financialstatements?
a. TreatasdeferedincomeandreleasetoP&Lovertheleaseterm
b. Recognizeimmediatelyasincome

59
 c. Deductfromthevalueoftheleasepayments
d. Ignore
506. Thepaymentovertheleasetermthelesseecanormustmakeiscaled…
a. Principal
b. Interest
c. Presentvaluepayments
d. Minimumleasepayments

507. Whenaleasetransferssubstantialyaltherisksandrewardsofownershipto
lessee,thisiscaled…
a. Afinancelease
b. Anoperatinglease
c. Abuy-to-letagreement
d. Arentalagreement

508. Whichofthefolowingisnotadisclosurerequirementforfinanceleases?
a. Caryingamountofasset
b. Marketvalueofasset
c. Generaldescriptionofsignificantleasingarrangements
d. Reconciliationbetweentotalminimumleasepaymentsandtheirpresentvalue

509. Aleasedassetshouldbedepreciatedoverthe…
a. Shorteroftheleasetermandtheasset’susefullife
b. Longeroftheleasetermandtheasset’susefullife
c. Entireleaseterm
d. Usefullifeoftheasset

510. Whichofthefolowingisnotanindicationaleaseisafinancelease?
a. Theleasetransfersownershipoftheassettothelesseeattheendofthelease
b. Theleasetermisforashortpartoftheeconomiclifeoftheasset
c. Theleasedassetsarespecialisedinnature
d. Thepresentvalueofminimumleasepaymentamountstosubstantialyalofthe
fairvalueoftheasset
511. Operatingleasesaremostly______agreements.
a. Longterm
b. Mediumterm
c. Shortterm
d. Verbal
512. Revenueofentityshalbemeasuredat:
a. Costofsales
b. FairValue
c. Costofproduction
d. MarketValue

513. ALimitedshipsgoodsbyseatoaforeigncompany,BLimited.Aspertheterms
ofthecontract,anylossordamagetothegoodsuntilitreachesthefactoryofB
LimitedshalbebornebyALimited.InthiscasewhendoesALimitedrecognize revenue?

a. WhenthegoodsleavethefactoryofALimited
b. WhenthegoodsreachthecountryinwhichBislocated
c. Whenthegoodsarepackedandreadyforsale
d. WhengoodsreachthefactoryofBLimited
514. Whentheoutcomeofthetransactioninvolvingtherenderingofservicescannot
beestimatedreliably,thenrevenueshal:
a. Notberecognized

60
 b. Recognizedtotheextentofexpensesrecognisedarerecoverable
c. Bedefered
d. Recognizedfulyirespectiveoftheoutcome

515. Inanagencytransaction:
a. Onlytherevenuefromsaleisrecognized
b. Revenuefromsalenetofcommissionisrecognized
c. Commissionisaddedtothesalevalueandthetotalisrecognized
d. Onlycommissionisrecognized

516. Whentheselerretainsanobligationforunsatisfactoryperformancenotcovered
bynormalwarranty:
a. Theyaresaidtohaveretainedinsignificantrisk
b. Theyaresaidtohaveretainedsignificantriskandrewardsofthesale
c. Theyaresaidtohavetransferredtheriskandrewardofsaletothebuyer
d. Theyaresaidtohavetransferredperformanceriskstothebuyer

517. Revenuefromsaleofgoodsisrecognizedwhen:
a. Thegoodshavebeendeliveredtothebuyer
b. Thecashhasbeenreceivedforthesaleofgoods
c. Thesignificantrisksandrewardsofownershiphavebeentransferedtothe buyer

d. Saleorderhasbeenreceived

518. Royaltiesshouldberecognisedon:
a. Cashbasis
b. Receiptbasis
c. Paymentbasis
d. Accrualbasis
519. Revenueaccruingtoanentityincludes:
a. Investmentcapitalflowingintoanentity
b. Grossinflowofeconomicbenefitsofordinaryactivities
c. Proceedsfromissueofstockandshares
d. Noneoftheabove
520. WhichofthefolowingsecuritiesdonotinfluencedilutedEPS?
a. Equitysharesnotentitledtodividend,butwhichmayinthefuture
b. Ordinarypreferenceshares
c. Convertibleloanstock
d. Shareoptions
521. Whichofthefolowingisnotanexampleofapotentialordinaryshare?
a. Standardpreferedshare
b. Convertiblepreferredshare
c. Sharewarants
d. Convertibledebt
522. WhichofthefolowingshouldbeadjustedwhencalculatingdilutiveEPS?
a. Preferencedividendspayableonconvertiblepreferenceshares
b. Interestpaidonconvertibledebt
c. Paymentstonon-discretionaryemployeeprofitsharingplans
d. Alofthese
523. BasicEPSiscalculatedusingthenetprofitoflossfortheperiodatributableto…
a. Ordinaryshareholders
b. Preferredshareholders
c. Debentureholders
d. Securedcreditors
524. WhereshouldbasicEPSbepresentedinthefinancialstatements?

61
 a. StatementofComprehensiveIncome
b. StatementofFinancialPosition
c. StatementofChangesinEquity
d. Notestothefinancialstatements
525. DilutedEPSshows
a. TheexpectedEPSifalsecuritieswithanequityinterest,exercisethose
interests
b. TheexpectedEPSifthesharepricefals
c. TheexpectedEPSifalloansaredischarged
d. TheexpectedEPSifequityoptionsandwarantsareredeemed
526. Ordinarysharesoutstandingduringtheperiodare
a. Basedontheoutstandingsharesinthepreviousperiod
b. Basedontheoutstandingsharesatthestartoftheperiod
c. Basedontheoutstandingsharesattheendoftheperiod
d. Theweightedaveragenumberofsharesoutstandingduringtheperiod
527. Acurentassetorliabilityisexpectedtoberecoveredorsetledwithin.
a. Threemonths
b. Sixmonths
c. Twelvemonths
d. Twentyfourmonths

528. Whichofthefolowingisacurentliability?
a. Bankoverdraft
b. Mortgage
c. Preferenceshares
d. Retainedearnings

529. WhichofthefolowingisnotacomponentofaStatementofFinancialPosition?
a. Non-currentassets
b. Inventories
c. Costofgoodssold
d. RetainedEarnings

530. Whichofthefolowingareexamplesofcurrentassets?
a. Motorvehicles
b. Prepayments
c. Sharepremium
d. Goodwil

531. Whatisthetermusedtodescribethetimebetweentheacquisitionofassetsfor
processingandtheirrealizationincashorcashequivalents?
a. Processingcycle
b. Turnover
c. Operatingcycle
d. Turnaround
532. Cashpaymentstoandonbehalfofemployeesisanexampleofcashflowsfrom
a. Operatingactivities
b. Financingactivities
c. Investingactivities
d. Noneofthese
533. Theprincipalrevenue-producingactivitiesofanentityarecaled…
a. Operatingactivities
b. Investingactivities
c. Financingactivities
d. Noneofthese

62