6. Profit after tax is also termed as
a. Real Profit
b. Surreal Profit
c. Net Profit
d. Profit
7. Match the Following
a. 1-iii, 2-ii, 3-i
b. 1-ii, 2-iii, 3-iv
c. 1-i, 2-iii , 3-iv
d. 1-i, 2-ii, 3-iii
8. _______ cost is directly proportional to sales revenue.
a. Explicit
b. Variable
c. Fixed
d. Semi variable
9. _____ allows shareholders a to purchase new shares in the same proportion as their current ownership.
a. Rights Issue
b. Dividend Issue
c. Bonus Issue
d. ESOP
10. On what basis are Inventory levels fixed?
i] Lead Time
ii] Cost of Business
iii] EOQ
iv] Maximum Usage
a. i and ii
b. i and iii
c. i, ii and ii
d. i, iii and iv
a. Real Profit
b. Surreal Profit
c. Net Profit
d. Profit
Answer: c. Net Profit
7. Match the Following
| 1] Earnings per share | i] (Profit after tax - Preference dividend) / Number of Equity shares |
| 2] Operating leverage | ii] Contribution / Earnings before interest and tax |
| 3] Financial leverage | iii] Earning before interest and tax / Earning before tax |
| iv] Earning per Share/Market Price |
b. 1-ii, 2-iii, 3-iv
c. 1-i, 2-iii , 3-iv
d. 1-i, 2-ii, 3-iii
Answer: d. 1-i, 2-ii, 3-iii
8. _______ cost is directly proportional to sales revenue.
a. Explicit
b. Variable
c. Fixed
d. Semi variable
Answer: b. Variable
9. _____ allows shareholders a to purchase new shares in the same proportion as their current ownership.
a. Rights Issue
b. Dividend Issue
c. Bonus Issue
d. ESOP
Answer: d. ESOP
10. On what basis are Inventory levels fixed?
i] Lead Time
ii] Cost of Business
iii] EOQ
iv] Maximum Usage
a. i and ii
b. i and iii
c. i, ii and ii
d. i, iii and iv
Answer: d. i, iii and iv


