(a) The tool of analysis of financial statements which indicates the trend and direction of financial position and operating results is ______.
(A) Comparative Statements
(B) Common Size Statements
(C) Cash Flow Analysis
(D) Ratio Analysis
OR
(b) Ratios that are calculated for measuring the efficiency of operations of the business based on effective utilization of resources are known as ______.
(A) Profitability ratios
(B) Solvency ratios
(C) Turnover ratios
(D) Liquidity ratios
Class 12 · Accountancy · CBSE Board · 2016–2025
Analysis of Financial Statements — Class 12 Accountancy PYQs
50 questions from this chapter, asked in 9 Class 12 exams between 2016–2025 — every question paper set included, duplicates removed.
50questions
9Class 12 exams
2016–2025years covered
1 / 2 / 3 / 4mark values asked
Questions asked per year
Practice questions first 10 of 50 — free
(a) ______ is not a tool of 'Analysis of Financial Statements'.
(A) Income Statement
(B) Ratio Analysis
(C) Comparative Statements
(D) Cash Flow Statement
OR
(b) In 'Common size income statement' each item is expressed as a percentage of ______.
(A) Total Income
(B) Total Expenses
(C) Profit After Tax
(D) Revenue from Operations
From the following information, prepare a Comparative Statement of Profit and Loss for the year ended 31st March, 2024 :
| Particulars | 2023-24 (₹) | 2022-23 (₹) |
|---|---|---|
| Revenue from operations | 8,00,000 | 4,00,000 |
| Cost of revenue from operations | 4,00,000 | 2,00,000 |
| Employee benefit expenses | 1,60,000 | 80,000 |
Tax Rate 50%
From the following information of NK Ltd., prepare a common size Statement of Profit and Loss for the years ended 31st March, 2023 and 31st March, 2024 :
| Particulars | 2023-24 (₹) | 2022-23 (₹) |
|---|---|---|
| Revenue from operations | 20,00,000 | 10,00,000 |
| Cost of materials consumed | 5,00,000 | 3,00,000 |
| Employee benefit expenses | 2,00,000 | 1,00,000 |
Income Tax @ 40%
From the following information, prepare a Comparative Statement of Profit and Loss of Smart Ltd. :
| Particulars | 2023-24 (₹) | 2022-23 (₹) |
|---|---|---|
| Revenue from operations | 24,00,000 | 20,00,000 |
| Cost of materials consumed | 6,00,000 | 4,00,000 |
| Employee benefit expenses | 4,00,000 | 2,00,000 |
Tax Rate 50%
From the following information of PK Ltd., prepare a common size Statement of Profit and Loss for the years ended 31st March, 2023 and 31st March, 2024 :
| Particulars | 2023-24 (₹) | 2022-23 (₹) |
|---|---|---|
| Revenue from operations | 10,00,000 | 5,00,000 |
| Other income | 1,00,000 | 50,000 |
| Expenses | 2,00,000 | 1,00,000 |
Income Tax @ 50%
From the following information of CN Ltd., prepare a common size Statement of Profit and Loss for the years ended 31st March, 2023 and 31st March, 2024 :
| Particulars | 2023-24 (₹) | 2022-23 (₹) |
|---|---|---|
| Revenue from operations | 40,00,000 | 20,00,000 |
| Purchase of stock-in-trade | 8,00,000 | 4,00,000 |
| Other expenses | 4,00,000 | 2,00,000 |
Tax @ 50%
Analysis of Financial Statements is useful and significant to different users. Which of the following users is particularly interested in the firm's ability to meet their claims over a very short period of time ?
(A) Labour Unions
(B) Trade Payables
(C) Top Management
(D) Finance Manager
(a) From the given Balance Sheet of Geox Ltd., prepare Common Size Balance Sheet :
Balance Sheet of Geox Ltd. as at 31st March, 2023
| Particulars | Note No. | 31.3.2023 (₹) | 31.3.2022 (₹) |
|---|---|---|---|
| I – Equity and Liabilities : | |||
| 1. Shareholders' Funds | |||
| (a) Share Capital | 4,00,000 | 2,50,000 | |
| 2. Non-Current Liabilities | |||
| (a) Long-term Borrowings | 2,00,000 | 1,50,000 | |
| 3. Current Liabilities | |||
| (a) Trade Payables | 2,00,000 | 1,00,000 | |
| Total | 8,00,000 | 5,00,000 | |
| II – Assets : | |||
| 1. Non-Current Assets | |||
| (a) Fixed Assets/Property, Plant and Equipment and Intangible Assets | 4,00,000 | 3,50,000 | |
| 2. Current Assets | |||
| (a) Inventories | 2,00,000 | 70,000 | |
| (b) Trade Receivables | 2,00,000 | 80,000 | |
| Total | 8,00,000 | 5,00,000 |
(b) From the following information, prepare a Comparative Statement of Profit and Loss for the year ended 31st March, 2022 and 2023 :
| Particulars | Note No. | 2022-23 (₹) | 2021-22 (₹) |
|---|---|---|---|
| Revenue from operations | 10,00,000 | 8,00,000 | |
| Employee benefit expenses | 2,50,000 | 1,00,000 | |
| Other expenses | 5,50,000 | 4,00,000 | |
| Tax rate 50% |
Why practise Analysis of Financial Statements PYQs?
Analysis of Financial Statements has appeared in 9 Class 12 Accountancy exams we track between 2016–2025, with questions worth 1, 2, 3, 4 marks. CBSE Board examiners consistently reuse concepts and question patterns from this topic — practising its previous year questions is the most reliable way to know exactly what to expect in your exam.
Other Accountancy chapters
Accounting for Not-for-Profit Organisations
39 questions
Accounting for Partnership – Basic Concepts
98 questions
Reconstitution of Partnership – Admission of a Partner
66 questions
Reconstitution of Partnership – Retirement / Death of a Partner
86 questions
Dissolution of Partnership Firm
55 questions
Accounting for Share Capital
77 questions
Issue and Redemption of Debentures
70 questions
Financial Statements of a Company
29 questions
Accounting Ratios
43 questions
Cash Flow Statement
64 questions
Computerised Accounting
38 questions