Financial Management Multiple Choice Questions and Answers | Financial Management MCQs

Sports GK Questions and Answers 2024 (Latest Updated)

Awards & Honours GK Questions 2024 (Latest Updated)

Questions
1 Return on assets can be computed by
A Annual Net Income/Average total Assets
B Sales/Cost of Sales x 100
C Income/Sales x 100
D Sales/Net Income

Answer: Annual Net Income/Average total Assets
2 Capital Employed is
A Cash + Bank
B Shareholders Funds + Long Funds
C Assets + Cash
D Bank

Answer: Shareholders Funds + Long Funds
Advertisement
Article and Schedule Quiz Start Test!
DOWNLOAD CURRENT AFFAIRS PDF FROM APP
3 Which is a capital expenditure?
A Research and Development Project
B Project Generation
C Project Expansion
D All of the above

Answer: All of the above
4 Which of the following recognises risk in capital budgeting analysis by adjusting estimated cash flows and employs risk-free rate to discount the adjusted cash flows?
A Cash
B Certainty Equivalent Approach
C Pay-back Period
D Inventory

Answer: Certainty Equivalent Approach
5 The term "capital structure" refers to:
A long-term debt, preferred stock, and common stock equity.
B current assets and current liabilities.
C total assets minus liabilities.
D shareholders' equity.

Answer: long-term debt, preferred stock, and common stock equity.
6 The ______ method provides correct rankings of mutually exclusive projects, when the firm is not subject to capital rationing.
A net present value
B internal rate of return
C payback period
D profitability index

Answer: net present value
7 Price Ratio Method is
A Earning Yield Method
B Growth Method
C Dividend Yield Method
D Asset Method

Answer: Earning Yield Method
8 Which is Walter formula, for dividend policy?
A Vc = D + Ra/Rc (E - D)/Rc
B Vc = D + Ra/Rc/Rc
C Vc = D + Rc/E - D
D Vc = E - D/Rc

Answer: Vc = D + Ra/Rc (E - D)/Rc
9 Operating leverage can be computed by
A %change in EBIT/% change in Sales
B EBIT/Fixed Cost x Capital Employed
C Sales/EBIT
D Fixed Cost/EBIT

Answer: %change in EBIT/% change in Sales
10 ________ is concerned with the maximization of a firm's stock price.
A Shareholder wealth maximization
B Profit maximization
C Stakeholder welfare maximization
D EPS maximization

Answer: Shareholder wealth maximization

Random GK Questions

Q. Which one of the following statements is correct?
Q. Which state has the lowest per capita income in India?
Q. When did the Constitution Assembly adopt National Anthem ?
Q. Which State in India is the leading producer of Sulphur ?
Q. The concept of mixed economy means
Q. Athlete’s Foot is a disease caused by
Assam Direct Recruitment Test Series

Teacher Eligibility Test

Assam Direct Recruitment Test Series