CLICK HERE FOR VARIOUS NEW JOBS 
CLICK HERE FOR VARIOUS EDUCATIONAL NEWS 
CLICK HERE FOR NEW SCHOLARSHIPS 
CLICK HERE FOR ADMISSION NOTICES 
Click And Follow On Google+ To Get Updates
Please Wait 10 Seconds... OR You CanSkip

ADMISSION NOTICES
Scholarships

Scholarship-300x291

BUDGET 2014-15
budget_2014-2015
New Date Sheets
VU SOLVED ASSIGNMENTS
Recent Posts

Posts Tagged ‘VU . ACC501. MID. TERM .3 .Past. Exam .Paper’

VU ACC501 MID TERM 3 Past Exam Paper

.

Question No: 1

( Marks: 1 )

– Please choose one

The Ratios showing the ability of a firm to pay its bills in short-run are called:

► Leverage Ratios

► Liquidity Ratios

► Profitability Ratios

► Market Value Ratios

Question No: 2

( Marks: 1 )

– Please choose one

Evaluating the size, timing and risk of future cash flows is the essence of :

► Capital Budgeting

► Capital Structure

► Inventory Control

► None of the given options

Question No: 3

( Marks: 1 )

– Please choose one

Sumi Corporation is dealing in furniture industry. It has an equity multiplier of 1.78

times. The debt to equity ratio would be:

► 0.38 times

► 0.58 times

► 0.78 times

► 0.98 times

Question No: 4

( Marks: 1 )

– Please choose one

________________ involves the sale of used securities from one investor to another.

► Primary Market

► Secondary Market

.

► Tertiary Market

► None of the given options

.

Question No: 5

( Marks: 1 )

– Please choose one

SNT Corporation paid Rs. 28,900 as tax in 2006. If the tax rate was 34%, what was the

taxable income of the corporation during 2006?

► Rs. 90,000

► Rs. 85,000

► Rs. 65,000

► Rs. 77,000

Question No: 6

( Marks: 1 )

– Please choose one

______________ pays no coupon at all and is offered at a price that is much lower than its

stated value.

► Government Bond

► Floating Rate Bond

► Zero Growth Bond

► None of the given options

Question No: 7

( Marks: 1 )

– Please choose one

Which of the following statement provides a financial summary of the firm’s operating

results during a specified period.

► Balance Sheet

► Income Statement

► Cash Flow Statement

► Retained Earning Statement

Question No: 8

( Marks: 1 )

– Please choose one

Depreciation expense does not reflect a cash outflow but still shown as an expense on the

.

income statement to serve as a:

► Cash inflow

.

► Cash outflow

► Tax Shield

► Interest Shield

Question No: 9

( Marks: 1 )

– Please choose one

Investors demand extra yield on a taxable bond as a compensation for the unfavorable tax

treatment, known as:

► Taxability premium

► Inflation premium

► Interest Rate Risk Premium

► None of the given options

Question No: 10

( Marks: 1 )

– Please choose one

If you invest Rs. 150 in a bank on an interest rate of 14%. How much will you have in

your account after 5 years ?

► Rs. 78

► Rs.163

► Rs. 207

► Rs. 289

Question No: 11

( Marks: 1 )

– Please choose one

A series of constant, or level, cash flows that occur at the end of each period for some

fixed number of periods is called Perpetuity.

► True

► False

Question No: 12

( Marks: 1 )

– Please choose one

A dollar in hand today is worth more than a dollar promised at some time in future.

.

► True

► False

.

Question No: 13

( Marks: 1 )

– Please choose one

Profit Margin is calculated by dividing Net Income over Sales.

► True

► False

Question No: 14

( Marks: 1 )

– Please choose one

While making Common Size Statements, Balance sheet items are shown as a percentage

of total liabilities.

► True

► False

Question No: 15

( Marks: 1 )

– Please choose one

Present value of all the cash inflows can be calculated by compounding each cash flow

separately.

► True

► False

Question No: 16

( Marks: 5 )

Cash Flows for a project are given below:

Compute the Future Value of cash flow stream of project at the end of year 5 with a

compound annual interest rate of 14%.

Question No: 17

( Marks: 5 )

.

Period Cash Flows

1 Rs.8,000

2 Rs.12,000

3 Rs.20,000

4 Rs.35,000

5 Rs.40,000

Explain the difference between Simple Interest & Compound Interest with the help of

example.

Question No: 18

( Marks: 5 )

.

Bond Par Value

(Rs.)

Coupon Rate

(%)

Years to Maturity

(Years)

Req. Stated

Return (%)

A 1,000 7 12 8

B 500 12 15 10

C 100 16 20 12

A company has total annual sales (25% on cash basis) of Rs.3,000,000 and a gross profit

margin of 20 %. Its current assets are Rs. 500,000; current liabilities are Rs. 340,000;

inventories are Rs. 260,000; and cash is Rs. 60,000.

Calculate:

(a) How much average inventory should be carried if management wants the inventory

turnover to be 5 times? and

(b) How rapidly (in how many days) must accounts receivable be collected if

management wants to have an average of Rs.240,000 invested in receivables? (Assume a

365-day year.)

Question No: 19

( Marks: 10 )

ST manufacturing company is offering the following bonds for issue. Calculate the value

of each bond.

Note :

>> In case of Bond A, interest payments are made annually

>> In case of Bond B, interest payments are made semi-annually

>> In case of Bond C, interest payments are made quarterly

ALL NEW RESULTS
Educational News

Updated Educational News

Categories
POSTS BY DATE
December 2016
M T W T F S S
« Sep    
 1234
567891011
12131415161718
19202122232425
262728293031