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Fixed and Working Capital Requirements

Board » Bihar Board » Class 12th » English Medium » Commerce » Entrepreneurship (EPS) » L-10: Fixed and Working Capital Requirements

Objective Questions (MCQs)

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1. Fixed capital is—

  • (A) long-term
  • (B) short-term
  • (C) permanent
  • (D) none of the above
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2. Net working capital means—

  • (A) C.A. - C.L.
  • (B) C.A. - C.L.
  • (C) C.L. - C.A.
  • (D) None of the above
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3. Working capital may be classified into—

  • (A) permanent working capital
  • (B) variable working capital
  • (C) regular and seasonal working capital
  • (D) all of the above
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4. For a joint stock company payment of the dividend is—

  • (A) voluntary
  • (B) compulsory
  • (C) necessary
  • (D) none of these
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5. Various public utility undertakings have to invest heavily on—

  • (A) Current Assets
  • (B) Fixed Assets
  • (C) Fictitious Assets
  • (D) None of the above
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6. The determinants of bonus decisions are—

  • (A) Amount of profits
  • (B) Liquidity of funds
  • (C) Age of the company
  • (D) All of the above
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BSEB, 2019

7. Fixed capital is required—

  • (A) for payment of routine expenses
  • (B) for purchase of land
  • (C) for purchasing stock
  • (D) for payment to creditors
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8. The determinant of working capital is—

  • (A) size of the enterprise
  • (B) period of manufacturing process
  • (C) availability of raw material
  • (D) all of the above
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9. Working Capital is what type in nature?

  • (A) Stable
  • (B) Unstable
  • (C) Floating
  • (D) Neither A nor B above
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10. The source of fixed capital is not—

  • (A) issue of debentures
  • (B) issue of shares
  • (C) creditors
  • (D) loan from industrial Finance corporation of India
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11. Fixed cost includes—

  • (A) cost of raw material
  • (B) cost of labour
  • (C) cost of power
  • (D) cost of factory
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BSEB, 2017 Modified

12. Regular working capital is the part of—

  • (A) permanent working capital
  • (B) variable working capital
  • (C) net working capital
  • (D) none of the above
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BSEB, 2012, 13, 15, 16, 17, 19Modified

13. Long-term loan bears—

  • (A) fixed rate of interest
  • (B) flexible rate of interest
  • (C) zero rate of interest
  • (D) none of the above
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