Detailed SolutionGraph which is plotted for projected net present value and capital rates is called
Financial management
net loss profile
net gain profile
net future value profile
net present value profile
Answer is Right!
Answer is Wrong!
32. If a firm has ke > r the Walter’s Model suggests for:
0% Payout
100% Payout
50% Payout
25% Payout
Answer is Right!
Answer is Wrong!
Detailed SolutionIf a firm has ke > r the Walter’s Model suggests for:
33. Which of the following is not a benefit of carrying inventories?
Reduction in ordering cost
Avoiding lost sales
Reducing carrying cost
Avoiding production shortages
Answer is Right!
Answer is Wrong!
Detailed SolutionWhich of the following is not a benefit of carrying inventories?
34. An information uses by investors for expecting future earnings is all recorded in
five years report
annual report
stock report
exchange report
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Answer is Wrong!
Detailed SolutionAn information uses by investors for expecting future earnings is all recorded in
35. Type of bonds that pays no coupon payment but provides little appreciation are classified as
depreciated bond
interest bond
zero coupon bond
appreciation bond
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Answer is Wrong!
36. Which of the following is not a part of credit policy?
Collection Effort
Cash Discount
Credit Standard
Paying Practices of Debtors
Answer is Right!
Answer is Wrong!
Detailed SolutionWhich of the following is not a part of credit policy?
37. Which of the following is true regarding the expected return of a portfolio?
It is a weighted average only for stock portfolios
It can only be positive
It can never be above the highest individual return
All of the above are true
Answer is Right!
Answer is Wrong!
Detailed SolutionWhich of the following is true regarding the expected return of a portfolio?
38. Indexed bonds that are issued by linking payments to inflation are classified as
treasury inflation protected securities
premium protected securities
risk protected securities
liquidity protected securities
Answer is Right!
Answer is Wrong!
Detailed SolutionIndexed bonds that are issued by linking payments to inflation are classified as
39. In case of Net Income Approach, the Cost of equity is:
Constant
Increasing
Decreasing
None of the above
Answer is Right!
Answer is Wrong!
Detailed SolutionIn case of Net Income Approach, the Cost of equity is:
40. Claim against assets are represented by
saved earning
retained earnings
maintained earnings
saving account earning
Answer is Right!
Answer is Wrong!