Correct Answer:- Option-C
Question29:-Rate of underwriting commission should not exceed
A:-2%% of the issue price of shares
B:-5% of the issue price of shares
C:-5% of the market price or 2%% of the issue price of shares whichever is less
D:-2%:% of the market price or 5% of the issue price of shares whichever is less
Correct Answer:- Option-B
Question30:-Open underwriting is an agreement for underwriting
A:-The whole issue of shares or debentures
B:-A part of the whole shares or debentures
C:-Shares or debentures not subscribed by the public
D:-To buy a fixed number of shares or debentures
Correct Answer:- Option-C
Question31:-Which of the following is not an intangible asset 7
A:-Goodwill
B:-Computer software
C:-Copy rights and patents
D:-None of the above
Correct Answer:- Option-D
Question32:-Which of the following is not classified as 'Inventories' ?
A:-Work-in-progress
B:-Stores and spares
C:-Loose tools
D:-None of the above
Correct Answer:- Option-D
Question33:-Which of the following can be ignored for paying dividend out of revenue profit 7
A:-Arrears of depreciation
B:-Accumulated losses (9555 during earlier years)
C:-Transfer a certain percentage of profit to reserves
D:-None of the above
Correct Answer:- Option-D
Question34:-Which of the following is an objective of Intemal Reconstruction 7
A:-For eliminating competition
B:-For eliminating fictitious assets
C:-For securing larger share in the market
D:-All the above
Correct Answer:- Option-B
Question35:-Which of the following is not correct for debenture issue 7
A:-Debentures can be issued for cash
B:-Debentures can be issued in lieu of dividend
C:-A company can buy its own debentures
D:-Debentures can be issued for consideration other than cash
Correct Answer:- Option-B
Question36:-Which of the following is not miscellaneous expenditure 7
A:-Preliminary expenses
B:-Research and Development expenditure
C:-Brokerage ೦೧ issue of shares
D:-Goodwill yet to be written off
Correct Answer:-Question Cancelled
Question37:-Which of the following will affect the trial balance 7
A:-Loan given to employee was accounted as salary paid
B:-Repairs to building debited to Building A/c
C:-Sales retumn was accounted as purchase
D:-None of the above
Correct Answer:- Option-D
Question38:-Payout ratio indicates as to
A:-What proportion of net profit has been used for paying dividend 7
B:-What proportion of revenue has been used for meeting expenses 7
C:-What proportion of eamings per share has been used for paying dividend 7