Economics Business and Finance MCQs Test 08 Preparation Online Business and Finance MCQs Test 08 Preparation Online 1. Which of the following is not concerned with the valuation of goodwill ?A. Average profits methodB. Earning capacity methodC. Net as sets methodD. Super profits method Loading... 2. Dividends are usually paid on the:A. Called-up capitalB. Subscribed capitalC. Paid-up capitalD. Nominal capital Loading... 3. The relationship between normal rate of return and P/E ratio is:A. IrregularB. DirectC. InverseD. None of the above Loading... 4. For a company to carry out capital reduction, permission is required from the:A. Board of DirectorsB. Company Law BoardC. Competent CourtD. Controller of Capital Issues Loading... 5. Any balance in the capital reduction account after writing off lost capital is transferred to:A. Capital reserveB. Capital redemption reserveC. General reserveD. Debenture redemption reserve Loading... 6. In a scheme of reorganization, the amount of shares surrendered by shareholders is transferred to the:A. Capital reorganization accountB. Capital reduction accountC. Shares surrendered accountD. Capital sacrificed account Loading... 7. Absorption is said to take place when:A. Two or more companies dissolve to be taken over by a existing companyB. A company is formed to take over another company C. Two companies decide for virtual integration of their operationsD. Two or more companies are dissolved to form a few company Loading... 8. For calculating market value using P/E ratios, it is necessary to know:A. Average profits B. The rate of dividendC. Earnings per share and market price of the shareD. Market price of the share Loading... 9. When two or more companies dissolve to form a new company, the process is known as:A. ReconstructionB. CombinationC. AbsorptionD. Amalgamation Loading... 10. Advance payment of tax should be shown on the:A. Credit side of a profit and loss accountB. Debit side of a profit and loss accountC. Liabilities side of a balance sheetD. Assets side of a balance sheet Loading... Loading... Related PostsBusiness and Finance MCQs Test 07 Preparation OnlineBusiness and Finance MCQs Test 05 Preparation OnlineBusiness and Finance MCQs Test 04 Preparation OnlineBusiness and Finance MCQs Test 03 Preparation OnlineBusiness and Finance MCQs Test 02 Preparation OnlineBusiness and Finance MCQs Test 01 Preparation Online Continue Reading Previous Business and Finance MCQs Test 07 Preparation OnlineNext Balance of Payments Test 01 Preparation Online Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Δ