[amp_mcq option1=”Face” option2=”Market” option3=”Stock” option4=”Real” correct=”option1″]
Financial management
32. Limited partners in partnership business have
[amp_mcq option1=”no control” option2=”whole control” option3=”corporate authority” option4=”general authority” correct=”option1″]
Detailed SolutionLimited partners in partnership business have
33. The expansion of EAR is?
[amp_mcq option1=”equivalent annual rate” option2=”equivalent annuity rate” option3=”equally applied rate” option4=”equal advance rate” correct=”option1″]
34. Set of projects or set of investments usually maximize firm value is classified as
[amp_mcq option1=”optimal capital budget” option2=”minimum capital budget” option3=”maximum capital budget” option4=”greater capital budget” correct=”option1″]
Detailed SolutionSet of projects or set of investments usually maximize firm value is classified as
35. In case of divisible projects, which of the following can be used to attain maximum NPV?
[amp_mcq option1=”Feasibility Set Approach” option2=”Internal Rate of Return” option3=”Profitability Index Approach” option4=”Any of the above” correct=”option4″]
36. In financial markets, period of maturity more than five years of financial instruments is classified as
[amp_mcq option1=”intermediate term” option2=”capital term” option3=”short-term” option4=”long-term” correct=”option4″]
37. In weighted average cost of capital, capital components are funds that usually offer by
[amp_mcq option1=”stock market” option2=”investors” option3=”capitalist” option4=”exchange index” correct=”option2″]
38. Cheques deposited in bank may not be available for immediate use due to:
[amp_mcq option1=”Payment Float” option2=”Receipt Float” option3=”Net Float” option4=”Playing the Float” correct=”option1″]
Detailed SolutionCheques deposited in bank may not be available for immediate use due to:
39. In calculation of internal rate of return, an assumption states that received cash flow from project must
[amp_mcq option1=”be reinvested” option2=”not be reinvested” option3=”be earned” option4=”not be earned” correct=”option2″]
40. Betas that are constantly adjusted to reflect changes in capital structure and firms operations are classified as
[amp_mcq option1=”fundamental structure” option2=”fundamental adjustment” option3=”fundamental betas” option4=”fundamental operations” correct=”option3″]