Question

Q14

Which of the following is not true for a private company?

Select one:

a. It is a common form of business structure for large-sized entities.

Q24

The triple bottom line approach encourages a focus on which performance areas?

Select one:

a. Economic, environmental and sustainability

b. Economic, social and environmental

c. Social, environmental and sustainability

d. Economic, social and sustainability

b. The company name includes the words 'Pty Ltd'.

c. It can have up to 50 shareholders.

d. It is relatively easy to set up.

Q15

How can financial analysis be categorised?

Select one:

a. As ratio analysis

b. As trend analysis

c. As vertical and horizontal analysis

d. All options are correct

Q18

Which of the below statements regarding spontaneous sources of funding is true?

Select one:

a. Spontaneous sources of funding include leases.

b. Spontaneous sources of funding generally include a borrowing charge.

c. All of the options are true.

d. Spontaneous sources of funding arise in a substantially unplanned and unstructured way in the normal course of business.

Answer 1

QUESTION 14

Private Company is a common form of business structure for large-sized entities A minimum of one shareholder and a maximum of 50 shareholders a private company.

So, the correct option is (d).

QUESTION 24

The triple bottom line aims to measure the financial, social, and environmental performance of a company over time.

So, the correct option is (b).

QUESTION 15

• Horizontal analysis. This involves the side-by-side comparison of the financial results of an organization for a number of consecutive reporting periods. The intent is to discern any spikes or declines in the data that could be used as the basis for a more detailed examination of financial results.

• Vertical analysis. This is a proportional analysis of the various expenses on the income statement, measured as a percentage of net sales. The same analysis can be used for the balance sheet. These proportions should be consistent over time; if not, one can investigate further into the reasons for a percentage change.

So, the correct option is (c).

QUESTION 18

Spontaneous financing refers to the automatic source of short term funds arising in the normal course of short term course of business. Spontaneous sources of funding are those that arise in a substantially unplanned and unstructured way in the ordinary course of business.

So, the correct option is (d).