

Management Sciences MCQs
These Management Sciences MCQs are for public service commission exams and BBA, and MBA students to prepare for their examinations. All MCQs are prepared after having a look at past papers of public service commission examinations held from time to time. These Management Science questions are very important for all types of tests conducted by FPSC, NTS, KPPSC, PPSC, SPSC, BPSC, OTS, UTS, PTS, CTS, ATS, STS, ETEA, and other testing agencies of Pakistan.
Rule of 72 as a short cut method is explained by the formula:
A: 72 divided by the annual interest rate
B: Annual interest rate dividend by 72
C: 72 divided by (annual interest rate multiplied by discount factor)
D: None of these
72 divided by the annual interest rate
The Capital Asset Pricing Model calculate expected:
A: Risk
B: Risk and Return
C: Return
D: None of the above
Risk and Return
A technique uses in comparative analysis of financial statement is____________?
A: Graphical analysis
B: Preference analysis
C: Common size analysis
D: Returning analysis
Common size analysis
Net income available to stockholders is $125 and total assets are $1,096 then return on common equity would be________?
A: 0.11%
B: 11.40%
C: 0.12 times
D: 12%
11.40%
Price per share is $30 and an earnings per share is $3.5 then price for earnings ratio would be_____________?
A: 8.57 times
B: 8.57%
C: 0.11 times
D: 11%
8.57 times
Formula such as net income available for common stockholders divided by total assets is used to calculate__________________________?
A: Return on total assets
B: Return on total equity
C: Return on debt
D: Return on sales
Return on total assets
Price per ratio is divided by cash flow per share ratio which is used for calculating___________?
A: Dividend to stock ratio
B: Sales to growth ratio
C: Cash flow to price ratio
D: Price to cash flow ratio
Price to cash flow ratio
A techniques uses to identify financial statements trends are included____________?
A: Common size analysis
B: Percent change analysis
C: Returning ratios analysis
D: Both A and B
Both A and B
Companies that help to set benchmarks are classified as__________?
A: competitive companies
B: Benchmark companies
C: Analytical companies
D: Return companies
Benchmark companies
The effect of purchasing power or inflation on present value is important because _________?
A: It increases the real value of cash flows received in the future
B: It reduces the real value of cash flows received in the future
C: It has no effect on real value of cash flow received in the future
D: None of these
It reduces the real value of cash flows received in the future
