Matching Type MCQs of Accounting Ratios Class 12 with answers
Matching Type MCQs of Accounting Ratios (Ratio Analysis) Class 12 with answers for CBSE, ISC, CUET and State Board
Let’s Practice
Match the following:
| (i) Interest Coverage Ratio | (a) Liquidity Ratio |
| (ii) Proprietary Ratio | (b) Solvency Ratio |
| (iii) Working Capital Turnover Ratio | (c) Activity Ratio |
| (d) Profitability Ratio |
Choose the Correct Option:
(A) i-d, ii-b, iii-c
(B) i-b, ii-b, iii-c
(C) i-d, ii-a, iii-b
(D) i-d, ii-b, iii-a
Ans – (B)
Match the following:
| (i) Proposed Dividend for Current year | (a) Contingent Liability |
| (ii) Uncalled Liability on partly paid shares | (b) Commitments |
| (c) Current Liabilities |
Choose the correct option:
(A) i-a, ii-b
(B) i-a, ii-c
(C) i-b, ii-c
(D) i-c, ii-b
Ans – (A)
Match the following:
| (i) Shareholder’s Funds + Non Current Liabilities | (a) Inventory |
| (ii) Current Assets – Liquid Assets | (b) Current Liabilities |
| (iii) Total Debts – Long term Debts | (c) Capital Employed |
Choose the Correct Option:
(A) i-c, ii-b, iii-a
(B) i-b, ii-a, iii-b
(C) i-c, ii-a, iii-b
(D) i-a, ii-a, iii-b
Ans – (C)
Match the following:
| (i) Capital Reserve | (a) Issued Share Capital |
| (ii) Debenture Redemption Reserve | (b) Reserve and Surplus |
| (iii) Debit Balance of Statement of Profit & Loss | (c) Long term Borrowings |
| (iv) Bonds | (d) Subscribed Share Capital |
Choose the Correct Option:
(A) i-b, ii-a, iii-a, iv-d
(B) i-b, ii-b, iii-c, iv-b
(C) i-b, ii-d, iii-d, iv-a
(D) i-b, ii-b, iii-b, iv-c
Ans – (D)
Match the following:
| (i) Debt Equity Ratio | (a) Times |
| (ii) Operating Ratio | (b) Percentages |
| (iii) Working Capital Turnover Ratio | (c) Proportionate |
Choose the correct option:
(A) i-a, ii-b, iii-a
(B) i-a, ii-c, iii-b
(C) i-c, ii-a, iii-b
(D) i-c, ii-b, iii-a
Ans – (D)
Match the following:
| (i) Proprietary Ratio | (a) Long term Debts/Shareholder’s Funds |
| (ii) Total Assets to Debt Ratio | (b) Shareholder’s Funds/Total Assets |
| (iii) Debt to Equity Ratio | (c) Total Assets/Long term Debts |
Choose the correct option:
(A) i-b, ii-c, iii-a
(B) i-b, ii-a, iii-c
(C) i-c, ii-b, iii-a
(D) i-a, ii-b, iii-c
Ans – (A)
Match the following:
| (i) Share Options Outstanding | (a) Non-Current Liabilities |
| (ii) Money Received against share warrants | (b) Current Liabilities |
| (iii) Premium on Redemption of Debentures | (c) Shareholder’s Funds |
| (iv) Provision for Tax |
Choose the correct option:
(A) i-b, ii-b, iii-a, iv-c
(B) i-c, ii-a, iii-b, iv-a
(C) i-c, ii-c, iii-a, iv-b
(D) i-a, ii-a, iii-b, iv-c
Ans – (C)
Match the following:
| (i) Current Liabilities + Working Capital | (a) Capital Employed |
| (ii) Total Assets – Current Liabilities | (b) Shareholder’s Funds |
| (iii) Share Capital + Reserve & Surplus | (c) Current Assets |
Choose the Correct Option:
(A) i-a, ii-b, iii-c
(B) i-c, ii-a, iii-b
(C) i-c, ii-b, iii-a
(D) i-a, ii-c, iii-b
Ans – (B)
Match the following:
| (i) 500 shares on which final call not received | (a) Authorised share capital |
| (ii) 500 shares on which final call has not been called | (b) Subscribed and fully paid |
| (iii) Shares offered to the public for subscription | (c) Subscribed but not fully paid |
| (d) Issued Share Capital |
Choose the Correct Option:
(A) i-c, ii-c, iii-d
(B) i-c, ii-b, iii-c
(C) i-d, ii-c, iii-b
(D) i-b, ii-c, iii-b
Ans – (A)
If Debt-Equity Ratio is 1.8 : 1, what will be the effect of the following:
| (i) Sale of Fixed Asset (Book value ₹ 2,00,000) at a loss of ₹ 10,000 | (a) Increase |
| (ii) Redemption of Debentures for cash | (b) Decrease |
| (iii) Purchase of a fixed asset by taking a long-term loan | (c) No change |
Choose the Correct Option:
(A) i-b, ii-a, iii-c
(B) i-a, ii-c, iii-b
(C) i-a, ii-c, iii-a
(D) i-b, ii-b, iii-a
Ans – (C)
Match the following:
| (i) Debentures redeemable after two years | (a) Long term provision |
| (ii) Debentures redeemable within one year | (b) Short term provision |
| (iii) Provision for Provident Fund | (c) Other current liability |
| (iv) Outstanding Salary | (d) Long term borrowings |
Choose the Correct Option:
(A) i-a, ii-b, iii-b, iv-c
(B) i-b, ii-b, iii-d, iv-c
(C) i-d, ii-c, iii-a, iv-c
(D) i-d, ii-c, iii-b, iv-b
Ans – (C)
Match the following:
| (i) Proprietary Ratio | (a) Profitability Ratio |
| (ii) Return on Investment | (b) Liquidity Ratio |
| (iii) Acid Test Ratio | (C) Solvency Ratio |
| (iv) Interest Coverage Ratio | (D) Activity Ratio |
Choose the Correct Option:
(A) i-c, ii-b, iii-a, iv-c
(B) i-c, ii-a, iii-b, iv-c
(C) i-a, ii-a, iii-c, iv-a
(D) i-a, ii-a, iii-b, iv-a
Ans – (b)
Match the following:
| (i) Cheques in Hand | (a) Inventories |
| (ii) Work in Progress | (b) Trade Receivables |
| (iii) Stores and Spares | (c) Cash and Cash Equivalents |
Choose the Correct Option:
(A) i-c, ii-b, iii-a
(B) i-b, ii-a, iii-c
(C) i-c, ii-a, iii-b
(D) i-c, ii-a, iii-a
Ans – (D)
Match the following:
| (i) Selling Expenses + Administrative Expenses | (a) Operating Profit |
| (ii) Gross Profit – Operating Expenses | (b) Operating Expenses |
| (iii) Net Purchases + Carriage Inwards | (c) Cost of Revenue from Operations |
Choose the Correct Option:
(A) i-c, ii-a, iii-c
(B) i-b, ii-a, iii-b
(C) i-b, ii-a, iii-C
(D) i-b, ii-c, iii-b
Ans – (C)
Match the following:
| (i) Trade Marks | (a) Tangible Fixed Assets |
| (ii) Computer Software | (b) Intangible Fixed Assets |
| (iii) Work in Progress | (c) Current Assets |
Choose the Correct Option:
(A) i-b, ii-b, iii-a
(B) i-a, ii-b, iii-c
(C) i-a, ii-c, iii-a
(D) i-b, ii-b, iii-c
Ans – (D)
If Quick Ratio is 1.3 : 1, what will be the effect of the following:
| (i) Received ₹ 20,000 from a debtor | (a) Increase |
| (ii) A debtor for ₹ 20,000 paid ₹ 15,000 in full settlement | (b) Decrease |
| (iii) Paid rent ₹ 10,000 in advance | (c) No change |
Choose the Correct Option:
(A) i-c, ii-b, iii-b
(B) i-a, ii-b, iii-c
(C) i-c, ii-a, iii-b
(D) i-a, ii-b, iii-b
Ans – (A)
Match the following:
| (i) Accrued Interest on Calls in Advance | (a) Current Liabilities |
| (ii) Provision for Employee Benefits | (b) Cash and Cash Equivalents |
| (iii) Bank Overdraft | (c) Non-Current Liabilities |
| (iv) Loan repayable on demand |
Choose the Correct Option:
(A) i-a, ii-a, iii-a, iv-c
(B) i-a, ii-c, iii-a, iv-a
(C) i-c, ii-a, iii-c, iv-a
(D) i-a, ii-a, iii-a, iv-c
Ans – (B)
If Current ratio is 0.8 : 1, what will be the effect of the following:
| (i) Goods for ₹ 10,000 purchased on credit | (a) Increase |
| (ii) Bills payable discharged | (b) Decrease |
| (iii) B/R endorsed to creditor | (C) No Change |
Choose the Correct Option:-
(A) i-a, ii-b, iii-c
(B) i-a, ii-c, iii-b
(C) i-b, ii-a, iii-b
(D) i-a, ii-b, iii-b
Ans – (D)
Match the following:-
| (i) Public Deposits | (a) Long term Provision |
| (ii) Matured Debentures | (b) Long term Borrowings |
| (iii) Unclaimed Dividend | (c) Other Current Liabilities |
| (iv) Advances received from customers |
Choose the Correct Option:
(A) i-a, ii-b, iii-c, iv-c
(B) i-b, ii-b, iii-c, iv-c
(C) i-b, ii-c, iii-c, iv-c
(D) i-b, ii-c, iii-c, iv-c
Ans – (C)
