💰Finance MCQs
Finance MCQs
500 MCQs201
Cost of capital is equal to required return rate on equity in case if investors are only__________?
AValuation manager
BCommon stockholders
CAsset seller
DEquity dealer
202
Cost of common stock is 16% and bond yield is 9% then bond risk premium would be_________?
A7%
B8%
C1.78%
D25%
203
Cost which has occurred already and not affected by decisions is classified as______________?
ASunk cost
BOccurred cost
CWeighted cost
DMean cost
204
Project which is started by firm for increasing sales is classified as______________?
ANew expansion project
BOld expanded project
CFirm borrowing project
DProduct line selection
205
Cash flows that should be considered for decision in hand are classified as____________?
ARelevant cash flows
BIrrelevant cash flows
CMarginal cash flows
DTransaction cash flows
206
The formula such as, net income available for common stockholders divided by total assets is used to calculate __________?
Areturn on total assets
Breturn on total equity
Creturn on debt
Dreturn on sales
207
The profit margin = 4.5%, assets turnover = 2.2 times, equity multiplier = 2.7 times then return on assets will be __________?
A0.2673
B26.73 times
C0.094
D0.4 times
208
The low price for earnings ratio is the result of ____________?
Alow riskier firms
Bhigh riskier firms
Clow dividends paid
Dhigh marginal rate
209
The price per share is $25 and the cash flow per share is $6 then the price to cash flow ratio would be ___________?
A0.24 times
B4.16 times
C0.0416
D0.24
210
The price per share is $30 and earnings per share is $3.5 then price for earnings ratio would be ___________?
A8.57 times
B0.0857
C0.11 times
D0.11