Administrator, Author at GetMCQs

151. Present liability of uncertain amount, which can be measured reliably by using a substantial degree of estimation is termed as

Contingent liability

Liability

Provision

Reserve

✅ The correct answer is C.
Present liability of uncertain amount, which can be measured reliably by using a substantial degree of estimation is termed as Provision. A provision is an account which records a present liability of an entity.

1625. From the below given age proof documents, identify the one which is classified as non-standard by insurance companies.

School certificate

Identity card in case of defence personnel

Ration card

Certificate of baptism

✅ The correct answer is C.
Ration card is classified as non-standard by insurance companies.

1627. Which of the following is not a widely used midrange or high-end e-commerce suite?

Microsoft Commerce Server

WebTrends Marketing Lab2

IBM WebSphere Commerce

Broadvision Commerce

✅ The correct answer is A.
Microsoft Commerce Server is not a widely used midrange or high-end e-commerce suite. Microsoft is one of the providers of commerce servers. Microsoft Commerce Server was first released in 2000 and was used to creatie e-commerce systems. It uses Microsoft’s .NET technology.

1629. Nominal interest rates and nominal cash flows are usually reflected the

inflation effects

opportunity effects

equity effects

debt effects

✅ The correct answer is A.
Nominal interest rates and nominal cash flows are usually reflected the inflation effects. Inflation has the following effects on production activities: Inflation may or may not result in an increase in production. As long as the economy does not reach the full employment stage, inflation has a favorable effect on production. Usually, as the price level increases, profits increase too.

1631. Price at which European and American options can be exercised is classified as

exercise price

strike price

horizon price

Both A and B

✅ The correct answer is D.
Price at which European and American options can be exercised is classified as exercise price and strike price.

1598. Which type of Annuity will have 2 distinct phases?

Immediate Annuity

Deferred Annuity

Spouse Annuity

Joint life annuity

✅ The correct answer is B.
There are two phases for a deferred annuity: the accumulation or deferral phase in which the customer deposits (or pays premiums) and accumulates money into an account; the distribution or annuitization phase in which the insurance company makes income payments until the death of the annuitants named in the contract.

1599. In weighted average cost of capital, a company can affect its capital cost through

policy of capital structure

policy of dividends

policy of investment

all of above

✅ The correct answer is D.
In weighted average cost of capital, a company can affect its capital cost through policy of capital structure, policy of dividends and policy of investment

1601. ___________ is the value of economic resources used as a result of producing or doing the thing costed.

Cost

Inventory

Labour

overhead

✅ The correct answer is A.
Cost is the value of economic resources used as a result of producing or doing the thing costed. Cost is ascertained by cost centres or cost units or by both.

1603. Under Deferred annuity, the premium has to be paid –

In regular instalments

In lumpsum

Both A & B

None of the above

✅ The correct answer is C.
These annuities may be purchased with a single payment or, as is more often the case, with a series of periodic payments.

147. Which of the following is a real account?

Salary account

Cash account

Outstanding rent account

Sundry creditors account

✅ The correct answer is B.
Cash account is a real account. Real accounts show up on a company’s balance sheet, which is the financial statement that lists all the accounts that a company has and their balances.

Author name: Administrator