Important questions about Financial Ratios Analysis. Financial Ratios Analysis MCQ questions with answers. Financial Ratios Analysis exam questions and answers for students and interviews.

If the cost of goods sold is $8000, the gross margin is $5000 then the revenue will be

Options

A : a. $13,000

B : b. ?$13000

C : c. $3,000

D : d. ?$3000

The gross margin is added to the cost of sold goods to calculate

Options

A : a. revenues

B : b. selling price

C : c. unit price

D : d. bundle price

The type of distribution, which describes whether events to be occurred are mutually exclusive or collectively exhaustive can be classified as

Options

A : a. mutual distribution

B : b. probability distribution

C : c. collective distribution

D : d. marginal distribution

The fixed cost is divided by break-even revenues to calculate

Options

A : a. cost margin

B : b. fixed margin

C : c. revenue margin

D : d. contribution margin

If the gross margin is $2000 and the revenue is $5000, then the cost of goods sold would be

Options

A : a. ?$8000

B : b. $3,000

C : c. ?$3000

D : d. $8,000

The fixed cost is added to target operating income and then divided to contribute margin per unit to calculate

Options

A : a. quantity of units required to sold

B : b. selling of units

C : c. sold units

D : d. contributed units

The contribution margin is $34000 and the operating income is $12000, then the degree of operating leverage will be

Options

A : a. 4.84

B : b. 2.84

C : c. 3.84

D : d. 5.84

If the budgeted sales in unit is 50 and the breakeven sales in unit is 12, then the margin of safety in units will be

Options

A : a. 62

B : b. 38

C : c. 48

D : d. 58

The type of distribution, which consists of alternative outcomes and probabilities of events is classified as

Options

A : a. event table

B : b. outcome table

C : c. decision table

D : d. probability table

The target operating income is multiplied to tax rate and then subtracted from target operating income to calculate

Options

A : a. target net cost

B : b. target net income

C : c. target net gain

D : d. target net loss

If the gross margin is $6000 and the total revenue is $26000, then the gross margin percentage will be

Options

A : a. 23.08%

B : b. 24.08%

C : c. 25.08%

D : d. 26.08%

The fixed cost, and the contribution margin percentage for the bundle are divided to calculate

Options

A : a. breakeven costs

B : b. breakeven revenues

C : c. breakeven units

D : d. breakeven sales

The revenue is $11000 and all the variable cost is $6000, then the contribution margin would be

Options

A : a. ?$17000

B : b. $17,000

C : c. $5,000

D : d. ?$5000

If the contribution margin of bundle is $4000 and the revenue of the bundle is $16000, then the contribution margin percentage for bundle will be

Options

A : a. 10%

B : b. 15%

C : c. 25%

D : d. 35%

The quantity or number of units of different products that together make up total sales of the company is called

Options

A : a. sales mix

B : b. product mix

C : c. unit mix

D : d. quantity mix

In cost accounting, the financial way of charging price for product above the cost, of acquiring or producing the goods is known as

Options

A : a. sales margin

B : b. cost margin

C : c. Gross margin

D : d. income margin

If the contribution margin is $3000 and the revenues are $9000, then all the variable costs will be

Options

A : a. $12,000

B : b. $6,000

C : c. ?$6000

D : d. ?$12000

In monetary terms, an expected value of the outcome is classified as

Options

A : a. expected value

B : b. expected decision value

C : c. expected outcome value

D : d. expected monetary value

All the choices for decision that are easily available to managers are classified as

Options

A : a. outcome

B : b. actions

C : c. events

D : d. distribution

In accounting, the possibility of deviation of actual amount from an expected amount is classified as