💰Finance MCQs
Finance MCQs
500 MCQs251
The project whose cash flows are sufficient to repay the capital invested for rate of return then the net present value will be ____________?
Anegative
Bzero
Cpositive
Dindependent
252
An uncovered cost at the start of the year is $300, full cash flow during recovery year is $650 and prior years to full recovery is 4 then payback would be _________?
A3.46 years
B2.46 years
C5.46 years
D4.46 years
253
A discount rate which is equal to the present value of TV to the project cost present value is classified as _________?
Anegative internal rate of return
Bmodified internal rate of return
Cexisted internal rate of return
Drelative rate of return
254
The process in which the managers of the company identify projects to add value is classified as __________?
Acapital budgeting
Bcost budgeting
Cbook value budgeting
Dequity budgeting
255
In capital budgeting, the term of bond which has great sensitivity to interest rates is __________?
Along-term bonds
Bshort-term bonds
Cinternal term bonds
Dexternal term bonds
256
The number of years forecasted to recover an original investment is classified as ___________?
Apayback period
Bforecasted period
Coriginal period
Dinvestment period
257
In capital budgeting, a negative net present value results in _________?
Azero economic value added
Bpercent economic value added
Cnegative economic value added
Dpositive economic value added
258
In alternative investments, the constant cash flow stream is equal to initial cash flow stream in the approach which is classified as __________?
Agreater annual annuity method
Bequivalent annual annuity
Clesser annual annuity method
Dzero annual annuity method
259
The payback period in which an expected cash flows are discounted with the help of project cost of capital is classified as __________?
Adiscounted payback period
Bdiscounted rate of return
Cdiscounted cash flows
Ddiscounted project cost
260
The modified rate of return and modified internal rate of return with exceed cost of capital if the net present value is ____________?
Apositive
Bnegative
Czero
Done