Business Studies

Business Finance

Easy

Given below are the examples of current Assets. Identify which of them is highly liquid?

Marketable securities

Cash in hand

Debtors

Prepaid expenses

✅ Correct Option: 2

Among current assets, cash in hand is the most liquid form as it is already money and can be used immediately. Marketable securities are highly liquid too but need conversion. Debtors require collection time, and prepaid expenses cannot be readily converted. However, as per the NTA answer key, the accepted answer is Cash in hand (option 2).

2025: 27 May Shift 2

Match List-I with List-II

List-I	List-II
Concept	Meaning
(A) Working Capital	(I) It refers to the mix between owners and borrowed funds for the sources of business finance.
(B) Financial Management	(II) It is essentially preparation of a financial blueprint for an organization's future operations.
(C) Capital Structure	(III) This investment facilitates smooth day-to-day operations of the organization.
(D) Financial Planning	(IV) It is concerned with optimal procurement as well as usage of finance.

Choose the correct answer from the options given below:

2025: 29 May Shift 2

Identify the asset which can be easily converted into cash.

2022: 20 Aug Shift 1

Identify the factors which affect the dividend decision.

A. Stock market Reaction

B. Floatation Cost

C. Legal Constraints

D. Fixed operating cost

E. Cost of equity

2025: 30 May Shift 1

The primary aim of financial management is:

2026: 20 May Shift 1

A company is doing EBIT-EPS analysis as it is planning to use debt in its capital structure.

Arrange the following items in correct sequence for calculation of EPS

(A) Earnings Before Tax

(B) Earnings Before Interest and Taxes

(D) Interest on Debt

Choose the correct answer from the options given below:

2025: 14 May Shift 1

_______ refers to the mix between owners funds and borrowed funds?

Given below are the examples of current Assets. Identify which of them is highly liquid?

Solution

Related questions:

Keyboard Shortcuts

CUET Business Studies Past Year Questions (Topic-Wise)