Standard deviation is 18% and expected return is 15.5% then coefficient of variation would be__________?
A. 0.86%
B. 1.16%
C. 2.50%
D.−2.5%
Financial Management Mcqs
According to Black Scholes model, stocks with call option pays the__________?
According to Black Scholes model, stocks with call option pays the__________?
A. Dividends
B. No dividends
C. Current price
D. Past price
A formula of after-tax component cost of debt is___________?
A formula of after-tax component cost of debt is___________?
A. Interest rate-tax savings
B. Marginal tax-required return
C. Interest rate + tax savings
D. Borrowing cost + embedded cost
A type of beta which incorporates about company such as changes in capital structure is classified as___________?
A type of beta which incorporates about company such as changes in capital structure is classified as___________?
A. Industry Beta
B. Market Beta
C. Subtracted Beta
D. Fundamental Beta
Cost of capital is equal to required return rate on equity in case if investors are only__________?
Cost of capital is equal to required return rate on equity in case if investors are only__________?
A. Valuation manager
B. Common stockholders
C. Asset seller
D. Equity dealer
Cost of common stock is 16% and bond yield is 9% then bond risk premium would be_________?
Cost of common stock is 16% and bond yield is 9% then bond risk premium would be_________?
A. 7%
B. 8%
C. 1.78%
D. 25%
Cost which has occurred already and not affected by decisions is classified as______________?
Cost which has occurred already and not affected by decisions is classified as______________?
A. Sunk cost
B. Occurred cost
C. Weighted cost
D. Mean cost
Project which is started by firm for increasing sales is classified as______________?
Project which is started by firm for increasing sales is classified as______________?
A. New expansion project
B. Old expanded project
C. Firm borrowing project
D. Product line selection
Cash flows that should be considered for decision in hand are classified as____________?
Cash flows that should be considered for decision in hand are classified as____________?
A. Relevant cash flows
B. Irrelevant cash flows
C. Marginal cash flows
D. Transaction cash flows
Redemption option which protects investors against rise in interest rate is considered as________?
Redemption option which protects investors against rise in interest rate is considered as________?
A. Redeemable at deferred
B. Redeemable at par
C. Redeemable at refund
D. Redeemable at finding