FIN621

My paper of FIN 621 MIDTERM 2011   22 MCQS SOME MCQS ARE GIVEN BELOW WITH SOLUTION   80% PAPER IS FROM PAST PAPERS   PLZ REMEMBER ME & MY MOTHER  IN YOUR PRAYS     1.  Which of the following is NOT true about the net income?     ►It is a calculated figure and represents actual cash 2.After …

MIDTERM  EXAMINATION Fall 2009 FIN621- Financial Statement Analysis Question No: 1    ( Marks: 1 )    – Please choose one  How much duration does an accounting period usually have? ► Three months   ► Two years   ► One year   ► Five years   Question No: 2    ( Marks: 1 )    – Please choose one  Which of the following statement shows the effects of cash inflows and outflows?   …

Question No: 49      ( Marks: 3 )   If a company uses Rs.20, 000 to buy merchandise for inventory. What do you think would be the effect on working capital? Give reason. If company purchase inventory on cash current assets of company increase and on the other hand cash is decrease.  So there is no effect in working capital.   …

QUESTION:  What is the difference between expense and expenditure? (3)  Expenditure Vs Expenses Expenditure : It is the cost benefiting or spreading over two or more accounting periods. Expense is the portion of Expenditure for one accounting period only.   Question:   What is the principle advantage of using direct method of cash flow statement? (3)   The direct method …

Paper was easy most of the questions were from past papers…  My subjective part of paper is as follows: 1 Question: Why should company prefer to use LIFO instead of FIFO? 3 marks 2 Question: Why recipient and payment are classified as operating activities? 3 marks 3 Question: Affects of dividends on retained earnings?Explain in terms of dividend declared and dividend payment? 3 …

FIN621 Particulars Note Amount Rs. Sales Less: Cost of Goods Sold     17,000,000 5,700,000 Gross Profit   11300000 Less: Administrative Expenses Less: Selling Expenses   2,600,000 4,000,000 Operating Profit   4,700,000 Other Expenses   Nil Earning Before Interest and Tax (EBIT)   4,700,000 Income Tax (30%)   1,410,000 Profit After Tax   3,290,000 Please note that the one time …