Finance MCQs
Finance MCQs Test Preparation | Latest 2025 Quiz FPSC, NTS, KPPSC, PPSC, SPSC, BPSC, OTS, UTS, PTS, CTS, ATS, ETEA MCQs Test Questions.
An interest rate which is paid by firm as soon as it issues debt is classified as pre-tax__________?
A: Term structure
B: Market premium
C: Risk premium
D: Cost of debt
Cost of debt
In weighted average cost of capital, capital components are funds that usually offer by____________?
A: Stock market
B: Investors
C: Capitalist
D: Exchange index
Investors
Capital budgeting decisions are analyzed with help of weighted average and for this purpose____________?
A: Component cost is used
B: Common stock value is used
C: Cost of capital is used
D: Asset valuation is used
Cost of capital is used
Risk free rate is subtracted from expected market return is considered as___________?
A: Country risk
B: Diversifiable risk
C: Equity risk premium
D: Market risk premium
Equity risk premium
Beta which is estimated as regression slope coefficient is classified as___________?
A: Historical beta
B: Market beta
C: Coefficient beta
D: Riskier beta
Historical beta
In weighted average capital, capital structure weights estimation does not rely on value of__________?
A: Investors equity
B: Market value of equity
C: Book value of equity
D: Stock equity
Book value of equity
Set of rules consisting of behavior towards its directors, creditors, shareholders, competitors and community is considered as____________?
A: Agency governance
B: Hiring governance
C: Corporate governance
D: External governance
Corporate governance
Price for debt is called_________?
A: Debt rate
B: Investment return
C: Discount rate
D: Interest rate
Interest rate
In financial markets, period of maturity less than one year of financial instruments is classified as________________?
A: Short-term
B: Long-term
C: Intermediate term
D: None of these
Short-term
Net income available to stockholders is $150 and total assets are $2,100 then return on total assets would be_________?
A: 0.07%
B: 7.14%
C: 0.05 times
D: 7.15 times
7.14%