Q5: What are the objectives of Financial Accounting?
1: To record business transactions systematically 2: To find profit or loss 3: To show financial position 4: To provide information to stakeholders 5: To meet legal and tax requirements
Q4: What is Depreciation?
1: Decrease in value of fixed assets 2: Caused by wear and tear and obsolescence 3: Charged every year on assets 4: Reduces profit but is a non-cash expense 5: Methods: SLM and WDV
Q3: What is a Balance Sheet?
1: Statement of assets, liabilities and capital 2: Shows financial position on a specific date 3: Follows Assets = Liabilities + Capital 4: Divided into current and non-current 5: Helps to check solvency of business
Q2: What is the difference between Debit and Credit
1: Debit is on left side, Credit is on right side 2: Debit increases assets and expenses 3: Credit increases liabilities, capital and income 4: Based on double entry system 5: Total debit must equal total credit
Q1: What is Financial Accounting?
1: Recording and classifying financial transactions 2: Preparing financial statements like P&L and Balance Sheet 3: Shows profit, loss and financial position 4: Follows GAAP and accounting principles 5: Used by management, investors and government
Q4: Opportunity Cost
1: Value of next best alternative foregone 2: Arises due to scarcity of resources 3: Used in decision making 4: Not recorded in accounting books 5: Helps in resource allocation
Q3: Types of Market Structure
1: Perfect Competition 2: Monopoly 3: Oligopoly 4: Monopolistic Competition 5: Duopoly
Q2: Law of Demand
1: Shows inverse relationship between price and quantity demanded 2: When price rises, demand falls 3: When price falls, demand rises 4: Assumes income and tastes remain constant 5: Shown by a downward sloping demand curve
Q1: What is Managerial Economics?
1: Application of economic theory to business decision making 2: Helps in profit maximization and cost minimization 3: Used for demand forecasting and pricing decisions 4: Connects economics with management 5: Helps managers take rational decisions
Q5: SWOT stands for
1: Strength, Weakness, Opportunity, Threat 2: Sales, Work, Output, Target 3: Strategy, Workforce, Operation, Team 4: System, Wealth, Objective, Task 5: None of these