Financial management Archives - Page 4 of 112 - MCQ and Quiz for Exams

31. The bonus issue is made to make the nominal value and the __________ value of the shares of the company.

Face

Market

Stock

Real

Detailed SolutionThe bonus issue is made to make the nominal value and the __________ value of the shares of the company.

32. Limited partners in partnership business have

no control

whole control

corporate authority

general authority

Detailed SolutionLimited partners in partnership business have

33. The expansion of EAR is?

equivalent annual rate

equivalent annuity rate

equally applied rate

equal advance rate

Detailed SolutionThe expansion of EAR is?

34. Set of projects or set of investments usually maximize firm value is classified as

optimal capital budget

minimum capital budget

maximum capital budget

greater capital budget

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?

Feasibility Set Approach

Internal Rate of Return

Profitability Index Approach

Any of the above

Detailed SolutionIn case of divisible projects, which of the following can be used to attain maximum NPV?

36. In financial markets, period of maturity more than five years of financial instruments is classified as

intermediate term

capital term

short-term

long-term

Detailed SolutionIn financial markets, period of maturity more than five years of financial instruments is classified as

37. In weighted average cost of capital, capital components are funds that usually offer by

stock market

investors

capitalist

exchange index

Detailed SolutionIn weighted average cost of capital, capital components are funds that usually offer by

38. Cheques deposited in bank may not be available for immediate use due to:

Payment Float

Receipt Float

Net Float

Playing the Float

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

be reinvested

not be reinvested

be earned

not be earned

Detailed SolutionIn calculation of internal rate of return, an assumption states that received cash flow from project must

40. Betas that are constantly adjusted to reflect changes in capital structure and firms operations are classified as

fundamental structure

fundamental adjustment

fundamental betas

fundamental operations

Detailed SolutionBetas that are constantly adjusted to reflect changes in capital structure and firms operations are classified as

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