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
		A. Valuation manager
B. Common stockholders
C. Asset seller
D. Equity dealer
		A. Money market securities
B. Capital market securities
C. Saving intermediaries
D. Discounted intermediaries
Which of the following set of ratios relates the market price of the firm’s common stock to selected financial statement items?
		A. Liquidity Ratios
B. Leverage Ratios
C. Profitability Ratios
D. Market Value Ratios
It determines the market price or fair value of the common stock of company and compare it with the items of balance sheet like holder’s equity etc.
The most important item that can be extracted from financial statements is the actual ________ of the firm.
		A. Net Working Capital
B. Cash Flow
C. Net Present Value
D. None of the given options
A. negative economic value added
B. positive economic value added
C. zero economic value added
D. percent economic value added
		A. State value
B. Par value
C. Bond value
D. Per value
Standard Corporation sold fully depreciated equipment for Rs.5,000. This transaction will be reported on the cash flow statement as a(n):
		A. Operating activity
B. Investing activity
C. Financing activity
D. None of the given options
Investing activities – changes in investments and long-term assets
Cash inflows:
From sale of property, plant, and equipment.
From sale of investments in debt or equity securities of other entities.
From collection of principal on loans to other entities.
Cash outflows:
To purchase property, plant, and equipment.
To purchase investments in debt or equity securities of other entities.
To make loans to other entities..