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State true or false with reason. Dividend paid is not a source of fund

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प्रश्न

State true or false with reason.

Dividend paid is not a source of fund

विकल्प

  • True

  • False

MCQ
सत्य या असत्य
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उत्तर

This statement is True.

Dividend is always paid on shares issued by a company is an expense. Shares itself is a source of fund. In payment of dividend cash goes out from the company. It is an out flow of cash and not a source of fund.

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अध्याय 9: Analysis of Financial Statements - Exercise 9.1 (Objective Questions) [पृष्ठ ३७६]

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बालभारती Book-Keeping and Accountancy [English] Standard 12 Maharashtra State Board
अध्याय 9 Analysis of Financial Statements
Exercise 9.1 (Objective Questions) | Q C. 4. | पृष्ठ ३७६

वीडियो ट्यूटोरियलVIEW ALL [1]

संबंधित प्रश्न

Capital balance is ascertained by preparing....................................

  1. Statement of affairs
  2. Cash account
  3. Drawing account
  4. Debtor’s account

Balance sheet is a nominal account.


State the objectives of financial statements from the view point of a business concern.


What do you mean by Analysis of Financial Statement?


One of the objectives of ‘Financial Statements Analysis’ is to identify the reasons for change in the financial position of the enterprise, State two more objectives of this analysis.


State any one limitation of Analysis of Financial Statement.


State and explain any 'four objectives' of analysis of financial statement from a business concern's point of view.


Following incomplete information is available from the records maintained by Mr. Premnath.

Particulars

1.4.2009
Rs.

31.3.2010
Rs.

Cash Balance

Bank Balance

Sundry Debtors

Stock

Furniture

Creditors

10% Bank Loan

12,000

26,000

20,000

24,000

24,000

20,000

20,000

13,000

30,000

26,000

26,000

24,000

20,000

20,000

Additional Information :

(1) Mr. Premnath introduced additional capital in the business amounted to Rs 15,000 on 1st January, 2010.

(2) He has paid life insurance premium Rs 10,000 from the business account and withdrawn goods worth Rs 5,000 for his personal use.

(3) Write off Rs 1,000 as bad debts and maintain reserve for doubtful debts at 5% on remaining debtors.

(4) Provide depreciation at 5% p.a. on furniture.

(5) The closing balance of sundry creditors has been overvalued by Rs 2,000 in the books of account.

(6) Provide Interest on Capital and Bank Loan @ 10% p.a.

Prepare :

(i) Statement of Affairs as on 1.4.2009.

(ii) Statement of Affairs as on 31.3.2010.

(iii) Statement of Profit or Loss for the year ended 31st March, 2010. 


State whether following statement are true or false :
Financial statements include only balance sheet.


State whether following statement is true or false :
Analysis of financial statement is a tool but not a remedy.


Select the appropriate answer from the alternatives given below & rewrite the completed statement:
The methodical classification of financial statement is called _____________.


Select the appropriate answer from the alternatives given below & rewrite the completed statement
Bills payable is _____________.


Give one word/term/ phrase for the following statement
Critical evaluation of financial statement to measure profitability.


Answer the following in brief :
What do you mean by analysis of financial statements?

 

State whether following statement is true or false :
Analysis of financial statement is a tool but not a remedy.


Explain the limitations of analysis of financial statements.


Bill Payable is ___________


Prepare Comparative Balance Sheet for the year ended 31.3.18 and 31.3.19 Assets & Liabilities as follows:

Particulars 31.3.18 (₹) 31.3.19 (₹)
1) Fixed Assets 120,000 1,50,000
2) Share Capital 60,000 72,000
3) Current Assets 28,000 27,000
4) Reserve & Surplus 24,000 30,000
5) Loan 34,000 51,000
6) Current liabilities 30,000 24,000

Which of the following statements is not true?


Balance sheet provides information about the financial position of a business concern


The term fund’ refers to


Convert following Trading Account and Profit and Loss Account into Vertical Income Statement:

Dr. Trading, Profit and Loss Account
for the year ended as on 31st March,2020 
Cr.
Particulars Amount ₹ Particulars Amount ₹
To Opening stock 20,000 By Sales 1,20,000
To Purchases 90,000 By Closing Stock 30,000
To Carriage inward 500    
To Wages 10,000    
To Gross Profit c/d 29,500    
Total 1,50,000 Total  1,50,000
To Office expenses 12,500 By Gross Profit b/d 29,500
To Selling expenses 10,000    
To Finance expenses 3,000    
To Net Profit c/d 4,000    
  29,500   29,500

Which of the following are not tools of Financial Analysis?

  1. Cash Flow Statement
  2. Income Statement
  3. Balance Sheet
  4. Ratio Analysis

It is technique which involves regrouping of data by application of arithmetical relationships. Identify the technique and state any two advantages of the technique identified.


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