F7 (FR) – Chapter 19 – PART C – CBE MCQs – ACCA

These are ACCA F7 (FR) Financial Reporting MCQs for Part-C of the Syllabus “Analysing and interpreting the financial statements of single entities and groups”.

These multiple-choice questions (MCQs) are designed to help ACCA F7 students to better understand the exam format. We aim to instill in students the habit of practicing online for their CBE exams. By doing so, students can reduce exam stress and prepare more effectively.

Please note:

  • Students should not attempt these MCQs until they have finished the entire chapter.
  • All questions are compulsory, so please do not skip any.

We hope that these MCQs will be a valuable resource for students preparing for the ACCA F7 (FR) exam.

INFORMATION ABOUT THESE CBE MCQs Test/Quiz

Course:ACCA – Association of Chartered Certified Accountants
Fundamental Level:Applied Skills
Subject:Financial Reporting
Paper:F7 – FR
Chapter and Topic19 – Calculating and interpretation of accounting ratios and trends
Syllabus Area:C – “Analysing and interpreting the financial statements of single entities and groups”
Questions Type:CBE MCQs
Exam Section:Section A

Syllabus Area

These Multiple Choice Questions (MCQs) cover the Syllabus Area Part-C of the Syllabus; “Analysing and interpreting the financial statements of single entities and groups” of ACCA F7 (FR) Financial Reporting Module.

Time

These MCQs are not time-bound. Take your time and solve them without stress. Pay proper attention and focus. Do not rush or hesitate

Result

Students will get their F7 CBE MCQs Test results after they finish the entire test. They will also be able to see the correct and incorrect answers, as well as explanations for the incorrect questions.

Types of Questions

MCQs: Choose one from the given options.
Multiple choice: Choose all those answers which seem correct/ or incorrect to you, as per the requirement of the question. Keep your eye on the wording “(select all those which are correct/ or incorrect)“.
Drop-down: Select from the list provided.
Type numbers: Type your answer in numbers as per the requirement of the question.

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F7 (FR) - Chapter 19 - Part C - MCQs - Calculation and interpretation of accounting ratios and trends

Course: ACCA - Association of Chartered Certified Accountants
Subject:
F7 (FR) - Financial Reporting
Syllabus Area: C - Analysing and interpreting the financial statements of single entities and groups
Chapter: 19 - Calculation and interpretation of accounting ratios and trends
Exam Section: Section A
Questions type: MCQs
Time: No Time Limit

INSTRUCTIONS

  1. If you are using mobile, turn on the mobile rotation and solve the MCQs on wide screen for better experience.

REQUEST

  1. Please rate the quiz and give us feedback once you completed the quiz.
  2. Share with ACCA students on social media such as, Facebook Groups, Whatsapp, Telegram, etc.

1 / 6

Charlton Co has an average operating profit margin of 23% of which depreciation of plant and machinery accounts for 33% of the operating costs, as well as including 78% of the salaries cost within cost of sales. It has an average asset turnover of 0.8, which is similar to the averages for the industry.

The entity is most likely to be:

2 / 6

Using the picklist provided, select the correct option to complete the following statement.

Reducing the ______________ will increase the length of a company's operating cycle?

3 / 6

Extracts from the financial statements of Perseus Co are as follows:

STATEMENT OF PROFIT OR LOSS STATEMENT OF FINANCIAL POSITION
$'000 $'000
Operating profit 230 Ordinary shares 2,000
Finance costs (15) Revaluation surplus 300
Profit before tax 215 Retained earnings 1,200
Income tax (15) 3,500
Profit for the year  200  10% loan notes 1,000
Current liabilities 100
Total equity and liabilities 4,600

What is the return on capital employed?

4 / 6

Analysis of the financial statements of Capricorn Co at 31 December 20X8 yields the following information:

Gross profit margin 30.0%
Current ratio   2.14
ROCE 16.3%
Asset turnover   4.19
Inventory turnover 13.9

What is the profit margin?

5 / 6

In the year to 31 December 20X9 Weston Co pays an interim equity dividend of 3.4c per share and declares a final equity dividend of 11.1c. It has 5 million $1 shares in issue and the ex div share price is $3.50.

What is the dividend yield?

6 / 6

Camargue Co is a listed company with four million 50c ordinary shares in The following extract is from its financial statements for the year ended 30 September 20X4.

STATEMENT OF PROFIT OR LOSS

$'000
Profit before tax 900
Income tax expense (100)
Profit for the year  800 

At 30 September 20X4 the market price of Camargue Co's shares was $1.50.

What was the P/E ratio on that date? (to the one decimal place)

Your score is

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