Financial management
earning growth
return on assets
return on sales
return on value
Answer is Wrong!
Answer is Right!
32. Expected dividends in each year and price investor expecting to get at selling of stock are two components of
dividend cash flow
expected cash flows
price cash flows
investing cash
Answer is Wrong!
Answer is Right!
33. The expected return on an investment in stock is___________.
the expected dividend payments
the anticipated capital gains
the sum of expected dividends and capital gains
less than the realized return
Answer is Wrong!
Answer is Right!
Detailed SolutionThe expected return on an investment in stock is___________.
34. Required return is 15% and premium for risk is 11% then risk free return would be
26.00%
4.00%
16.50%
1.36%
Answer is Wrong!
Answer is Right!
Detailed SolutionRequired return is 15% and premium for risk is 11% then risk free return would be
35. A formula such as net income available to common stockholders divided by common equity is used to calculate
return on earning power
return on investment
return on common equity
return on interest
Answer is Wrong!
Answer is Right!
36. __________ is concerned with the acquisition, financing, and management of assets with some overall goal in mind.
Financial management
Profit maximization
Agency theory
Social responsibility
Answer is Wrong!
Answer is Right!
37. According to exercise value and option price, market value of option will be zero when
stock price is maximum
option price is zero
stock price is zero
stock price is minimum
Answer is Wrong!
Answer is Right!
38. Correct measure of risk of stock is called
alpha
beta
variance
market relevance
Answer is Wrong!
Answer is Right!
39. Process in which stockholders transfer right to vote to any other person is classified as
proxy
transfer process
voting process
assigning right process
Answer is Wrong!
Answer is Right!
40. Professionals such as doctors, accountants and lawyers often make corporations are classified as
general professionals
Professional Corporation
professional association
Both B and C
Answer is Wrong!
Answer is Right!