Our website is made possible by displaying online advertisements to our visitors. Please consider supporting us by whitelisting our website.

Basics of Capital Budgeting Evaluating Cash Flows

The net present value, profitability index, payback and discounted payback are the methods to __________?

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs /
The net present value, profitability index, payback and discounted payback are the methods to __________?

A. evaluate cash flow
B. evaluate projects
C. evaluate budgeting
D. evaluate equity

The net present value, profitability index, payback and discounted payback are the methods to __________? Read More »

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs

A type of project whose cash flows would not depend on each other is classified as ____________?

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs /
A type of project whose cash flows would not depend on each other is classified as ____________?

A. project net gain
B. independent projects
C. dependent projects
D. net value projects

A type of project whose cash flows would not depend on each other is classified as ____________? Read More »

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs

The project whose cash flows are less than the capital invested for required rate of return then the net present value will be ___________?

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs /
The project whose cash flows are less than the capital invested for required rate of return then the net present value will be ___________?

A. negative
B. zero
C. positive
D. independent

The project whose cash flows are less than the capital invested for required rate of return then the net present value will be ___________? Read More »

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs

The present value of future cash flows is $4150 and an initial cost is $1300 then the profitability index will be ____________?

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs /
The present value of future cash flows is $4150 and an initial cost is $1300 then the profitability index will be ____________?

A. 0.0319
B. 3.19
C. 0.31 times
D. 5450

The present value of future cash flows is $4150 and an initial cost is $1300 then the profitability index will be ____________? Read More »

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs

In large expansion programs, the increased riskiness and the floatation cost associated with project can cause ___________?

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs /
In large expansion programs, the increased riskiness and the floatation cost associated with project can cause ___________?

A. rise in marginal cost of capital
B. fall in marginal cost of capital
C. rise in transaction cost of capital
D. rise in transaction cost of capital

In large expansion programs, the increased riskiness and the floatation cost associated with project can cause ___________? Read More »

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs

An initial cost is $6000 and the probability index is 5.6 then the present value of cash flows will be __________?

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs /
An initial cost is $6000 and the probability index is 5.6 then the present value of cash flows will be __________?

A. 25000
B. 28000
C. 33600
D. 30000

An initial cost is $6000 and the probability index is 5.6 then the present value of cash flows will be __________? Read More »

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs

An increase in marginal cost of capital and the capital rationing are two arising complications of __________?

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs /
An increase in marginal cost of capital and the capital rationing are two arising complications of __________?

A. maximum capital budget
B. greater capital budget
C. optimal capital budget
D. minimum capital budget

An increase in marginal cost of capital and the capital rationing are two arising complications of __________? Read More »

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs

In capital budgeting, a technique which is based upon discounted cash flow is classified as ___________?

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs /
In capital budgeting, a technique which is based upon discounted cash flow is classified as ___________?

A. net present value method
B. net future value method
C. net capital budgeting method
D. net equity budgeting method

In capital budgeting, a technique which is based upon discounted cash flow is classified as ___________? Read More »

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs

In estimating value of cash flows, the compounded future value is classified as its _________?

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs /
In estimating value of cash flows, the compounded future value is classified as its _________?

A. terminal value
B. existed value
C. quit value
D. relative value

In estimating value of cash flows, the compounded future value is classified as its _________? Read More »

Basics of Capital Budgeting Evaluating Cash Flows, Finance Mcqs