Bihar Board 12th Entrepreneurship Objective Questions and Answers
BSEB Bihar Board 12th Entrepreneurship Objective Answers Chapter 11 Fund Flow Statement

Question 1.
 The term ‘Fund’ as used in Fund Flow Analysis means :
 (A) Cash only
 (B) Current Assets
 (C) Current Liability
 (D) Excess of Current Assets over Current Liabilities
 Answer:
 (D) Excess of Current Assets over Current Liabilities
Question 2.
 Purchase of goodwill by issuing debentures is:
 (A) Application of Fund
 (B) Sources of fund
 (C) No flow of Fund
 (D) None of these
 Answer:
 (C) No flow of Fund

Question 3.
 Opening Stock is:
 (A) Sources of fund
 (B) Application of Fund
 (C) No flow of fund
 (D) None of these
 Answer:
 (B) Application of Fund
Question 4.
 Closing Stock is:
 (A) Sources of Fund
 (B) Application of fund
 (C) No flow of fund
 (D) None of these
 Answer:
 (A) Sources of Fund
Question 5.
 Increase in Share premium is:
 (A) Sources of fund
 (B) Application of fund
 (C) No flow of fund
 (D) None of these
 Answer:
 (A) Sources of fund

Question 6.
 Increase in Fixed Assets due to Cash Purchase is:
 (A) Sources of fund
 (B) Applicaiton of fund
 (C) Inflow of fund
 (D) None of these
 Answer:
 (B) Applicaiton of fund
Question 7.
 What will do purchase of plant in working capital:
 (A) Decrease
 (B) Increase
 (C) No effect
 (D) None of the above (a) and (b)
 Answer:
 (A) Decrease