Question : If the inventory turnover ratio is divided into 365, it becomes a measure of - 

Option 1: Average Age of Inventory

Option 2: Sales efficiency

Option 3: Sales Turnover

Option 4: Average Collection Period

Question : Which of the following statements are correct with respect of the debt collection period?

Option 1: Increase in average collection period indicates the excessive blockage of funds with trade receivables which increases the chances of bad debts.

Option 2: A higher average collection period is thus, an indication of the inefficiency and negligency on the part of management.

Option 3: if there is decrease in average collection period, it indicates prompt payment by trade receivables which reduces the chances of bad debts.

Option 4: All of the above

Question : Which of the following statements are correct with respect of the debt collection period?

Option 1: Increase in average collection period indicates the excessive blockage of funds with trade receivables which increases the chances of bad debts.

Option 2: A higher average collection period is thus, an indication of the inefficiency and negligency on the part of management.

Option 3: if there is decrease in average collection period, it indicates prompt payment by trade receivables which reduces the chances of bad debts.

Option 4: All of the above

Question : Water cannot be used to extinguish fire caused by electric current, because:

Option 1: it may cause electrocution

Option 2: it may cause hydrolysis

Option 3: it may cause electrolysis

Option 4: it may spoil the wiring

Question : Which money market instrument is highlighted in the given statement?
Statement: It is used to finish the credit sales.

Option 1: Treasury bill

Option 2: Call money

Option 3: Certificate of deposits

Option 4: Commercial bill