Accounting Ratios Class 12 MCQs Questions with Answers

1. Opening Inventory ₹1,00,000; Closing Inventory ₹1,20,000; Purchases ₹20,00,000; Wages ₹2,40,000; Carriage Inwards ₹1,50,000; Selling Exp. ₹60,000; Revenue from Operations ₹30,00,000. Gross Profit ratio will be :

2. Ideal Current Ratio is :

3. Debt Equity Ratio is :

4. Cash Revenue from Operations ₹4,00,000 Credit Revenue, from Operations ₹21,00,000; Revenue from Operations Return ₹1,00,000; Cost of revenue from operations ₹19,20,000. G.P. ratio will be

5. Opening Inventory of a firm is ₹80,000. Cost of revenue from operations is ?6,00,000. Inventory Turnover Ratio is 5 times. Its closing Inventory will be:

6. On the basis of following data, the cost of revenue from operations by a company will be :

Opening Inventory ₹70,000; Closing Inventory ?₹80,000; Inventory Turnover Ratio 6 Times.

7. Long term solvency is indicated by :

8. Liquid Assets do not include :

9. Cost of Revenue from Operations =

10. In debt equity ratio, debt refers to :

11. If Debt equity ratio exceeds , it indicates risky financial position.

12. What will be the amount of Gross Profit. if revenue from operations are ₹6,00,000 and Gross . Profit Ratio is 20% of cost?

13. If the inventory turnover ratio is divided into 365, it becomes a measure of

14. The ………….. ratios provide the information critical to the long run operation of the firm.

15. Current Ratio is :

16. Opening Inventory ₹1,00,000; Closing Inventory ₹1,50,000; Purchases ₹6,00,000; Carriage ₹25,000; Wages ₹2,00,000. Inventory Turnover Ratio will be :

17. On the basis of following data, the Debt-Equity Ratio of a Company will be:

Equity Share Capital ₹5,00,000; General Reserve ₹3,20,000; Preliminary Expenses ₹20,000; Debentures ₹3,20,000; Current Liabilities ₹80,000.

18. Fixed Assets ₹5,00,000; Current Assets ₹3,00,000; Equity Share Capital ₹4,00,000; Reserve ₹2,00,000; Long-term Debts ₹40,000. Proprietary Ratio will be :

19. Ideal Quick Ratio is :

20. Two basic measures of liquidity are :