vu acc501 Final Term - Quiz No.3
vu acc501 Business Finance Quiz
This quiz belongs to book/course code vu acc501 Business Finance of vu organization. We have 30 quizzes available related to the book/course Business Finance. This quiz has a total of 10 multiple choice questions (MCQs) to prepare and belongs to topic Final Term. NVAEducation wants its users to help them learn in an easy way. For that purpose, you are free to prepare online MCQs and quizzes.
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Question 1: A local gas station has one clerk that accepts cash payments for gas and rings them up on the cash register. Which one of the following would be the best control to provide assurance that the cashier is not keeping some of the cash?
Count all cash before and after the shift and compare it to cash register totals
Require that each customer be given a receipt of their purchase
Compare cash register totals to a total that is automatically generated by each gas pump
Each employee should have a separate cash drawer that only they use
Question 3: The sensitivity of Interest Rate Risk of a bond directly depends upon:
Time to maturity
Coupon rate
A and B
None of the given options
Question 4: An investment will be __________ if the IRR doesn?t exceeds the required return and __________ otherwise.
Accepted; rejected
Accepted; accepted
Rejected; rejected
Rejected; accepted
Question 5: Which one of the following is NOT required part of the audit process?
Substantive procedures
Tests of control
Assessment of materiality
Procedures to obtain understanding of the interncontrol structure
Question 6: Which of the following equation best represents Net Working Capital?
Current liabilities - current assets
Current assets - current liabilities
Current assets = current liabilities
None of the given
Question 7: Which of the following is NOT an internal use of financial statements information?
Planning for the future through historic information
Evaluation of performance through profit margin and return on equity
Evaluation of credit standing of new customer
None of the given options
Question 8: According to dupont Identity, ROE is affected by which of the following?
Operating efficiency
Asset use efficiency
Financial Leverage
All of the given options
Question 10: A bond represents a __________ made by an investor to the __________.
loan; receiver
dividend; issuer
dividend, receiver
loan; issuer
