A price for equity is called______________?
A price for equity is called______________?
A. Interest rate
B. Cost of equity
C. Debt rate
D. Investment return
Similar Posts
In capital budgeting, number of non-normal cash flows have internal rate of returns are____________?
In capital budgeting, number of non-normal cash flows have internal rate of returns are____________?A. One
B. Multiple
C. Accepted
D. Non-acceptedOther factors held constant, the greater project liquidity is because of ___________?
Other factors held constant, the greater project liquidity is because of ___________?A. less project return
B. greater project return
C. shorter payback period
D. greater payback periodIf a firm uses cash to purchase inventory, its quick ratio will?
If a firm uses cash to purchase inventory, its quick ratio will?
A. Increase
B. Decrease
C. Remain unaffected
D. Become zeroWhen inventory is purchased for cash, the cash is converted into inventories and there is no effect on net current assets. The current assets remain the same as before the purchase of inventory the current ratio will not be changed. Quick ratio, however, will be reduced if the cash is converted into inventories because while computing quick ratio inventories are not added but cash is included in quick assets. (Quick assets / current liab.) Quick assets = current assets-inventories.
In cash flow analysis, the two projects are compared by using common life, is classified as _________?
In cash flow analysis, the two projects are compared by using common life, is classified as _________?A. transaction approach
B. replacement chain approach
C. common life approach
D. Both B and CExternal factors such as expiration of basic patents and industry competition effect____________?
External factors such as expiration of basic patents and industry competition effect____________?A. Patents premium
B. Competition premium
C. Company’s beta
D. Expiry premiumRate of return which is required to satisfy stockholders and debt holders is classified as__________?
Rate of return which is required to satisfy stockholders and debt holders is classified as__________?A. Weighted average cost of interest
B. Weighted average cost of capital
C. Weighted average salvage value
D. Mean cost of capital