Financial management

[amp_mcq option1=”corporate charter” option2=”selling charter” option3=”laws” option4=”purchase chart” correct=”option1″]

Detailed SolutionA right which controls and prevents transfer from current stockholders to other new stockholders is considered as

[amp_mcq option1=”extended life” option2=”perpetuity” option3=”deferred perpetuity” option4=”due perpetuity” correct=”option1″]

Detailed SolutionAn annuity with an extended life is classified as

[amp_mcq option1=”higher” option2=”lower” option3=”variable” option4=”stable” correct=”option1″]

Detailed SolutionCoupon rate of convertible bond is

[amp_mcq option1=”Commercial banks” option2=”Investment bank” option3=”Insurance companies” option4=”All of the above” correct=”option1″]

Detailed Solution_______ is example of financial intermediaries.

[amp_mcq option1=”Reducing Idle Bank Balance” option2=”Increasing Collection” option3=”Increasing Creditors” option4=”Reducing Bank Transactions” correct=”option1″]

Detailed SolutionConcentration Banking helps in:

[amp_mcq option1=”No-growth Model of equity valuation” option2=”Constant growth Model of equity valuation” option3=”Price-Earning Ratio” option4=”Inverse of Price Earnings Ratio” correct=”option2″]

Detailed SolutionGordon’s Model of dividend relevance is same as:

[amp_mcq option1=”funds provided by operations” option2=”earnings before taxes” option3=”net income” option4=”operating profit” correct=”option4″]

Detailed SolutionEBIT is usually the same thing as.

[amp_mcq option1=”current value of portfolio” option2=”future value of portfolio” option3=”put option value” option4=”call option value” correct=”option3″]

Detailed SolutionIn binomial approach of option pricing model, value of stock is subtracted from call option obligation value to calculate

[amp_mcq option1=”All sources” option2=”All borrowings” option3=”Share capital” option4=”Share Bonds & Debentures” correct=”option1″]

Detailed SolutionFirm’s Cost of Capital is the average cost of:

[amp_mcq option1=”future value of perpetuity” option2=”present value of perpetuity” option3=”due perpetuity” option4=”deferred perpetuity” correct=”option1″]

Detailed SolutionPayment if it is divided with interest rate will be formula of