

Finance MCQs
Finance MCQs Test Preparation | Latest 2025 Quiz FPSC, NTS, KPPSC, PPSC, SPSC, BPSC, OTS, UTS, PTS, CTS, ATS, ETEA MCQs Test Questions.
Which one of the following terms refers to the risk arises for bond owners from fluctuating interest rates?
A: Fluctuations Risk
B: Interest Rate Risk
C: Real-Time Risk
D: Inflation Risk
Interest Rate Risk
Which of the following set of ratios relates the market price of the firms common stock to selected financial statement items?
A: Liquidity Ratios
B: Leverage Ratios
C: Profitability Ratios
D: Market Value Ratios
Market Value Ratios
If a firm uses cash to purchase inventory, its quick ratio will?
A: Increase
B: Decrease
C: Remain unaffected
D: Become zero
Decrease
Standard Corporation sold fully depreciated equipment for Rs.5,000. This transaction will be reported on the cash flow statement as a(n):
A: Operating activity
B: Investing activity
C: Financing activity
D: None of the given options
Investing activity
Which of the following ratios are particularly interesting to short term creditors?
A: Liquidity Ratios
B: Long-term Solvency Ratios
C: Profitability Ratios
D: Market Value Ratios
Liquidity Ratios
Mr. Y and Mr. Z are planning to share their capital to run a business. They are going to employ which of the following type of business?
A: Sole-proprietorship
B: Partnership
C: Corporation
D: None of the given options
Partnership
Which of the following item provides the important function of shielding part of income from taxes?
A: Inventory
B: Supplies
C: Machinery
D: Depreciation
Depreciation
When the markets required rate of return for a particular bond is much less than its coupon rate, the bond is selling at:
A: Premium
B: Discount
C: Par
D: Cannot be determined without more information
Premium
The process of determining the present value of a payment or a stream of payments that is to be received in the future is known as:
A: Discounting
B: Compounding
C: Factorization
D: None of the given options
Discounting
You need Rs. 10,000 to buy a new television. If you have Rs. 6,000 to invest at 5 percent compounded annually, how long will you have to wait to buy the television?
A: 8.42 years
B: 10.51 years
C: 15.75 years
D: 18.78 years
10.51 years