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# Free Online MCQs for Class – 12 Accountancy Chapter 11 – Financial Statement Analysis

Free Online MCQs Questions of CBSE Class – 12 Accountancy Chapter 11 – Financial Statement Analysis with Answers. Free Online MCQs Questions for Class 12 Accountancy with Answers was Prepared Based on Latest Exam Pattern. Students can solve NCERT Class 12 Accountancy Class – 12 Accountancy Chapter 11 – Financial Statement Analysis Multiple Choice Questions with Answers to know their preparation level on Success Roar Classes Website itself.

## Chapter 11 – Financial Statement Analysis with Answers

1. Feature of financial analysis is to present the data contained in financial statements in
(A) Easy form
(B) Convenient and rational groups
(C) Comparable form
(D) All of the Above
2. Which analysis is considered as dynamic :
(A) Horizontal Analysis
(B) Vertical Analysis
(C) Internal Analysis
(D) External Analysis
3. Which analysis is considered as static :
(A) Horizontal Analysis
(B) Vertical Analysis
(C) Internal Analysis
(D) External Analysis
4. Which analysis is based only on one year’s data :
(A) Cash Flow Statement
(B) Dividend Analysis
(C) Vertical Analysis
(D) Horizontal Analysis
5. Main objective of analysis of financial statements is
(A) To know the financial strength
(B) To make a comparative study with other firms
(C) To know the efficiency of management
(D) All of the Above
6. Analysis of Financial Statements is significant:
(A) For Creditors
(B) For Managers
(C) For Employees
(D) For all of the above
7. Financial analysis becomes significant because it :
(A) Ignores price level changes
(B) Measures the efficiency of business
(C) Lacks qualitative analysis
(D) Is effected by personal bias
8. When bad position of the business is tried to be depicted as good, it is known as ………………………..
(A) Personal Bias
(B) Price Level Changes
(C) Window Dressing
(D) All of the Above
9. For whom the analysis of financial statements is not significant?
(A) Investor
(B) Government
(D) Company’s Employee
10. Main limitation of analysis of financial statements is
(A) Affected by window dressing
(B) Difficulty in forecasting
(C) Do not reflect changes in price level
(D) All of the Above

MCQs Questions of Class – 12 Accountancy Chapter 11 – Financial Statement Analysis