1. Which of the following is deducted while calculating net assets available to equity shareholders

2. If the intrinsic value of a share of common stock is less than its market value, which of the following is the most reasonable conclusion

3. While deciding net asset value, fictitious assets –

4. Goodwill is –

5. Super profit means –

6. As per AS-26, there is a rebuttable presumption that the useful life of an intangible asset will not exceed___from the date when the asset is available for use

7. If control over the future economic benefits from an intangible asset is achieved through legal rights that have been granted for a finite period, the useful life of the intangible asset should not exceed the period of the legal rights unless:

8. As per AS-26, expenditure on research or on the research phase of an internal project should be recognized when it is incurred

9. For which one or more of the following reasons is the recognition as an asset of an internally generated intangible prohibited? ,
(a) Because there may not be an active market for that asset.
(b) Because its cost is usually relatively insignificant.
(c) Because it is difficult to reliably identify the related costs
(d) Because it is difficult to establish the probability of flow of economic benefits
Select the correct answer from the options given below

10. As per the valuation of equity shares based on the price-earnings ratio, the shares are valued on the basis of __ multiplied by the price-earnings ratio

11. The average net profit before adjustments is ₹ 5,14,000. Profit includes interest at 8% on non-trading investments. The cost of these investments is ₹ 1,98,200 while the face value is ₹ 2,00,000. Expenses amounting to ₹ 7,000 per annum are likely to be discontinued in the future. The provision for income tax to be made at 30%. The normal rate of return may be taken at 10%. The average capital employed in the business (including investments) is ₹ 18,98,200. Assuming 4 years purchase of super-profits, what is the value of goodwill

12. Which of the following is not required while calculating yield value per share

13. Which of the following is required to be taken into consideration while valuing equity shares of the company

14. The market value of share =

15. Market value method is generally the most preferred method in case of –

16. When controlling shares are to be sold then which of the following will be the appropriate base for valuation of shares:

17. Fair value is the average of the –

18. As per AS-26, the intangible asset can be recognized at –

19. Which of the following Accounting Standard deals with Intangible Assets

20. A company has a total capital investment of ₹ 3,60,000. The company earned net profit during the last four years as ₹ 56,000, ₹ 64,000, ₹ 96,000 & ₹ 80,000. The fair return on the net capital employed is 15%. Value of goodwill if it is based on 3 years purchase of the average super-profits of past 4 years

21. Which of the following is NOT the method of valuation of Goodwill

22. Compute the amount of goodwill based on 3 years purchase of super profit from the following:
Future maintainable profit after tax: ₹ 15,00,000;
Normal pre-tax rate of return: 20%;
Capital employed: ₹ 60,00,000; Tax rate: 30%

23. Net asset value per share is also known as –

24. In the balance sheet shares appears at___

25. Market-based methods of valuation should not be adopted when –