MCQ-CONCEPT OF FINANCIAL AND NON-FINANCIAL ASSETS AND LIABILITIES
Which of the following is a financial asset?
A. Machinery
B. Land
C. Bank deposits
D. Inventory
Answer: C. Bank deposits
Which of the following is a non-financial asset?
A. Shares of a company
B. Government bonds
C. Real estate
D. Bank loan
Answer: C. Real estate
Which of the following is classified as a liability?
A. Cash reserves
B. Outstanding loans
C. Marketable securities
D. Office building
Answer: B. Outstanding loans
In the context of financial assets, which represents an ownership interest in a company?
A. Bonds
B. Stocks
C. Certificates of deposit
D. Commercial paper
Answer: B. Stocks
Non-financial liabilities typically include:
A. Accounts receivable
B. Patents and trademarks
C. Deferred tax liabilities
D. Marketable securities
Answer: C. Deferred tax liabilities
Which statement is true about financial assets?
A. They have physical substance.
B. They include items such as land and buildings.
C. They represent claims to future cash flows.
D. They do not have a market value.
Answer: C. They represent claims to future cash flows.
Which of the following is NOT a financial liability?
A. Corporate bonds
B. Trade payables
C. Term deposits
D. Long-term loans
Answer: C. Term deposits
An example of a non-financial asset would be:
A. Cash equivalents
B. Equity investments
C. Intellectual property
D. Bank savings account
Answer: C. Intellectual property
Financial assets can be categorized into:
A. Physical and Tangible
B. Current and Fixed
C. Equity and Debt
D. Productive and Non-Productive
Answer: C. Equity and Debt
Which of the following is an intangible non-financial asset?
A. Equipment
B. Inventory
C. Goodwill
D. Treasury bills
Answer: C. Goodwill
Which of the following is considered a financial liability?
A. Prepaid expenses
B. Bank overdraft
C. Office supplies
D. Company car
Answer: B. Bank overdraft
Which of the following is NOT a non-financial asset?
A. Plant and machinery
B. Land
C. Corporate bonds
D. Real estate
Answer: C. Corporate bonds
Which of the following is a financial asset?
A. Patent
B. Equity shares
C. Trademark
D. Factory building
Answer: B. Equity shares
Non-financial assets include:
A. Cash in hand
B. Land and buildings
C. Stocks
D. Bonds
Answer: B. Land and buildings
Which of the following is a liability for a company?
A. Retained earnings
B. Accounts payable
C. Goodwill
D. Trademark
Answer: B. Accounts payable
A company’s financial assets include:
A. Buildings
B. Office equipment
C. Marketable securities
D. Inventory
Answer: C. Marketable securities
Which of the following is NOT a financial asset?
A. Bank deposits
B. Inventory
C. Treasury bills
D. Mutual funds
Answer: B. Inventory
Which is an example of a financial liability?
A. Accounts receivable
B. Bank loan
C. Land
D. Office furniture
Answer: B. Bank loan
Non-financial assets can be:
A. Marketable securities
B. Intangible assets
C. Accounts receivable
D. Bank deposits
Answer: B. Intangible assets
Financial liabilities typically include:
A. Cash in hand
B. Bank loans
C. Prepaid expenses
D. Office supplies
Answer: B. Bank loans
Which is a characteristic of non-financial assets?
A. Lack of physical substance
B. Represent claims to future cash flows
C. Tangible nature
D. Easily convertible to cash
Answer: C. Tangible nature
An example of a financial asset would be:
A. Building
B. Inventory
C. Corporate bonds
D. Land
Answer: C. Corporate bonds
Which of the following is NOT a non-financial liability?
A. Deferred tax liabilities
B. Accrued expenses
C. Bonds payable
D. Wages payable
Answer: C. Bonds payable
Which is considered a financial asset?
A. Land
B. Buildings
C. Corporate bonds
D. Equipment
Answer: C. Corporate bonds
Non-financial liabilities include:
A. Trade receivables
B. Deferred tax liabilities
C. Cash reserves
D. Inventory
Answer: B. Deferred tax liabilities
Which of the following represents a financial liability?
A. Goodwill
B. Accounts payable
C. Trademark
D. Prepaid insurance
Answer: B. Accounts payable
A financial asset that provides fixed income is:
A. Equity shares
B. Land
C. Bonds
D. Buildings
Answer: C. Bonds
Which of the following is a non-financial asset?
A. Cash reserves
B. Intellectual property
C. Stocks
D. Bonds
Answer: B. Intellectual property
Which of the following is classified as a non-financial liability?
A. Marketable securities
B. Bank loans
C. Deferred tax liabilities
D. Equity shares
Answer: C. Deferred tax liabilities
Which of the following is a financial asset?
A. Inventory
B. Plant and machinery
C. Mutual funds
D. Office furniture
Answer: C. Mutual funds
Non-financial assets are typically:
A. Easily liquidated
B. Tangible or intangible
C. Cash equivalents
D. Short-term investments
Answer: B. Tangible or intangible
Which of the following is NOT a financial liability?
A. Bank loan
B. Bonds payable
C. Accounts payable
D. Patents
Answer: D. Patents
An example of a non-financial asset would be:
A. Equity shares
B. Land
C. Mutual funds
D. Treasury bills
Answer: B. Land
Which of the following is a financial asset?
A. Office equipment
B. Bonds
C. Land
D. Inventory
Answer: B. Bonds
Which of the following is classified as a non-financial liability?
A. Bank overdraft
B. Deferred tax liabilities
C. Accounts receivable
D. Marketable securities
Answer: B. Deferred tax liabilities
Which of the following is NOT a financial asset?
A. Corporate bonds
B. Inventory
C. Bank deposits
D. Mutual funds
Answer: B. Inventory
An example of a financial liability is:
A. Accounts payable
B. Inventory
C. Office furniture
D. Prepaid expenses
Answer: A. Accounts payable
Which of the following is a non-financial asset?
A. Cash reserves
B. Real estate
C. Corporate bonds
D. Mutual funds
Answer: B. Real estate
Non-financial liabilities typically include:
A. Trade receivables
B. Accounts payable
C. Deferred tax liabilities
D. Bank deposits
Answer: C. Deferred tax liabilities
Which of the following is a financial asset?
A. Buildings
B. Equipment
C. Bank deposits
D. Inventory
Answer: C. Bank deposits
Which of the following is NOT a non-financial asset?
A. Patents
B. Land
C. Marketable securities
D. Office furniture
Answer: C. Marketable securities
Which of the following is a financial liability?
A. Goodwill
B. Bonds payable
C. Prepaid expenses
D. Trademarks
Answer: B. Bonds payable
An example of a non-financial asset would be:
A. Corporate bonds
B. Intellectual property
C. Marketable securities
D. Bank deposits
Answer: B. Intellectual property
Which of the following is classified as a financial asset?
A. Inventory
B. Office equipment
C. Equity shares
D. Land
Answer: C. Equity shares
Which of the following is NOT a financial liability?
A. Deferred tax liabilities
B. Bank loans
C. Accounts payable
D. Term deposits
Answer: D. Term deposits
Which of the following is a non-financial asset?
A. Cash equivalents
B. Mutual funds
C. Buildings
D. Corporate bonds
Answer: C. Buildings
An example of a financial asset would be:
A. Patents
B. Inventory
C. Bank deposits
D. Plant and machinery
Answer: C. Bank deposits
Which of the following is NOT a non-financial liability?
A. Wages payable
B. Deferred tax liabilities
C. Bonds payable
D. Accrued expenses
Answer: C. Bonds payable
Which of the following is a financial liability?
A. Goodwill
B. Equity shares
C. Bank loan
D. Patents
Answer: C. Bank loan
Which of the following is a non-financial asset?
A. Marketable securities
B. Land
C. Mutual funds
D. Treasury bills
Answer: B. Land
