Practice Class 12 Accountancy MCQ Questions of Comparative Statements with Answers without carelessness to score great marks in the exams. solving the Multiple Choice Questions for Class 12 Accountancy is the least demanding approach to understanding the ideas. Students can solve Class 12 Accountancy Comparative Statements MCQ Questions with Answers to realize their preparation level.
MCQ Questions for Class 12 Accountancy with Answers are given by subject specialists according to the most recent version of CBSE Books. Students are encouraged to go through and practice the Multiple Choice Questions of Class 12 Accountancy to score well in their board exams. Increase your preparation with MCQ Questions Analysis of Financial Statements Class 12 Objective Questions. Practice the MCQ Questions for Class 12 Accountancy and attempt the actual exam.
1. The most commonly used tools for financial analysis are :
(A) Comparative Statements
(B) Common Size Statements
(C) Accounting Ratios
(D) All of the above
2. This item is not used as a tool for Analysis of Financial Statements :
(A) Cash Flow Statement
(B) Fund Flow Statement
(C) Ratio Analysis
(D) No. of Employees Statement
3. Which one of the following items is not a tool used for financial analysis?
(A) Comparative Statements
(B) Ratio Analysis
(C) Common Size Statements
(D) Statement of Dividend Distribution
4. Which one of the following items is not a method/tool of analysis of financial statements?
(A) Trend Analysis
(B) Statement of Affairs
(C) Cash Flow Statement
(D) Comparative Statements
5. Which one of the following items is not a method/tool of analysis of financial statements?
(A) Accounting Ratio
(B) Break Even Point
(C) Statement of Receipts and Payments
(D) Fund Flow Statement
6. Which one of the following items is not a method/tool of analysis of financial statements?
(A) Fund Flow Statement
(B) Common Size Statement
(C) Statement of Trade Receivables
(D) Cash Flow Statement
7. Which of the following statements are true
a) All of the options
b) External analysis depends entirely on issued financial statements
c) Interpretation and analysis both are different
d) Financial analysis covers interpretation
8. Importance of Comparative Statement is
a) Indicate the trend with respect to the previous year
b) Make the data simple and more understandable
c) All of the options
d) compare the firm performance with the performance of other firm in the same business
9. Which one of the following is not a method/tool of analysis of financial statements?
a. Accounting Ratios
b. Break Even Point
c. Statements of Receipts and Payments
d. Fund Flow Statement
10. Feature of financial analysis is to present the data contained in financial statements in
a. Easy form
b. Convenient and rational groups
c. Comparable form
d. All of the above
11. The financial statements of a business enterprise include :
(a) Balance sheet
(b) Statement of Profit and loss account
(c) Cash flow statement
(d) All the above
12. Which of the following is the objective of comparative statements?
a. To make the data simpler and understandable
b. To indicate the trend
c. To help in forecasting
d. All of the above
13. When financial statements of several years are analysed, it is termed as
a) None of the options
b) Horizontal analysis
c) Current ratios
d) Vertical analysis
14. Heterogeneous cash flows can be made comparable by
a) Discounting technique and Compounding technique
b) Discounting technique
c) Compounding technique
d) None of the options
15. Comparative Balance Sheet :
a. Provides a summarized view of the operations of the firm
b. Presents the financial position of the firm
c. Presents the change in various items of balance sheet
d. None of the above
16. Which analysis is considered as dynamic?
a. Horizontal Analysis
b. vertical Analysis
c. internal Analysis
d. external Analysis
17. Comparative Statement of Profit and Loss provides information about:
a. Rate of increase or decrease in revenue from operations
b. Rate of increase or decrease in cost of revenue from operations
c. Rate of increase or decrease in net profit
d. All of the above
18. The most commonly used tools for financial analysis are :
(a) Horizontal analysis
(b) Vertical analysis
(c) Ratio analysis
(d) All the above
19. The most commonly used tools for financial analysis are :
(A) Comparative Statements
(B) Common Size Statements
(C) Accounting Ratios
(D) All of the above
20. This item is not used as a tool for Analysis of Financial Statements :
(A) Cash Flow Statement
(B) Fund Flow Statement
(C) Ratio Analysis
(D) No. of Employees Statement
21. Which one of the following items is not a tool used for financial analysis?
(A) Comparative Statements
(B) Ratio Analysis
(C) Common Size Statements
(D) Statement of Dividend Distribution
22. Which one of the following items is not a method/tool of analysis of financial statements?
(A) Trend Analysis
(B) Statement of Affairs
(C) Cash Flow Statement
(D) Comparative Statements
23. Which one of the following items is not a method/tool of analysis of financial statements?
(A) Accounting Ratio
(B) Break Even Point
(C) Statement of Receipts and Payments
(D) Fund Flow Statement
24. Which one of the following items is not a method/tool of analysis of financial statements?
(A) Fund Flow Statement
(B) Common Size Statement
(C) Statement of Trade Receivables
(D) Cash Flow Statement
25. Which of the following is the objective of comparative Statements?
(A) To make the data simpler and understandable
(B) To indicate the trend
(C) To help in forecasting
(D) All of the Above