1.

This is a certificate of indebtedness of a corporation usually for a period of net loss that, ten years and
guaranteed by a mortgage on certain assets of the corporation or its subsidiaries. What do you think it
is?
a) Appraisal
b) Bond
c) Equity capital
d) Written contract
B
2. This is a fund supplied and used by owners of an enterprise in the expectation that profit will be
earned. What is this?
a) Equity Capital
b) Working capital
c) Investment
d) Present fund
A
3. This is a fund supplied by others on which a fixed rate of interest must be paid and the debt be repaid
at a specific place and time. How do you call this fund?
a) Discount
b) Cash flow
c) Working Capital
d)
Borrowed
capital
D
4. How do you call the quantity of a certain commodity that is offered for sale at a certain price at a
given place and time?
a) Supply
b) Discount
c) Demand
d) Investment
A
5. What do you think is the quantity of a certain commodity that is bought at a certain price at a given
place and time?
a) Supply
b) Discount
c) Demand
d) Investment
C
6. This is a market condition where only few individuals produce a certain product that action of one
will lead to almost the same action by the other. Guess what is this?
a) Monopoly
b) Oligopoly
c) Semi monopoly
d)
Perfect
competition
B
7. Guess, what is this? This is the simplest form of a business organization.
a) Sole proprietorship
b) Enterprise
c) Partnership
d) Corporation
A
8. Guess this! Those funds which are required to make the enterprise or project of a going concern.
a) Banking Funds
b) Working Capital
c) Accumulated amounts
d) Principal or present worth
B
9. What do you think is the length of time during which the property may be operated at a profit?
a) Length of time
b) Economic life
c) Physical life
d) Love life
B
10. What is the worth of a property as shown in the accounting records of an enterprise?
a) Fair value
b) Market value
c) Use value
d) Book value
D
11. What do you think is a kind of obligation that has no condition attached?
a) Analytic
b) Private
c) Gratuitous
d) Pure
C
12. Guess this! Gross profit sales less cost of goods sold, as a percentage of sales.
a) Profit margin
b) Gross marginc) Return of investment
d) Price earnings
B
13. How do you call a series of payments at equal intervals of time?
a) Depreciation
b) Annuity
c) Interest
d) Amortization
B
14. What can you say about the present worth of all depreciation over the economic life of the item?
a) Maintenance
b) Capital recovery
c) Depreciation recovery
d) Annuity

C
15. What do you think is the provision in the contract that indicates the possible adjustment of material
cost and labor cost?
a) Secondary clause
b) Specification
c) Escalatory clause
d) General
provision
C
16. What is the association of two or more individuals for the purpose of operating a business as coowners of a profit?
a) Organization
b) Company
c) Partnership
d) Corporation
C
17. What do you call the decrease of value of a physical property due to the passage of time?
a) Inflation
b) Depletion
c) Recession
d) Depreciation
D
18. This is the type of ownership in business where individuals exercise and enjoy the right in their own
interest. What do you call this type of ownership?
a) Equitable ownership
b) Public ownership
c) Private ownership
d) Pure
ownership
C
19. What do you think is the money paid for the use of borrowed capital?
a) Depletion
b) Discount
c) Interest
d) Overhead
cost
C
20. What can you say about an index of short term paying ability?
a) Current ratio
b) Receivable ratio turn-over
c) Acid-test ratio
d) Profit margin
C