Preparation For the Upcoming MID TERM / MCQs for The Student

INTRODUCTION TOPICS ON FINANCIAL ACCOUNTING
Question 01
Which one of the following qualitative characteristics of financial information can be described as a 'Threshold' quality?
a) Reliability
b) Relevance
c) Materiality
d) Understandability

Question 02
The 'going concern' concept assumes that:
a) the business can continue in operational existence for the foreseeable future.
b) the business cannot continue in operational existence for the foreseeable future.
c) the business is continuing to be profitable.
d) the business is causing concern to investors.

Question 03
The format of published financial summaries within the European Union is decided by:
a) the company itself.
b) the company's auditors.
c) stock exchange regulations.
d) European Union regulations.

Question 04
In the UK, the government's official registry of company information is called:
a) Corporation House
b) Business Information House
c) Companies House
d) Shareholders' House

Question 05
To save printing and distribution costs, companies are allowed to send financial information to shareholders:
a) only once every two years.
b) in an electronic version.
c) only if they ask for it.
d) only if the company is profitable.

Question 06
Which one of the following is not a valid reason for the disparity of international accounting procedures?
a) The problems of translation from one language to another
b) The nature of the country's legal system
c) The relationship between taxation requirements and financial reporting requirements
d) The relative strength of the accounting profession

Question 07
Which one of the following factors has led to the development of strong, independent professional accountancy associations within specific countries?
a) Predominantly small, family-run businesses
b) Wide share ownership
c) Banks owning majority of shares of large companies
d) Communist governments

Question 08
The body charged with the aim of harmonizing international accounting practice is:
a) the Financial Harmony Council.
b) the International Accounting Goodwill Fellowship.
c) the International Financial Foundation.
d) the International Accounting Standards Committee Foundation.

Question 09
When developing international accounting standards, it is usual for an 'Exposure Draft' to be published. Which one of the following best describes an Exposure Draft?
a) A preliminary version of the proposals, made available for public debate and feedback
b) The agreed version of an international accounting standard issued immediately prior to final publication
c) The summary of feedback received following the publication of a new international accounting standard
d) A call to the general public to generate fresh ideas for new accounting standards

Question 10
The status of International Accounting Standards (IASs) was given a significant boost in 2001 when which one of the following events occurred?
a) The President of the United States endorsed IASs for American companies
b) IASs received World Heritage Status from the United Nations
c) The European Commission proposed that from 2005 listed companies throughout the EU should be obliged to follow IASs rather than national standards
d) IASs were made compulsory throughout Asia and Australasia

Dear Student Fellows

Try to Involve Yourself in Group Discussions for the Solution of These MCQs before the Next Class of Financial Accounting. I Have Copied these questions From OXFORD UNIVERSITY PRESS Website. Hope to Increase the T-Level of The Hypo Fellows.

Regards

Some More Questions Regarding Financial Management

RECORDING FINANCIAL TRANSACTIONS
Question 01
Which of these could be considered a good reason for a business to keep detailed financial records?
a) It must, by law, employ a qualified accountant to keep good records
b) It needs to know who it owes money to and who owes it money
c) It will pay lower tax rates if its records are well kept
d) It must have detailed records available for inspection by competitors
Question 02
Which one of the following could not be classified as Revenue Income?
a) Goods sold for cash
b) Goods sold on credit
c) Income from the sale of services
d) Income from the sale of fixed assets

Question 03
Which one of the following could not be classified as Revenue Expenditure?
a) Purchase of a fixed asset, by cheque
b) Purchase of goods for resale, by cash
c) Purchase Wages paid by cashof goods for resale, on credit
d) Wages paid by cash

Question 04
Which one of the following assets could be described as a current asset?
a) Stock of goods for resale
b) Machinery to manufacture goods for resale
c) Buildings to house the machinery
d) Land on which the buildings stand

Question 05
A Profit is earned if:
a) Assets exceed Expenditure.
b) Income exceeds Expenditure.
c) Cash Inflow exceeds Cash Outflow.
d) Income exceeds Liabilities.

Question 06
The purchase journal records:
a) invoices from creditors.
b) debtors' invoices.
c) cash payments to suppliers.
d) amounts owing to employees for wages.

Question 07
The two main types of ledger are:
a) sales and purchases.
b) personal and impersonal.
c) cash in and Cash out.
d) debtors and creditors.

Question 08
If a business shows a debit balance in its own record of its bank balance, this indicates:
a) the business has a bank overdraft.
b) the business is a debtor of the bank.
c) the business has money in the bank.
d) the ledger entry must be wrong.
Question 09
The extended balance sheet equation, which is the basis of double-entry bookkeeping, is:
a) Assets + Expenses = Liabilities + Income - Capital
b) Assets - Expenses = Liabilities - Income - Capital
c) Assets - Expenses = Liabilities + Income + Capital
d) Assets + Expenses = Liabilities + Income +Capital

Question 10
A trial balance which shows equal totals for both debit and credit columns:
a) shows that the arithmetic is correct, but errors may still be present in the bookkeeping system.
b) shows that the bookkeeping system is free of errors.
c) shows that there must be more than one error within the bookkeeping system.
d) shows that there is only one error within the bookkeeping system.

SUMMARIZING FINANCIAL INFORMATION
Question 01
If a business pays for only 11 months rent during a financial year, what accounting term is given to the outstanding one month's rent?
a) Repayment
b) Prepayment
c) Underpayment
d) Accrual

Question 02
A business started its financial period with 100 bicycles, then bought 600 bicycles during the period. The cost of 50 bicycles was owing to creditors at the end of the period. It sold 500 bicycles during the financial period, but customers have paid for only 400. Each bicycle was bought for £100 and sold for £150. What is the value of sales to be included in the firm's profit and loss account for the period?
a) £75,000
b) £60,000
c) £105,000
d) £52,500

Question 03
Using the information in question 2, what gross profit would be shown for the financial period?
a) £75,000
b) £50,000
c) £25,000
d) £20,000

Question 04
Using the information in question 2, what is the value of closing stock to be shown on the balance sheet?
a) £45,000
b) £30,000
c) £15,000
d) £20,000

Question 05
A business shows total debtors' balances of £400,000 in its sales ledger at the end of its financial period. One customer owing £40,000 is bankrupt, and there is no possibility of getting the debt paid. A further 2% of debtors are considered doubtful. What debtors' total will be included as a current asset in the balance sheet?
a) £400,000
b) £352,800
c) £352,000
d) £36,200

Question 06
Using the information in question 5, if there had been an existing provision for doubtful debts at the start of the financial year amounting to £8,000, what entry relating to doubtful debts would be shown in the profit and loss account?
a) £800 decrease in provision
b) £15,200 increase in provision
c) £7,200 increase in provision
d) No entry

Question 07
A top dress designer misjudged the fashion market, and has an unsold stock of 100 silk dresses which normally sell for £500 each. They cost the business £200 each to make, but can now only be sold for £100 each (subject to incurring further material costs of £20 per dress). What is the valuation per dress for the purposes of the asset valuation in the balance sheet?
a) £200
b) £500
c) £100
d) £80

Question 08
To arrive at the gross profit of a trading business, which one of the following formulae is applied?
a) Sales - (Opening Stock - Purchases - Closing Stock)
b) Sales - (Opening Stock + Purchases + Closing Stock)
c) Sales - (Opening Stock + Purchases - Closing Stock)
d) Sales - (Opening Stock - Purchases + Closing Stock)

Question 09
Which one of the following would be expected to favour 'partnership' as their preferred form of business organisation?
a) An anti-social unmarried artist who is most contented when working for many months on an oil painting
b) Two electricians who are very worried about being sued for shoddy workmanship
c) A very ambitious business person who wants access to large amounts of capital investment
d) Two solicitors who enjoy working together and are subject to strict professional rules as to what type of business organisation they can set up

Question 10
Share capital is:
a) the way in which capital is divided at the end of each year.
b) the way in which partners decide to divide profits and losses.
c) another name for London's stock exchange.
d) the way in which the ownership of a limited company is divided.

Wah! samee bhai aap ka jawab nahi!

Are Farooq Bhai i am Trying to help the students in a way what happened to us should never ever Happen to Them Thats Y.

Regards

I mean For the First Time when i was In the Mid Term Exam Hall , i Just remained Still after Watching The Paper By Sir Nayyar. But Credit Goes To Sir Nayyar That he is Not Teaching Like Tradional Ones Just Asking Questions in The Paper that Define Credit and Debit and Get 10 Marks.

dear sir
please write answer to these MCQs
thank you
lutufur rehman

Dear Lutfur Rehman
Try to Search Books, Internet, Especially Wikipedia and Most of all This Public Health Forum. Try to Solve these MCQs Yourself never ask for spoonfeeding as we have been Taught in Our Schools and college Level where the Teacher were asking the students to write the answer of the Questions in Their Copies.
If you will try i hope, will get knowledge of other things also.
Best of Luck

asalmo alacum my friends and class fellow
i am a new student of mph and i need proper guidline to continue my journy toward a successful distination my educational background is such that i can not understand much about financial management and health hrm although i can understand some about ph nutrition
i request all my friends and class fellows to help me in the above mentioned subject .at the time i am going to vorry about my carear becouse i do not understand a single word about fm and health hrm even after a hard working. now a days i am listining the lecture of mujahid eshahi of vertual univercity. these lecture has provided me a litle idea of fm but not a ful understanding.
i request my classfellows particularly who had studied the above mentiond courses to help me as much as they can.the following is my email
A1_483@yahoo.com
thank to all of you
your classfellow and friend
Lutufur rehman

Mr lutfurrehman
Don't ask for spoon feeding. Have the balls and guts to solve these questions your self. If you are really that much interested in your public health career then take an active part in learning the fundamentals of all these subjects. I hope you will strive for the best

APPLIED FINANCIAL ACCOUNTING AND REPORTING
Question 01
Which one of the following words can be used to indicate that a profit and loss account is being prepared for a group of companies?
a) Consolidated
b) Connected
c) Coupled
d) Co-joined
Question 02
A manufacturer is considering the point at which a transaction can be recognized for inclusion within its profit and loss account. At which of the following stages is this permitted?
a) Order placed for the goods
b) Products accepted by customer
c) Product manufactured
d) Sample products requested by customer
Question 03
In the UK, a company can be exempted from segmental reporting disclosures if:
a) the disclosure would be seriously prejudicial to the company's interests.
b) the company's auditors agree to the non-disclosure.
c) the company trades in no more than two geographical areas.
d) the disclosure would lead to financial embarrassment for the company.
Question 04
If a business's activities are described as continuing, they are:
a) continuing to be profitable.
b) continuing beyond the end of the financial period.
c) continuing to cause the business anxiety.
d) continuing until the end of the financial year, but then closing.
Question 05
PBIT stands for:
a) profit before interest and taxation.
b) profit before income and taxation.
c) profit before income and turnover.
d) profit before interest and turnover.
Question 06
'Significant influence' (in the definition of an associate) is presumed to exist if one entity owns at least the following percentage of another entity's shares:
a) 10
b) 30
c) 20
d) 50
Question 07
What proportion of an associate's turnover is included within a group's turnover total in its group profit and loss account?
a) 20%
b) 50%
c) 100%
d) None
Question 08
Which one of the following most closely defines 'Amortization'?
a) The depreciation of tangible fixed assets
b) The depreciation of intangible fixed assets
c) The depreciation of current assets
d) The revaluation of land and buildings
Question 09
Which one of the following most closely defines 'Goodwill'?
a) The difference between the cost of an investment in a business and the value of the net assets acquired in that business
b) The payment made to purchase a business from its existing owner
c) The amount received by a busThe difference between what the owner thinks the business is worth and the actual value of the business's fixed assetsiness owner when selling that business
Question 10
A company pays £100m to buy a 40% stake in a company whose net assets have a fair value of £200m. What is the value of 'goodwill' arising on this transaction?
a) £20m
b) £80m
c) £40m
d) Nil

THE PROFIT AND LOSS ACCOUNT:
Question 01
A company issued a £10m 4% Bond on 1 January 2005, the start of its financial year. It paid the first half-year's interest on 1 July 2005, the second half-year on 1 January 2006. What will be the total of 'interest payable' to be shown in the profit and loss account to 31 December 2005? Income tax rates are currently 20%.
a) £160,000
b) £320,000
c) £200,000
d) £400,000
Question 02
Which one of the following is an example of expenditure which, although included within the profit and loss account, might be disallowable for taxation purposes?
a) Insurance for delivery vehicles
b) Fuel for delivery vehicles
c) Repairs to delivery vehicles
d) Speeding fines relating to delivery vehicles
Question 03
'Accelerated capital allowances' refers to a situation when:
a) government allowances used when calculating depreciation for tax purposes are more generous in the earlier years of an asset's life than the company's own depreciation charge.
b) government allowances used when calculating depreciation for tax purposes are less generous in the earlier years of an asset's life than the company's own depreciation charge.
c) government allowances used when calculating depreciation for tax purposes are the same as the company's own depreciation charge.
d) the Government makes no taxation allowance for the purchase of assets.
Question 04
A 'minority interest' exists when:
a) a parent company owns all the shares in a subsidiary company.
b) one company owns only 15% in another company.
c) a parent company own less than 100% of the shares in a subsidiary company.
d) an individual owns shares in a company which is the associate of another company.
Question 05
'Minority Interests' must be split between:
a) equity and non-equity interests.
b) minority and majority interests.
c) subsidiary and associated interests.
d) permanent and timing interests.
Question 06
Which one of the following is not part of a company's 'equity capital'?
a) Ordinary shares
b) Preference shares
c) Voting shares
d) Equity shares
Question 07
Which one of the following is sometimes referred to as the 'bottom line' by financial commentators?
a) Profit after interest and taxation
b) Profit after interest but before taxation
c) Profit before interest and taxation
d) Retained profit for the year
Question 08
The first dividend to be paid in a financial year is usually the:
a) proposed final dividend of the current year.
b) interim dividend of the current year.
c) proposed final dividend of the previous year.
d) interim dividend of the previous year.
Question 09
In calculating basic earnings per share, which one of the following 'weighted average' figures is used in the formula?
a) The number of ordinary shares outstanding during the period
b) The number of ordinary shares outstanding since the company's formation
c) The total number of shares outstanding during the period
d) The authorised ordinary share capital during the period
Question 10
In calculating basic earnings per share, net profit or loss is included in the formula after all but one of the following are deducted. Which one?
a) Taxation
b) Minority Interests
c) Preference Dividends
d) Ordinary dividends

Dear Sir, thank you for sharing the Questions Regarding Financial Management . it will help the students.

I would like to request you to share with us questions regarding the Public Health Nutration and HRM.

Thank you and Warm Regards

Zahida Stanekzai