💰Finance MCQs
Finance MCQs
500 MCQs91
Rate of required return by debt holders is used for estimation the__________?
ACost of debt
BCost of equity
CCost of internal capital
DCost of reserve assets
92
In retention growth model, payout ratio is subtracted from one to calculate___________?
APresent value ratio
BFuture value ratio
CRetention ratio
DGrowth ratio
93
Interest rates, tax rates and market risk premium are factors which an/a_____________?
AIndustry cannot control
BIndustry cannot control
CFirm must control
DFirm cannot control
94
Double declining balance method and sum of years digits are included in__________?
AYearly method
BSingle methods
CDouble methods
DAccelerated methods
95
According to market risk premium, an amount of risk premium depends upon investor______________?
ARisk taking
BRisk aversion
CMarket aversion
DPortfolio aversion
96
Correct measure of risk of stock is called_____________?
AAlpha
BBeta
CVariance
DMarket relevance
97
Portfolio which consists of perfectly positive correlated assets having no effect of___________?
ANegativity
BPositivity
CCorrelation
DDiversification
98
Mostly in financials, risk of portfolio is smaller than that of asset’s________?
AMean
BWeighted average
CMean correlation
DNegative correlation
99
Coefficient of beta is used to measure stock volatility_____________?
ACoefficient of market
BRelative to market
CIr-relative to market
DSame with market
100
Relationship between risk and required return is classified as___________?
ASecurity market line
BRequired return line
CMarket risk line
DRiskier return line