Issue of Debentures — Accountancy STD 12 Commerce — Question

Ratio which comes under liquidity ratios is:

1. Debt ratio
2. Quick ratio
3. Proprietary ratio
4. Debt-equity ratio

Debentures which are transferred by mere delivery are called:

1. Registered Debentures
2. First Debentures
3. Bearer Debentures
4. None of these

Risk in capital budgeting implies that the decision-maker knows _______ of the cash flows.

1. Variability
2. Probability
3. Certainty
4. None of the Above

A Company formed and registered for future projects or to hold an asset or intellectual property rights can apply for registration as ___________.

1. Dummy company
2. Sham company
3. Dormant company
4. Inactive company

Where Purchase of goodwill in Cash Flow Statement Will appear Under?

1. Cash flow from Operating Activities
2. Cash & cash Equivalent
3. Cash flow from Investing Activities
4. Cash flow from Financing Activities

Which of the following is an example of activity ratio?

1. Net profit ratio
2. Operating ratio
3. Current ratio
4. None of the above

Financial statement in relation to a company includes __________.

1. Balance Sheet
2. Statement of Profit & Loss
3. Cash Flow Statement
4. All of the Above

Accrued liability stands for.......

1. Income unearned
2. Unrealized income
3. Unpaid expenses
4. Sundry expenses

Pre-acquisition profit in subsidiary company is considered as ___________.

1. Revenue profit
2. Capital profit
3. Goodwill
4. Minority interest

When debentures are issued as collateral security, which entry has to be passed?

1. Debenture Suspense A/c Dr. To Debentures
2. No entry has to be made
3. (a) or (b)
4. None of these