Financial management

[amp_mcq option1=”hurdle rate” option2=”capital rate” option3=”return rate” option4=”budgeting rate” correct=”option1″]

Detailed SolutionIn capital budgeting, two projects who have cost of capital as 12% is classified as

[amp_mcq option1=”Dividend Payout Ratio” option2=”Current EPS” option3=”Speed of Adjustment” option4=”Preceding year EPS” correct=”option4″]

Detailed SolutionWhich of the following is not considered in Lintner’s Model?

[amp_mcq option1=”Increased” option2=”Decreased” option3=”Unchanged” option4=”None of the above” correct=”option1″]

Detailed SolutionIn Risk-adjusted Discount Rate method, the normal rate of discount is:

[amp_mcq option1=”Equity shares” option2=”Preference shares” option3=”Commercial papers” option4=”Reserves and surplus” correct=”option3″]

Detailed SolutionWhich of the following is not a source of long-term finance?

[amp_mcq option1=”Funds Flow Analysis” option2=”Ageing Schedule” option3=”Days Sales Outstanding” option4=”Collection Matrix” correct=”option1″]

Detailed SolutionWhich of the following is not a technique of receivables Management?

[amp_mcq option1=”market efficiency” option2=”semi strong efficiency” option3=”weak form efficiency” option4=”strong form efficiency” correct=”option1″]

Detailed SolutionAn efficient market hypothesis states in which all public or private information is reflected in current market prices is classified as

[amp_mcq option1=”market realized return” option2=”portfolio realized return” option3=”portfolio arbitrage risk” option4=”arbitrage theory of return” correct=”option1″]

Detailed SolutionGross domestic product, world economy strength and level of inflation are factors which is used to determine

[amp_mcq option1=”4.14%” option2=”0.59%” option3=”0.69%” option4=”0.79%” correct=”option1″]

Detailed SolutionSecurity present value is Rs 100 and future value is Rs 150 after 10 years and value of ‘I = interest rate’ will be

[amp_mcq option1=”weak form efficiency” option2=”strong form efficiency” option3=”market efficiency” option4=”semi strong efficiency” correct=”option4″]

Detailed SolutionAn efficient market hypothesis states all public information which is reflected in current market prices is classified as

[amp_mcq option1=”quoted risk premium” option2=”market risk premium” option3=”portfolio risk premium” option4=”unquoted risk premium” correct=”option2″]

Detailed SolutionMarket required return is subtracted from risk free rate which is used to calculate