4. M.A. Restricted is starting another undertaking for assembling of a plastic part. The accompanying expense data has been determined for yearly creation of 12,258 units which is the full limit:

Expenses per unit ($)

Materials 47.90

Direct work and variable costs 85.54

Fixed assembling costs 98.45

Deterioration 78.58

Fixed organization costs 4.69

The selling cost per unit is required to be ' 96 and the selling costs ' 5 per unit, 80% of which is variable.

In the initial two years of activities, creation and deals are required to be as follows:

Year Production (No. of units) Sales (No. of units)

1 6,654.58 5,987.87

2 9,874.98 8,587.58

To survey the functioning capital necessities, the accompanying extra data is accessible:

(a) Stock of materials 2.25 months' normal utilization

(b) Work-in-measure Nil

(c) Debtors multi month's normal deals.

(d) Cash balance $ 10,874.98

(e) Creditors for supply of materials multi month's normal buy during the year.

(f) Creditors for costs multi month's normal of all costs during the year.

Plan, for the two years:

(I) An extended assertion of Profit/Loss (Ignoring tax collection); and

(ii) An extended assertion of working capital prerequisites.

2. Which of coming up next is definitely not a by and large acknowledged methodology for Calculation of Cost of Equity?

(a) CAPM,

(b) Dividend Discount Model,

(c) Rate of Pref. Profit Plus Risk,

(d) Price-Earnings Ratio.

3. Working influence helps in investigation of:

(a) Business Risk,

(b) Financing Risk,

(c) Production Risk,

(d) Credit Risk

4. Which of coming up next is concentrated with the assistance of monetary influence?

(a) Marketing Risk,

(b) Interest Rate Risk,

(c) Foreign Exchange Risk,

(d) Financing hazard

5. Joined Leverage is acquired from OL and FL by their:

(a) Addition, (b) Subtraction, (c) Multiplication, (d) Any of these

6. Serious level of monetary influence implies:

(a) High obligation extent,

(b) Lower obligation extent,

(c) Equal obligation and value,

(d) No obligation

7. Working influence emerges as a result of:

(a) Fixed Cost of Production,

(b) Fixed Interest Cost,

(c) Variable Cost,

(d) None of the abovementioned

8. Monetary Leverage emerges in view of:

(a) Fixed expense of creation,

(b) Variable Cost,

(c) Interest Cost,

(d) None of the abovementioned

9. Working Leverage is determined as:

(a) Contribution EBIT,

(b) EBITPBT,

(c) EBIT Interest,

(d) EBIT Tax

10. Monetary Leverage is determined as:

(a) EBIT Contribution,

(b) EBIT PBT,

(c) EBIT Sales,

(d) EBIT Variable Cost