Matching Type MCQs of Financial Management Chapter with answers
Are you looking for Matching Type MCQs of the Financial Management chapter with answers for CUET and class 12
Important Matching Type Multiple Choice Question of Financial Management chapter with answers
Following is the list
From the set of statements given in column I and Column II, Choose the correct pair of statements:
| Column – I | Column – II |
| a) Financing Decision | i) Deciding investment of funds in long term and short term assets. |
| b) Net Working Capital | ii) It refers to excess of current assets over current liabilities |
| C) Investment Decision | iii) Deciding sources of finance, i.e., ratio of debt and equity |
Options
Ans:- b) Net Working Capital – ii) It refers to an excess of current assets over current liabilities.
Match the statements given under A with the correct options given under B.
| (A) | (B) |
| i) Interest Coverage Ratio | a) Profit after tax + Depreciation + Interest + Non cash Expenses written off / Preference Dividend + Interest + Repayment Obligation |
| b) EBIT/Interest |
Ans:- i) – b
Match the items given under ‘A’ with the suitable statements under ‘B’.
| (A) | (B) |
| i) Financial Planning | a) Long-term investment decision. |
| ii) Capital Budgeting Decision | b) It involves deciding how much of the profits to be distributed to shareholders and how much of it to be retained in the business. |
| iii) Dividend Decision | c) Its objective is to ensure that enough funds are available at right time. |
Ans:- i) – c, ii) – a, iii) – b
Match the items given under ‘A’ with the suitable statements under ‘B’:
| (A) | (B) |
| i) Capital Structure | a) It is concerned with optimal procurement as well as the usage of finance. |
| ii) Financial Management | b) It refers to the mix between owners and borrowed funds. |
| iii) Working Capital Decisions | c) The Proportion of debt in the overall capital. |
| iv) Financial Leverage | d) Short-term investment decisions. |
Ans – i) – b, ii) – a, iii) – d, iv) – c
