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76 What is meant by pro-rata allotment of shares?
1 Allotment of shares in certain proportion
2 Rejection of some applications and rest are allotted in full
3 Proportionate allotment to promoters and other applicants
4 All applicants are allotted shares in equal numbers

Answer: Allotment of shares in certain proportion
77 Which is not the internal cause of depreciation?
1 Wear and tear
2 Exhaustion
3 Obsolescence
4 Overwork

Answer: Obsolescence
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78 SEBI was established to regulate
1 money market
2 capital market of shares only
3 securities market
4 company administration

Answer: securities market
79 Trade Receivables include
1 Trade Debtors
2 Bills Receivables and Suppliers
3 Trade Debtors and Suppliers
4 Trade Debtors and Bills Receivables

Answer: Trade Debtors and Bills Receivables
80 Issue of Bonus Shares is a process of
1 attracting more investors in shares
2 capitalization of profits
3 employee motivation
4 distribution of gift to officers

Answer: capitalization of profits
81 Trading on Equity' means
1 doing business with equity shares only
2 selling of equity shares privately
3 share trading in Stock Exchanges
4 use of debt capital with equity capital in capital structure

Answer: use of debt capital with equity capital in capital structure
82 The Articles of Association of a company may be altered by passing
1 ordinary resolution
2 special resolution
3 general resolution with the consent of creditors
4 bill in the parliament

Answer: special resolution
83 According to Du Pont Triangle', profit is a function of
1 price and quantity
2 cost and investment
3 sales and cost
4 sales and assets

Answer: sales and assets
84 The type of market where single seller dominates the entire market is referred to as
1 perfect
2 imperfect
3 local
4 global

Answer: imperfect
85 Working capital management basically aims at striking balance between
1 debtors and creditors only
2 long-term fund and short-term fund
3 profitability and liquidity
4 fixed assets and current assets

Answer: profitability and liquidity
86 Watered capital means
1 overcapitalization
2 undercapitalization
3 excess equity capital
4 part of the capital not represented by assets

Answer: part of the capital not represented by assets
87 Overdraft is a short-term financial instrument to
1 pay taxes
2 repay loan
3 redeem debentures only
4 meet working capital requirement

Answer: meet working capital requirement
88 Sole-trading business is subject to the
1 general laws of the land
2 MRTP Act
3 One-Contract Act
4 Negotiable Instrument Act

Answer: general laws of the land
89 Tar value' can also be named as
1 face value
2 redemption value
3 market value
4 realizable value

Answer: face value
90 Motivation is important to managers, because
1 it is a significant contributor to high performance
2 it does not explain the differences in intensity of behaviour
3 it explains the differences in attitude and personality
4 not all employees know how to use it effectively

Answer: it is a significant contributor to high performance

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