Business Studies

Business Finance

Medium

Match List-I with List-II

List-I List-II
(A) Interest Coverage Ratio (I) Debt (D)/Equity(E) or D/D+E
(B) Financial Leverage (II) Current Assets - Current Liabilities
(C) Return on Investment (III) EBIT/Interest
(D) Net Working Capital (IV) (EBIT/Total Investment)*100

Choose the correct answer from the options given below:

List-I	List-II
(A) Interest Coverage Ratio	(I) Debt (D)/Equity(E) or D/D+E
(B) Financial Leverage	(II) Current Assets - Current Liabilities
(C) Return on Investment	(III) EBIT/Interest
(D) Net Working Capital	(IV) (EBIT/Total Investment)*100

(A) - (I), (B) - (II), (C) - (III), (D) -(IV)

(A) - (I), (B) - (III), (C) - (IV), (D) -(II)

(A) - (III), (B) - (I), (C) - (IV), (D) -(II)

(A) - (IV), (B) - (II), (C) - (I), (D) -(III)

✅ Correct Option: 3

Interest Coverage Ratio is EBIT divided by interest (III). Financial leverage is the proportion of debt, computed as $D/E$ or $D/(D+E)$ (I). Return on Investment is $(EBIT/Total\ Investment) \times 100$ (IV). Net working capital is current assets minus current liabilities (II). Hence (A)-(III), (B)-(I), (C)-(IV), (D)-(II).

2026: 6 June Shift 1

Ms Pooja has a manufacturing business of winter clothes in Raipur, Chattisgarh with an annual demand of 50,000 units. Suggest the factors that she needs to consider while deciding on the requirement of fixed capital for the business.

(A) Scale of operations

(B) Choice of Technique

(D) Business Cycle

Choose the correct answer from the options given below:

2026: 21 May Shift 2

The decision involving identification of various available sources of funds is:

2022: 17 Aug Shift 1

Match List I with List II

List I	List II
A. Investment decisions	I. Source of raising finance
B. Financing decisions	II. Proportion of debt and equity
C. Dividend decisions	III. Long term or short term assets
D. Capital Structure	IV. Amount of money to be retained

Choose the correct answer from the options given below:

2026: 6 June Shift 1

The Financing Decisions are affected by:

(A) Floatation Costs

(B) Cash Flow Position of the Company

(D) Taxation Policy

Choose the correct answer from the options given below:

2025: 26 May Shift 2

What was the source of internal funding for ABC Manufacturing Ltd.?

2023: 29 May Shift 2

Match List I with List II

LIST I		LIST II
A. Regulatory Function of SEBI	I.	Levying fee or other charges
B. Development Function of SEBI	II.	Training of intermediaries
C. Protective Function of SEBI	III.	Controlling insider training
D. Objective of SEBI	IV.	Regulate stock exchanges

Choose the correct answer from the options given below:

Solution

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CUET Business Studies Past Year Questions (Topic-Wise)