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  1. What type of bond is issued jointly by two or more corporations?

  2. A.

     Mortgage bond

    B.

     Joint bond

    C.

     Tie-up bond

    D.

     Trust bond

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  3. A telephone switchboard 100 pair cable can be made up with either enameled wire or tinned wire. There will be 400 soldered connections. The cost of soldering a connection on the enameled wire will be P 1.65 on the tinned wire, it will be P 1.15. A 100- pair cable made up with enameled wire cost P 0.55 per linear foot and those made up of tinned wire cost P 0.75 per linear foot. Determine the length of cable run in feet so that the cost of each installation would be the same.

  4. A.

     1,000 feet

    B.

     1,040 feet

    C.

     1,100 feet

    D.

     1,120 feet

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  5. By the condition of a will, the sum of P20,000 is left to a girl to be held in trust fund by her guardian until it amounts to P50,000. When will the girl receive the money if fund invested at 8% compounded quarterly?

  6. A.

     11.23 years

    B.

     11.46 years

    C.

     11.57 years

    D.

     11.87 years

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  7. What rate of interest compounded annually is the same as the rate of interest of 8% compounded quarterly?

  8. A.

     8.07 %

    B.

     8.12 %

    C.

     8.16 %

    D.

     8.24 %

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  9. In year zero, you invest P 10,000.00 in a 15% security for 5 years. During that time, the average annual inflation is 6%. How much in terms of year zero pesos will be in the account at maturity?

  10. A.

     P 15,030.03

    B.

     P 20,113.57

    C.

     P 18,289.05

    D.

     P 16,892.34

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  11. What is the basic accounting equation?

  12. A.

     Assets = liability + owner’s equity

    B.

     Liability = assets + owners’ equity

    C.

     Owner’s equity = assets + liability

    D.

     Owner’s equity = liability – assets

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  13. What is a secondary book of accounts, the information of which is obtained from the journal is called?

  14. A.

     Balanced sheet

    B.

     Ledger

    C.

     Worksheet

    D.

     Trial balance

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  15. A young engineer borrowed P 10,000 at 12% interest and paid P 2,000 per annum for the last 4 years. What does he have to pay at the end of the fifth year in order to pay off his loan?

  16. A.

     P 6,999.39

    B.

     P 6,292.93

    C.

     P 6,222.39

    D.

     P 6,922.93

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  17. What is a government bond which has an indefinite life rather than a specific maturity?

  18. A.

     Coupon

    B.

     T-bill

    C.

     Debenture

    D.

     Consol

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  19. Earnings per share is the most important ratio for

  20. A.

     Share holders

    B.

     Banks

    C.

     Company's management

    D.

     All of these

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