

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.
If we were studying a sample of 100 students and their examination performance and if the standard deviation of the list of results was say 14, then we could calculated the standard error by ___________?
A: Dividing the square root of the number of items in the sample by the mean
B: Dividing standard deviation by number of items in the sample
C: Dividing the standard deviation by the square root of the number of items in the sample
D: We cannot calculate standard error on account of inadequacy of information
We cannot calculate standard error on account of inadequacy of information
Which of the following statement is TRUE regarding debt?
A: Debt is an ownership interest in the firm.
B: Unpaid debt can result in bankruptcy or financial failur
C: Debt provides the voting rights to the bondholders.
D: Corporations payment of interest on debt is fully taxable.
Unpaid debt can result in bankruptcy or financial failure.
A firm reports total liabilities of Rs. 300,000 and owners equity of Rs. 500,000. What would be the total worth of the firms assets?
A: Rs. 300,000
B: Rs. 500,000
C: Rs. 800,000
D: Rs. 1100,000
Rs. 800,000
The most important item that can be extracted from financial statements is the actual ________ of the firm.
A: Net Working Capital
B: Cash Flow
C: Net Present Value
D: None of the given options
Cash Flow
A firm has paid out Rs. 150,000 as dividends from its net income of Rs. 250,000. What is the retention ratio for the firm?
A: 12%
B: 25%
C: 40%
D: 60%
40%
Which of the following ratios is NOT from the set of Asset Management Ratios?
A: Inventory Turnover Ratio
B: Receivable Turnover
C: Capital Intensity Ratio
D: Return on Assets
Capital Intensity Ratio
Which of the following statement about bond ratings is TRUE?
A: Bond ratings are typically paid for by a companys bondholders.
B: Bond ratings are based solely on information acquired from sources other than the bond issuer.
C: Bond ratings represent an independent assessment of the credit-worthiness of bonds.
D: None of the given options
Bond ratings represent an independent assessment of the credit-worthiness of bonds.
If you plan to save Rs. 5,000 with a bank at an interest rate of 8%, what will be the worth of your amount after 4 years if interest is compounded annually?
A: Rs. 5,400
B: Rs. 5,900
C: Rs. 6,600
D: Rs. 6,802
Rs. 6,802
Which of the following is measured by retention ratio?
A: Operating efficiency
B: Asset use efficiency
C: Financial policy
D: Dividend policy
Dividend policy
How many years will it take to pay off a Rs. 11,000 loan with a Rs. 1,241.08 annual payment and a 5% interest rate?
A: 6 years
B: 12 years
C: 24 years
D: 48 years
12 years