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MCQ Questions for Class 12 Accountancy with Answers
Q1. Which of the following is not a tool of financial statement analysis?
(i) Cash Flow Statement
(ii) Statement showing distribution of dividend
(iii) Ratio Analysis
(iv) Comparative Financial Statements
(ii) Statement showing distribution of dividend
Q2. The financial statements of a business enterprise include :
(i) Balance sheet
(ii) Statement of Profit and loss account
(iii) Cash flow statement
(iv) All the above
(iv) All of the above
Q3. Vertical Analysis is also known as :
(i) Static Analysis
(ii) Dynamic Analysis
(iii) Structural Analysis
(iv) None of these
(i) Static Analysis
Q4. Which of the following is not recognized as tool for the analysis of financial statements?
(i) Cash Flow Statement
(ii) Funds Flow Statement
(iii) Trend Analysis
(iv) Statement showing distribution of dividends
(iv) Statement showing distribution of dividends
Q5. When financial statements of several years are analysed, it is termed as
(i) None of the options
(ii) Horizontal analysis
(iii) Current ratios
(iv) Vertical analysis
(iv) Vertical analysis
Q6. Comparative Statements are also known as :
(i) Dynamic Analysis
(ii) Horizontal Analysis
(iii) Vertical Analysis
(iv) External Analysis
(ii) Horizontal Analysis
Q7. Financial analysis can be done with which of the following tool?
(i) Ratio Analysis
(ii) Cash Flow Statement
(iii) Comparative Statements
(iv) All of the above
(iv) All of the above
Q8. The most commonly used tools for financial analysis are :
(i) Horizontal analysis
(ii) Vertical analysis
(iii) Ratio analysis
(iv) All the above
(iv) All the above
Q9. Common-size Statement are also known as:
(i) Dynamic Analysis
(ii) Horizontal Analysis
(iii) Vertical Analysis
(iv) External Analysis
(iii) Vertical Analysis
Q10. Which of the following is not an objective of financial statement analysis?
(i) Efficiency of the Management
(ii) Price Level Changes
(iii) Profitability of the Enterprise
(iv) Solvency of the Enterprise
(ii) Price Level Changes
Q11. An Annual Report is issued by a company to its :
(i) Directors
(ii) Auditors
(iii) Shareholders
(iv) Management
(iii) Shareholders
Q12. The analysis of financial statement by a shareholder is an example of:
(i) External Analysis
(ii) Internal Analysis
(iii) Vertical Analysis
(iv) Horizontal Analysis
(i) External Analysis
Q13. Who has the interest in long-term solvency position of the firm?
(i) Creditors
(ii) Bankers providing overdraft facilities
(iii) Financial Institutions
(iv) Short-term money lenders
(iii) Financial Institutions
Q14. Balance Sheet provides information about financial position of the enterprise :
(i) At a point in time
(ii) Over a period of time
(iii) For a period of time
(iv) None of the above
(i) At a Point in time
Q15. Tools for comparison of financial statements are :
(i) Comparative Balance Sheet
(ii) Comparative Income Statement
(iii) Common-size Statement
(iv) All the above
(iv) All the above
Q16. Which of the following is not a limitation in the analysis of financial statements?
(i) Ignores Price Level Changes
(ii) Window Dressing
(iii) Financial performance of the firm
(iv) Bias of the Analyst
(iii) Financial performance of the firm
Q17. Comparative statements are also known as :
(i) Dynamic analysis
(ii) Horizontal analysis
(iii) Vertical analysis
(iv) External analysis
(ii) Horizontal analysis
Q18. Comparative Financial Statements show:
(i) Financial position of a concern
(ii) Earning capacity of a concern
(iii) Both of them
(iv) None of these
(iii) Both of them
Q19. Which one of the following is tool of financial analysis?
(i) Comparative Statements
(ii) Common-size Statements
(iii) Cash Flow Statement
(iv) All of these
(iv) All of these
Q20. Common-size financial statements are mostly prepared:
(i) In proportion
(ii) In percentage
(iii) (i) and (ii) both
(iv) None of these
(ii) In percentage
Q21. When bad position of the business is tried to be depicted as good, it is known as …………….
(i) Personal Bias
(ii) Price Level Changes
(iii) Window Dressing
(iv) All of the Above
(iii) Window Dressing
Q22. Sales less Cost of goods sold is called :
(i) Operating Profit
(ii) Gross Profit
(iii) Net Profit
(iv) Total Profit
(ii) Gross Profit
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MCQ Class 12 Accountancy with answers Part A & Part B
- Lesson 1. Accounting for Not for Profit Organisation Class 12 MCQ
- Lesson 2. Accounting for Partnership. Basic Concepts Class 12 MCQ
- Lesson 3. Reconstitution of Partnership Firm. Admission of a Partner Class 12 MCQ
- Lesson 4. Reconstitution of Partnership Firm. Retirement/Death of a Partner Class 12 MCQ
- Lesson 5. Dissolution of a Partnership Firm Class 12 MCQ
- Lesson 6. Accounting for Share Capital Class 12 MCQ
- Lesson 7. Issue and Redemption of Debentures Class 12 MCQ
- Lesson 8. Financial Statements of a Company Class 12 MCQ
- Lesson 9. Analysis of Financial Statements Class 12 MCQ
- Lesson 10. Accounting Ratios Class 12 MCQ
- Lesson 11. Cash Flow Statement Class 12 MCQ