Kerala PSC Previous Years Question Paper & Answer

Title : GENERAL MANAGER
Question Code : A

Page:6


Below are the scanned copy of Kerala Public Service Commission (KPSC) Question Paper with answer keys of Exam Name 'GENERAL MANAGER' And exam conducted in the year 2017. And Question paper code was '082/2017/OL'. Medium of question paper was in Malayalam or English . Booklet Alphacode was 'A'. Answer keys are given at the bottom, but we suggest you to try answering the questions yourself and compare the key along wih to check your performance. Because we would like you to do and practice by yourself.

page: 6 out of 11
Excerpt of Question Code: 082/2017/OL

Question46:-'Lintner model’ is related with
A:-Credit policy
B:-Optimum cash balance
C:-Working capital management
D:-Dividend policy
Correct Answer:- Option-D
Question47:-In working capital management the concept of Zero Working Capital (ZWC) =
A:-Inventories + receivables — payables
B:-Current assets — cash — current liabilities
C:-Working capital — cash equivalents
D:-Receivables — payables
Correct Answer:- Option-A
Question48:-The term ‘lethargy’ in cash management refers
-Time taken by post office for transferring cheque from customer to firm
:-Time taken to processing the cheque within the firm and sending to bank
C:-Time taken by the bank in collecting the payment from customers bank
D:-Difference between the balance in cash book and pass book
Correct Answer:- Option-B
Question49:-Which of the following would increase the working capital ?
A:-Issue of Bonus shares
B:-Issue of Right shares
C:-Conversion of debt into capital
D:-Acquisition of asset by issuing capital
Correct Answer:- Option-B
Question50:-Management of X Ltd. raises the unit selling price of a product by 10% as a result of increase of variable cost of
the product by 10%. The fixed cost remains unchanged. The BEP of the company
A:-Increases
B:-Decreases
C:-Remain the same
D:-Can't say
Correct Answer:- Option-C
Question51:-A company has earned net profit of Rs. 2,00,000. Its P/V ratio and margin of safety are 25% and 50%
respectively. What is the total fixed cost of the company ?
A:-Rs. 1,00,000
-Rs. 2,00,000
C:-Rs. 4,00,000
D:-Rs. 8,00,000
Correct Answer:- Option-B
Question52:-For a given period profit under absorption costing is less than the profit under marginal
costing if
A:-Production exceeds sales
B:-Production is equal to sales
C:-Sales are in excess of production
D:-Sales is the key factor
Correct Answer:- Option-C

Question53:-In make or buy decisions, it is profitable to buy from outside only when the suppliers price is below the firm's
own

A:-Variable cost
B:-Contribution

ixed cost

D:-Total cost

Correct Answer:- Option-A

Question54:-A firm is having interest liability of Rs. 20,000 and preference dividend of Rs. 36,000. Given the tax rate of 40%
and dividend tax rate of 20%, financial break even level will be

A:-Rs. 56,000
-Rs. 63,200
C:-Rs. 70,400
D:-Rs. 92,000
Correct Answer:- Option-D

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