FINANCE QUIZ No.3

1. Working Capital Turnover=

a. Sales/ Net working Capital b. EBIT/Net working Capital
c. EBIT/ Capital Employed d. Net worth / Net working Capital

2. ROI (before tax) =

a. EBIDTA/Total assets b. EBIT (1- Tax rate)/ Capital employed
c. EBIT/ Capital employed d. PAT/Net assets

3. ROI (after tax) =

a. EBIDTA/Total assets b. EBIT (1- Tax rate)/ Capital employed
c. EBIT/ Capital employed d. PAT/Net assets

4. ROI (before tax & depreciation) =

a. EBIDTA/Total assets b. EBIT (1- Tax rate)/ Capital employed
c. EBIT/ Capital employed d. PAT/Net assets

5. P/E Ratio=_____________


6. EPS= _________________


7. Expand the following:

CRISIL ………………………………
ROCE ……………………………….
MFIs …………………………………
ICICI…………………………………
MCX………………………………..
NCDEX……………………………..


8. True/False

a. Profitability of the shareholders can be measured by EPS …………..
b. NPV of a financial decision is the sum of present value of cash inflows and
cash outflows…………..
c. Amortization is the measurement of depreciation of tangible goods……….
d. The change in profit due to change in sales is referred as operating leverage…

Answers: 1-a, 2-c, 3-b, 4-a, 5-Market price of share/EPS, 6-PAT/No. of shares, 7-Credit rating Information services of India Ltd., Return on capital employed, Micro finance Institutions, Industrial credit and Investment Corporation of India, Multi commodity Exchange, National commodities and derivatives Exchange, 8- T,F,F,T