Financial Management

CBSE Class 12 Business Studies · every board question from this chapter, 2022–2026

• ‘Tangy Beverages Ltd.’ was known for its popular tangy fruit drinks. It had recently introduced a new range of fruit drinks that…2026
• The process of estimating the fund requirements of a business and specifying the sources of funds is called.2026
• Read the following statements: Assertion and Reason (R). Assertion: The cost of debt is higher than the cost of equity for a…2026
• ‘Tangy Beverages Ltd.’ was known for its popular tangy fruit drinks. It had recently introduced a new range of fruit drinks that…2026
• ‘Radhe Textiles’, a children’s garment manufacturing business, and Ghanshyam Garments, a home furnishing manufacturing business…2026
• Aposition when a company is unable to meet its fixed financial charges like interest payment, dividend on preference shares and…2026
• There are two statements, Assertion and Reason (R). Assertion: The dividend in growth companies is more than that in the…2026
• The number of times earnings before interest and taxes of a company cover the interest obligation is referred to as:2026
• Alka Motors is one of the leading automobile companies in India. Due to growing demand for electric vehicles, Alka Motors planned…2026
• ‘The larger the lead time, the larger the quantity of material to be stored, and the larger shall be the amount of working…2026
• Read the following statements carefully: Statement I: Higher fixed operating costs result in higher business risk. Statement II:…2026
• ‘Certain provisions of the Companies Act place restrictions on payouts as dividend. Such provisions must be adhered to while…2026
• Which of the following will require higher working capital?2026
• ‘While granting loans to a company, sometimes the lender may impose certain restrictions on the payment of dividends in future.’…2026
• ‘If the shareholders in general desire that at least a certain amount is paid as dividend, the companies are likely to declare…2026
• ‘Bright Appliances Ltd.’ plans to launch a new product line of energy-efficient air purifiers. To ensure a smooth launch of the…2026
• ‘Ratan Ltd.’ and ‘Lara Ltd.’ are two companies with each having a capital ₹ employed of 20,00,000. ‘Ratan Ltd.’ had raised funds…2026
• ‘Ratan Ltd.’ and ‘Lara Ltd.’ are two companies with each having a capital employed of ₹ 20,00,000. ‘Ratan Ltd.’ had raised funds…2026
• ‘Suruchi Textiles Ltd.’ is a reputed textile manufacturing company with stable earnings. It has been paying regular dividends for…2026
• ‘Koka Manufacturing Ltd.’ is a large scale manufacturer in the electronics industry. In this industry assets are prone to…2026
• ‘Freshju’ is a trading company, selling bottled juices made by other manufacturers. Now, it planned to sell its juices across…2026
• ‘Quality Foods Ltd.’, a company manufacturing packaged snacks has been in business for the last 10 years. It enjoys a good…2026
• The risk related to inability to meet fixed financial charges like interest payment and other repayment obligations is known as:2025
• (R). 3 Q. There are two Statements, Assertion and Reason Assertion: Larger the lead time, larger is the quantity of material…2025
• Read the following statements: Assertion and Reason (R). Assertion: The cost of debt is lower than the cost of equity for a firm.…2025
• CVX Ltd. was a leading company, manufacturing home appliances like food processors, juicers and mixer grinders. The company was…2025
• The increase in profit earned by the equity shareholders due to the presence of fixed financial charges is known as:2025
• ‘Isha Sweets' was set by Isha Sharma to prepare and sell organic, vegan and healthy sweets alternatives like hazelnuts date…2025
• There are two Statements, Assertion and Reason (R). Assertion: Larger the lead time, larger is the quantity of material required…2025
• 'If the shareholders in general desire that at least a certain amount is paid as dividend, the companies are likely to declare…2025
• Identify the incorrect statement with respect to financial leverage.2025
• Which of the following factors affect the capital budgeting decision of a company?2025
• Which of the following factors affects the choice of capital structure of a company?2025
• Which of the following factors affects the financing decision of a company?2025
• 'Increase in the profit earned by the equity shareholders due to the presence of fixed financial charges like interest' is called:2025
• (R). 18 Q. There are two Statements, Assertion and Reason Assertion: Larger the lead time, larger is the quantity of material…2025
• 'Payal Ltd.' plans to start manufacturing solar panels which will require a significant amount of investment in machinery. The…2025
• Read the following statements carefully: Statement-I: The cost of debt is more than the cost of equity. Statement-II: Lenders…2025
• Which of the following factors affect the fixed capital requirements of a company? Financing alternatives Level of collaboration…2025
• "To ensure that enough funds are available at right time to honour the commitments and to carry out the plans' is discussed in…2025
• KJ Ltd. is a tile manufacturing company in Udaipur having its own stores in various cities of Rajasthan. Instead of having its…2025
• Explain the following factors affecting the fixed capital requirements of a company: (i) Nature of Business (ii) Choice of…2025
• Explain the following factors affecting the fixed capital requirements of a company: (i) Scale of Operations (ii) Technology…2025
• Abhinav is working as a production manager in a steel manufacturing plant, 'KPG Ltd.' To compete in the market, he thought of…2025
• State any three points of importance of Financial Planning. OR State any three factors that affect the fixed capital requirements…2025
• Amrit Ltd. and Nimrit Ltd. are two companies manufacturing automotive parts for automobile companies. Amrit Ltd. had a capital…2025
• ‘Omara Ltd.’, is a garments company that produces jackets from organic, recycled and sustainable materials. The sourcing of…2025
• The demand for take away food business is increasing day-by-day. People working in multi-national companies have to work till…2025
• After seeing an overwhelming response from people for their homes, Arun, the owner of a leading construction company 'Luxury At…2025
• After seeing an overwhelming response from people for their homes, Arun, the owner of a leading construction company 'Luxury At…2025
• VK Ltd. is a fast moving consumer goods company. It has shareholders spread all over India. Most of its shareholders depend upon…2025
• Explain the following factors affecting working capital requirements of a business: (i) Nature of business (ii) Credit availed…2025
• Explain the following factors affecting the working capital requirements of a company: (i) Scale of operations (ii) Credit…2025
• Explain the following factors affecting requirements of working capital of a company: (i) Nature of business (ii) Inflation (iii)…2025
• After completing his civil engineering degree, Sankalp decided to start his own business. He started a construction company…2025
• Explain the following factors affecting the working capital requirements of a company: (i) Operating Efficiency (ii) Business…2025
• Read the following statements Assertion and Reason (R). Choose the correct option from the given options. Assertion: Amount of…2024
• ‘Dovex’ was a large company with a renowned name in healthcare industry, specialising in the development and production of life…2024
• ‘Mudro Infratech’ got a short-term contract for building two villas within a period of ten months with the expectation to earn a…2024
• The process of estimating fund requirements of a business and specifying the sources of funds is called:2024
• Read the following statements: Assertion and Reason (R). Choose the correct alternative from those given below: Assertion:…2024
• A public issue of equity may reduce the management holding in the company and make it vulnerable to takeover. This factor also…2024
• Which of the following statements is highlighting the importance of financial planning:2024
• ‘Kanand Ltd.’ is an automobile manufacturing company started in 2014 under ‘Make in India’ initiative of the Government of India.…2024
• Which of the following is NOT a factor affecting ‘financing decision’?2024
• The objective of financial management is to maximize Statement I: shareholders’ wealth. The shareholders gain if the value of…2024
• Increase in profit earned by equity shareholders due to the presence of fixed financial charges like interest is referred to as:2024
• Which of the following statements is not highlighting the importance of financial planning:2024
• Kanav, after passing out of college with specialization in renewable energy, was determined to start a solar power plant. The…2024
• Explain the following as factors affecting ‘Financing Decision’: (i) Fixed operating costs and (ii) Cash flow position of the…2024
• 27. Explain the following factors affecting the requirements of fired capital: (i) Scale of operations (ii) Financing…2024
• Explain the following factors affecting the requirements of fixed capital: (i) Growth prospects (ii) Diversification OR Explain…2024
• Explain the following factors affecting the requirements of fixed capital: (i) Technology upgradation (ii) Choice of technique OR…2024
• Explain how the following factors affect the working capital requirement of a business: (i) Operating efficiency (ii) Credit…2024
• Explain how the following factors affect the working capital requirement of a business: (i) Seasonal factors (ii) Inflation OR…2024
• Explain how the following factors affect the working capital requirement of a business: (i) Production cycle (ii) Availability of…2024
• Explain the following factors affecting the working capital requirements of a company: Production cycle Seasonal factors2024
• Explain the following factors affecting the working capital requirements of a company: Level of competition Inflation2024
• Explain the following factors affecting the working capital requirements of a company: Operating Efficiency Availability of Raw…2024
• Kaysons Ltd. was a reputed company manufacturing automotive parts for electric vehicles. As the demand for the electric vehicles…2024
• Explain the following factors affecting the working capital requirement of a company: (i) Level of competition (ii) Production…2024
• Explain the following factors affecting the working capital requirements of a business: (i) Credit allowed (ii) Production cycle…2024
• Explain the following factors affecting choice of capital structure of a company: (i) Return on Investment (ii) Floatation Costs…2024
• Explain the following factors affecting the working capital requirements of a business: (i) Inflation (ii) Business cycle (iii)…2024
• Explain the following factors affecting the working capital requirements of a business: (i) Operating efficiency (ii) Credit…2024
• Explain the following factors affecting the requirement of fixed capital of a company: (i) Choice of technique (ii) Financing…2024
• Which of the following statements does highlight the importance of financial planning?2023
• Match the factors affecting fixed capital requirements given in the Column-I with their explanations given in Column-II: Column –…2023
• During the Covid-19 pandemic, the restaurant industry faced many challenges. The slowdown led to huge decrease in demand. From…2023
• refers to the increase in profit earned by the equity shareholders due to the presence of fixed financial charges like interest.2023
• When the proportion of debt and equity is such that it results in an increase in the value of equity share the is/are said to be…2023
• Which of the following statements does not highlight the importance of financial planning?2023
• The use of debt increases the financial risk of a business. The factor determining the choice of an appropriate capital structure…2023
• Which of the following is not a factor affecting ‘Financing Decision’ of a Company:2023
• Which of the following is NOT a factor affecting capital structure of a company?2023
• State any three points that highlight the importance of financial planning. OR State how the following factors affect the working…2023
• Give the meaning of 'financial planning. State any two objectives of financial planning. OR State how the following factors…2023
• State any three factors that affect the 'Dividend Decision' of a company. OR State any three factors that affect the fixed…2023
• State any three points of importance of Financial Planning. OR State any three factors that determine the requirement of fixed…2023
• Explain the twin objectives of Financial Planning. OR State any three factors that determine the requirement of working capital…2023
• X Ltd.' issued 14% Debentures of and 60,000 Equity shares of each. This investment 2,00,000 resulted in a net profit of before…2023
• ‘Zenith Mall’ is a famous shopping mall in Mumbai, owned by ‘Pinnacle Group'. It is very popular for its international and…2023
• State any four factors that affect the decision related to how much profit is to be distributed and how much profit is to be…2023
• State any four factors affecting the decision that determines the overall cost of capital and the financial risk of the…2023
• Identify the financial decision that is concerned with deciding how much of the profit earned by a company is to be distributed…2023
• Identify and state any three factors affecting the decision which involves determining the relative proportion of the use of…2023
• Give the meaning of ‘Financial Management’. Explain any three points that highlight the role of financial management.2023
• State any four factors affecting the requirements of the capital needed for day-to-day working of the business.2023
• State any four factors affecting the decision which relates to how much of the profits earned by a company will be distributed…2023
• What is meant by ‘Investment Decision’? State how ‘Long term Investment Decision’ and ‘Short Term Investment Decision’ affect the…2023
• Fixed capital refers to investment in long term assets. Explain any two factors affecting the fixed capital requirements of an…2023
• Harish is working as a finance manager in 'Kozee Softwares Ltd.' He has been awarded 'Best employee of the year Award' because of…2023
• ‘Zenith Mall’ is a famous shopping mall in Mumbai, owned by ‘Pinnacle Group'. It is very popular for its international and…2023
• Kaveri is busy in preparing the financial blueprint for her organisation's future operations. She feels that detailed plans of…2023
• Zenith Mall is a famous shopping mall in Mumbai, owned by ‘Pinnacle Group'. It is very popular for its international and national…2023
• Kaveri is busy in preparing the financial blueprint for future operations. She feels that detailed plans of action reduce waste…2023
• State any three points of importance of Financial Planning.2022
• State any three factors affecting the capital budgeting decision of a company.2022
• Explain any two factors affecting the ‘Dividend decision’ of a company.2022
• State any three factors affecting working capital requirements of a company.2022
• State any three factors affecting dividend decision of a company.2022
• NB Ltd. is India's largest manufacturer of cement. Its operations are spread throughout the country with modern cement factories.…2022
• ‘Technology upgradation’ and ‘Level of collaboration’ affect one of the types of capital requirements of the company. Identify…2022
• Ananta Ltd. is a company dealing in ready-made garments from last many years. Recently the profit of the company have started…2022
• Anurag Tiwari is a famous news reader. He has recently started a news company 'Axis Media Corporation Ltd.'. The aim of this…2022
• Anurag Tiwari is a famous news reader. He has recently started a news company 'Axis Media Corporation Ltd.'. The aim of this…2022
• Ananta Ltd. is a company dealing in ready-made garments from last many years. Recently the profit of the company have started…2022
• Ananta Ltd. is a company dealing in ready-made garments from last many years. Recently the profit of the company have started…2022
• Sahil is the Finance Manager of ‘Knitwear Ltd’. The company is engaged in the manufacturing of woolen clothes. The demand of the…2022
• NB Ltd. is India's largest manufacturer of cement. Its operations are spread throughout the country with 17 modern cement…2022

Answers come from CBSE’s own marking schemes. How we source them.