1. Scratch is considering the acquisition of SMITH. Scratch has 150,000 offers having a market cost of ' 25 for every offer, while SMITH has 175,000 offers selling at ' 15 for each offer. The EPS are ' 3.00 and ' 1.25 for Scratch and SMITH separately. Administrations of the two organizations are examining two elective proposition for trade of offers as shown beneath:

(i) In extent to the relative profit per portion of two organizations.

(ii) 0.5 portion of Scratch for one portion of SMITH (0.5 : 1). You are required:

(i) To ascertain the Income Per Offer (EPS) after consolidation under two other options; and

(ii) To show the effect on EPS for the investors of two organizations under both the other options.

2. Any exchange between a current record and another current record doesn't

Affect_____________.

A. benefit.

B. reserves.

C. working capital.

D. capital.

3. Any exchange between a non current record and another non current record doesn't affect____________.

A. benefit.

B. reserves.

C. working capital.

D. capital.

4. Rule' for readiness of working capital articulation - Expansion in current resource _________.

A. builds working capital.

B. diminishes working capital.

C. decline fixed capital.

D. increment fixed capital.

5. Standard' for arrangement of working capital articulation - Decline in current asset________ .

A. builds working capital.

B. diminishes working capital.

C. decline fixed capital.

D. increment fixed capital.

6. Rule' for planning of working capital articulation - Expansion in current liability_________.

A. builds working capital.

B. diminishes working capital.

C. decline fixed capital.

D. increment fixed capital.

7. Standard' for readiness of working capital explanation - Abatement in current Liability____________.

A. expands working capital.

B. diminishes working capital.

C. decline fixed capital

D. increment fixed capital

8. Deterioration on fixed resources is_________.

A. non working pay.

B. working cost.

C. working pay.

D. non working cost.

9. Creation cost under minor costing incorporates _____________.

A. prime expense just .

B. prime expense and fixed overhead .

C. . prime expense and variable overhead.

D. prime expense, variable overhead and fixed overhead.

10. One of the essential contrasts between minor costing and retention costing in regards to

the treatment of __________.

A. prime expense .

B. fixed overheads.

C. variable overheads .

D. direct materials.