#liquidity

Consumer Behaviour and Demand

What are the deposits in the bank accounts that can be withdrawn on demand called?

Demand deposits correct demand concept; law of demand inverse price-quantity relation elasticity.

Ref: NCERT Economics Class XI Chapter 2 Consumer Behaviour explains demand law elasticity utility indifference curve consumer equilibrium clearly.

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Ratio Analysis 2

What will be the current ratio of a company whose net working capital is zero?

1:1 ratio analysis correct; liquidity profitability ratios calculation interpretation.

Ref: NCERT Accountancy Class XII Chapter 9 Ratio Analysis explains liquidity solvency profitability activity ratios calculation interpretation significance clearly.

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Ratio Analysis 1

Purchase of machinery for cash will _____ the quick ratio.

decrease ratio analysis correct; liquidity profitability ratios calculation interpretation.

Ref: NCERT Accountancy Class XII Chapter 9 Ratio Analysis explains liquidity solvency profitability activity ratios calculation interpretation significance clearly.

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Ratio Analysis 1

Generally, a lower current ratio is considered better.

False ratio analysis correct; liquidity profitability ratios calculation interpretation.

Ref: NCERT Accountancy Class XII Chapter 9 Ratio Analysis explains liquidity solvency profitability activity ratios calculation interpretation significance clearly.

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Financial Statements 3

Directions For Questions Directions: Read the following passage carefully: Financial analysis is essential for identifyi

Evaluating a firm’s financial health financial statements correct; Schedule III format Companies Act 2013.

Ref: NCERT Accountancy Class XI Chapter 9 Financial Statements explains trading profit loss balance sheet preparation format Schedule III.

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Financial Statements 3

Directions For Questions Directions: Read the following passage carefully: Financial analysis is essential for identifyi

Profitability, liquidity, solvency, and efficiency financial statements correct; Schedule III format Companies Act 2013.

Ref: NCERT Accountancy Class XI Chapter 9 Financial Statements explains trading profit loss balance sheet preparation format Schedule III.

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Financial Statements 2

Directions For Questions Directions: Read the following passage carefully: Financial analysis is essential for identifyi

Financial strengths and weaknesses financial statements correct; Schedule III format Companies Act 2013.

Ref: NCERT Accountancy Class XI Chapter 9 Financial Statements explains trading profit loss balance sheet preparation format Schedule III.

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Financial Statements 2

Directions For Questions Directions: Read the following passage carefully: The balance sheet is a snapshot of a company'

The company's financial stability and liquidity financial statements correct; Schedule III format Companies Act 2013.

Ref: NCERT Accountancy Class XI Chapter 9 Financial Statements explains trading profit loss balance sheet preparation format Schedule III.

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Financial Statements 2

Directions For Questions Directions: Read the following passage carefully: The balance sheet is a snapshot of a company'

Company’s financial position at a specific financial statements correct; Schedule III format Companies Act 2013.

Ref: NCERT Accountancy Class XI Chapter 9 Financial Statements explains trading profit loss balance sheet preparation format Schedule III.

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Financial Statements 2

Comparison of financial statements highlights the trend of the:

all of the above financial statements correct; Schedule III format Companies Act 2013.

Ref: NCERT Accountancy Class XI Chapter 9 Financial Statements explains trading profit loss balance sheet preparation format Schedule III.

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Accounting Fundamentals 3

Which of the following is/are not the component(s) of quick assets?

Both (a) and (b) correct accounting fundamental; capital revenue classification per accounting principles.

Ref: NCERT Accountancy Class XI Chapter 1 Accounting Fundamentals explains accounting meaning objectives advantages limitations double entry system clearly.

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Nature and Significance of Management 3

_______ is a source of financing to meet very short-term fund requirements of commercial banks with a provision of renew

Call Money defines nature significance; management goal-oriented, continuous, pervasive.

Ref: NCERT Business Studies Class XII Chapter 1 Nature and Significance of Management defines management functions characteristics clearly explained.

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