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697. If budgeted total direct labour hours are 5500 and budgeted direct labour cost is $755000, then budgeted direct labour cost rate is

$138 per labour hour

$137.27 per hour

$140 per labour hour

$142 per labour hour

✅ The correct answer is B.
Budgeted direct labour cost = Budgeted direct labour cost ÷ Budgeted total direct labour hours
= $755000 ÷ 5500 = $137.27 per hour

698. The optimal portfolio is the efficient portfolio with the______________.

lowest risk

highest risk

highest utility

least investment

✅ The correct answer is C.
The optimal portfolio is the efficient portfolio with the highest utility. Portfolio optimization is the process of selecting the best portfolio, out of the set of all portfolios being considered, according to some objective.

699. Future value of interest if it is calculated once a year is classified as

One time compounding

annual compounding

semi-annual compounding

monthly compounding

✅ The correct answer is B.
Future value of interest if it is calculated once a year is classified as annual compounding. Future value is the value of an asset at a specific date. It measures the nominal future sum of money that a given sum of money is “worth” at a specified time in the future assuming a certain interest rate, or more generally, rate of return; it is the present value multiplied by the accumulation function.

700. Process of calculating future value of money from present value is classified as

compounding

discounting

money value

stock value

✅ The correct answer is A.
Process of calculating future value of money from present value is classified as compounding. Compounding is the process in which an asset’s earnings, from either capital gains or interest, are reinvested to generate additional earnings over time.

681. Second step, in constant gross margin percentage NRV method, to allocate joint cost is to compute

allocated joint costs

cost of split off point

Gross margin percentage

total production cost of each product

✅ The correct answer is D.
Second step, in constant gross margin percentage NRV method, to allocate joint cost is to compute total production cost of each product.

65. Interest on debentures is calculated on

Purchase value of debentures

Market value of debentures

Face value of debentures

All of the above

✅ The correct answer is C.
Interest on debentures is calculated on Face value of debentures. This interest amount is paid periodically, generally yearly or half-yearly. The interest is a charge against the profit of the company.

683. Constant growth rate is 8% and an expected dividend yield is 5.4% then expected rate of return would be

-3.40%

3.40%

13.40%

-13.40%

✅ The correct answer is C.
Expected rate of return = Constant growth rate + Expected dividend yield
= 8% + 5.4% = 13.40%.

685. A member of a company is __________.

Promoter

Registered shareholder

Director

Broker

✅ The correct answer is B.
A member of a company is Registered shareholder. A shareholder is a person who buys and holds shares in a company having a share capital. They become a member once their name is entered on the register of members.

687. Nature of the product is the vital factor,which influences the _________ of the units.

size

profit

sales

Demand

✅ The correct answer is A.
Nature of the product is the vital factor,which influences the size of the units.

689. Firm’s promise to pay and is backed or guaranteed by bank is classified as

customer’s acceptance

banker’s acceptance

federal acceptance

treasury acceptance

✅ The correct answer is B.
Firm’s promise to pay and is backed or guaranteed by bank is classified as banker’s acceptance. A banker’s acceptance (BA) is a short-term debt instrument issued by a company that is guaranteed by a commercial bank. Banker’s acceptances are issued as part of a commercial transaction.

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