Search
.Management Sciences
Category: Finance Mcqs
_______________refers to the extent to which fixed-income securities (debt and preferred stock) are used in a firm’s capital structure?
A. Financial risk
B. Portfolio risk
C. Operating risk
D. Market risk
Coefficient of variation is used to identify an effect of__________?
A. Risk
B. Return
C. Deviation
D. Both A and B
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%
Mr. Y and Mr. Z are planning to share their capital to run a business. They are going to employ which of the following type of business?
A. Sole-proprietorship
B. Partnership
C. Corporation
D. None of the given options
Values recorded as determined in marketplace are considered as_______________?
A. Market values
B. Book values
C. Appreciated values
D. Depreciated values
According to Black Scholes model, stocks with call option pays the__________?
A. Dividends
B. No dividends
C. Current price
D. Past price
In capital budgeting, an internal rate of return of project is classified as its__________?
A. External rate of return
B. Internal rate of return
C. Positive rate of return
D. Negative rate of return
Which of the following is not a quality of IRR ?
A. Most widely used
B. Ideal to rank the mutually exclusive investments
C. Easily communicated and understood
D. Can be estimated even without knowing the discount rate
An annual interest payment divided by current price of bond is considered as_____________?
A. Current yield
B. Maturity yield
C. Return yield
D. Earning yield
An option that gives investors right to sell a stock at predefined price is classified as____________?
A. Put option
B. Call option
C. Money back options
D. Out of money options
Recent Comments