Financial Management - Study Mode

[#576] Price per share is Rs 30 and an earning per share is Rs 3.5 then price for earning ratio would be
Correct Answer

(A) 8.57 times

Explanation

Solution: Price for earning ratio = Price per share ÷ Earning per share = Rs 30 ÷ Rs 3.5 = 8.57 times

[#577] Noncash revenues and noncash charges if it subtracted from net income is equal to
Correct Answer

(C) net cash flow

Explanation

Solution: Noncash revenues and noncash charges if it subtracted from net income is equal to net cash flow. Net cash flow refers to the difference between a company's cash inflows and outflows in a given period. In the strictest sense, net cash flow refers to the change in a company's cash balance as detailed on its cash flow statement.

[#578] An information uses by investors for expecting future earnings is all recorded in
Correct Answer

(B) annual report

Explanation

Solution: An information uses by investors for expecting future earnings is all recorded in annual report. An annual report is a comprehensive report on a company's activities throughout the preceding year.

[#579] In calculation of net cash flow, deferred tax payments are classified as
Correct Answer

(B) non-cash charges

Explanation

Solution: In calculation of net cash flow, deferred tax payments are classified as non-cash charges. A non-cash charge is a write-down or accounting expense that does not involve a cash payment.

[#580] Land, buildings, and factory fixed equipment are classified as
Correct Answer

(A) tangible asset

Explanation

Solution: Land, buildings, and factory fixed equipment are classified as tangible asset. A tangible asset is an asset that has a physical form.