[amp_mcq option1=”Increases” option2=”Decreases” option3=”Constant” option4=”None of the above” correct=”option1″]
Financial management
22. The term ‘EVA’ is used for:
[amp_mcq option1=”Extra Value Analysis” option2=”Economic Value Added” option3=”Expected Value Analysis” option4=”Engineering Value Analysis” correct=”option2″]
23. In capital asset pricing model, characteristic line is classified as
[amp_mcq option1=”regression line” option2=”probability line” option3=”scattered points” option4=”weighted line” correct=”option1″]
Detailed SolutionIn capital asset pricing model, characteristic line is classified as
24. Type of financial securities that matures in less than a year are classified as
[amp_mcq option1=”money market securities” option2=”capital market securities” option3=”saving intermediaries” option4=”discounted intermediaries” correct=”option1″]
Detailed SolutionType of financial securities that matures in less than a year are classified as
25. Which of the following factors influence(s) the capital structure of a business entity?
[amp_mcq option1=”Bargaining power with the suppliers” option2=”Demand for the product of the company” option3=”Technology adopted” option4=”Adequate of the assets to meet any sudden spurt in demand” correct=”option1″]
26. ‘That personal leverage can replace corporate leverage’ is assumed by:
[amp_mcq option1=”Traditional Approach” option2=”MM Model” option3=”Net Income Approach” option4=”Net Operating Income Approach” correct=”option1″]
Detailed Solution‘That personal leverage can replace corporate leverage’ is assumed by:
27. In situation of bankruptcy, stock which is recorded above common stock and below debt account is
[amp_mcq option1=”debt liabilities” option2=”preferred stock” option3=”hybrid stock” option4=”common liabilities” correct=”option2″]
28. Gross fixed asset expenditures is Rs 6000 and free cash flow is Rs 8000 then operating cash flows will be
[amp_mcq option1=”-Rs 14,000.00″ option2=”Rs 2,000.00″ option3=”Rs 14,000.00″ option4=”-Rs 2,000.00″ correct=”option2″]
29. Paid dividend is Rs 20 and current price is Rs 50 then dividend yield will be
[amp_mcq option1=”40.00%” option2=”20.00%” option3=”30.00%” option4=”50.00%” correct=”option1″]
Detailed SolutionPaid dividend is Rs 20 and current price is Rs 50 then dividend yield will be
30. Bonds having zero default risk are classified as
[amp_mcq option1=”U.S bonds” option2=”return security” option3=”issued security” option4=”treasury bonds” correct=”option4″]
Detailed SolutionBonds having zero default risk are classified as