

Finance MCQs
Finance MCQs Test Preparation | Latest 2025 Quiz FPSC, NTS, KPPSC, PPSC, SPSC, BPSC, OTS, UTS, PTS, CTS, ATS, ETEA MCQs Test Questions.
Cash flows that should be considered for decision in hand are classified as____________?
A: Relevant cash flows
B: Irrelevant cash flows
C: Marginal cash flows
D: Transaction cash flows
Relevant cash flows
Project which is started by firm for increasing sales is classified as______________?
A: New expansion project
B: Old expanded project
C: Firm borrowing project
D: Product line selection
New expansion project
Cost which has occurred already and not affected by decisions is classified as______________?
A: Sunk cost
B: Occurred cost
C: Weighted cost
D: Mean cost
Sunk cost
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%
7%
Cost of capital is equal to required return rate on equity in case if investors are only__________?
A: Valuation manager
B: Common stockholders
C: Asset seller
D: Equity dealer
Common stockholders
A type of beta which incorporates about company such as changes in capital structure is classified as___________?
A: Industry Beta
B: Market Beta
C: Subtracted Beta
D: Fundamental Beta
Fundamental Beta
Return on assets = 6.7% and equity multiplier = 2.5% then return on equity will be ______________?
A: 16.75%
B: 2.68%
C: 0.37%
D: 9.20%
16.75%
An uncovered cost at start of year is divided by full cash flow during recovery year then added in prior years to full recovery for calculating__________?
A: Original period
B: Investment period
C: Payback period
D: Forecasted period
Payback period
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
Internal rate of return
An investor who writes stock call options in his own portfolio is classified as__________?
A: Due option
B: Covered option
C: Undue option
D: Uncovered option
Covered option