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Financial Management Mcqs

Relevant cash flow which company expects when its will implement project is classified as_____________?

August 15, 2021January 22, 2019 by admin
Relevant cash flow which company expects when its will implement project is classified as_____________?

A. Irrelevant cash flow
B. Relevant cash flow
C. Incremental cash flow
D. Decrease cash flow

Categories Finance Mcqs, Financial Management Mcqs

Cash flows that could be generated from an owned asset by company but not use in project are classified as_________________?

August 15, 2021January 22, 2019 by admin
Cash flows that could be generated from an owned asset by company but not use in project are classified as_________________?

A. Occurred cost
B. Mean cost
C. Opportunity costs
D. Weighted cost

Categories Finance Mcqs, Financial Management Mcqs

If default probability is zero and bond is not called, then yield to maturity is_____________?

August 15, 2021January 22, 2019 by admin
If default probability is zero and bond is not called, then yield to maturity is_____________?

A. Mature expected return rate
B. Lower than expected return rate
C. Higher than expected return rate
D. Equal to expected return rate

Categories Finance Mcqs, Financial Management Mcqs

Required rate of return in calculating bond’s cash flow is also classified as_______?

August 15, 2021January 22, 2019 by admin
Required rate of return in calculating bond’s cash flow is also classified as_______?

A. Going rate of return
B. Yield
C. Earning rate
D. Both A and B

Categories Finance Mcqs, Financial Management Mcqs

Right held with corporations to call issued bonds for redemption is considered as___________?

August 15, 2021January 22, 2019 by admin
Right held with corporations to call issued bonds for redemption is considered as___________?

A. Artificial provision
B. Call provision
C. Redeem provision
D. Original provision

Categories Finance Mcqs, Financial Management Mcqs

Price of an outstanding bond decreases when market rate is_______________?

August 15, 2021January 22, 2019 by admin
Price of an outstanding bond decreases when market rate is_______________?

A. Increased
B. Decreased
C. Earned
D. Never changed

Categories Finance Mcqs, Financial Management Mcqs

Type of bond in which payments are made on basis of inflation index is classified as_____________?

August 15, 2021January 22, 2019 by admin
Type of bond in which payments are made on basis of inflation index is classified as_____________?

A. Borrowed bond
B. Purchasing power bond
C. Surplus bond
D. Deficit bond

Categories Finance Mcqs, Financial Management Mcqs

If coupon rate is more than going rate of interest, then bond will be sold________?

August 15, 2021January 22, 2019 by admin
If coupon rate is more than going rate of interest, then bond will be sold________?

A. More than its par value
B. Seasoned par value
C. At par value
D. Below its par value

Categories Finance Mcqs, Financial Management Mcqs

During planning period, a marginal cost for raising a new debt is classified as__________?

June 4, 2021January 16, 2019 by admin
During planning period, a marginal cost for raising a new debt is classified as__________?

A. Debt cost
B. Relevant cost(Correct)
C. Borrowing cost
D. Embedded cost

Categories Finance Mcqs, Financial Management Mcqs

A risk associated with project and way considered by well diversified stockholder is classified as______________?

June 4, 2021January 16, 2019 by admin
A risk associated with project and way considered by well diversified stockholder is classified as______________?

A. Expected risk
B. Beta risk(Correct)
C. Industry risk
D. Returning risk

Mcq Added by: Muhammad Atif Khattak

 

Categories Finance Mcqs, Financial Management Mcqs
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